budgeting, the last thing on my list

[waveseer]

On the plus side, I've completed everything on my list of things to improve except one. The last one is budgeting. I have great frugality skills but I'm terrible at estimating how much life will cost, even in the next month let alone quarter or god for bid year. I can predict all of my reoccurring overhead bills, but the surprises make it very difficult to budget properly. For example, if someone needs medical care it can be very expensive and largely unpredictable. Or if an appliance breaks sometimes the repair cost is almost as high as the replacement cost. I would like to be completely independent from relying on credit (except for my mortgage) so I'd rather learn to budget for emergencies than rack up debt. Is there anyone who has mastered this skill?

[d24]

sometimes what you need to consider is contingency, and budget for that.

it's hard, but imagine you have another recurring bill of $100 or something affordable, and put that amount to one side so that when these little surprises pop up it's not going to affect you as much.

 

Best part is if a few months go by and nothing happens, you can always treat yourself or move it into a 'savings' account for a holiday or something big

[waveseer]

sometimes what you need to consider is contingency, and budget for that.

it's hard, but imagine you have another recurring bill of $100 or something affordable, and put that amount to one side so that when these little surprises pop up it's not going to affect you as much.

 

Best part is if a few months go by and nothing happens, you can always treat yourself or move it into a 'savings' account for a holiday or something big

 

Thank you for responding. Yes, of course, saving! I'm not used to doing that. Whenever I have extra cash I pay down the principal on my mortgage. I could put that money in savings though to cover any surprises. It's been so long since I've been entirely debt free I've forgotten how to plan my own savings.