Budget help for WIDELY varied income???

**hmabbott** · 07-12-2008, 12:42 AM

I posted a week or so ago that dh is finally on board this debt reduction boat. He's still listening to DR's show on XM radio and calls me several times daily to tell me the new things he's learned. We are also in agreement NOT to buy a house until we get this debt paid off.

Our problem is, is we can't figure out a good way to set up a budget with his widely varied income. I use a calendar and have all the bills written down that I have to pay every Friday, and more often than not, the money is there to pay them so getting behind in bills is not our problem. Finding the money to start paying off debt is. We have basic living expenses (rent, electric, phone, groceries), car payment, medical bill and a personal loan from Dad (no cable or CC). The student loans are in deferment until next summer. But dh paychecks can vary anywhere from $65-$1000 per week. I've tried averaging his pay over the last couple months do try and come up with a figure that I could start at, but that by all means does not mean that's how much he'll make for the present month or next month. He just lost an average of $400/month which equals our rent. So on top of finding money to pay off the debt, I now have to find the money to replace the $400 he lost. We've just been banging our heads against the wall trying to figure out a better way than we have been doing it, but just can't come up with anything. We are disciplined enough not to have to use the envelope system per say, but will be implementing a modified version (basically paying cash for the bills that are possible instead of writing checks.) Our checks aren't bouncing or anything, but DR says to pay with cash, so that's what we'll do to see if it makes any difference. Paying cash for groceries as well, to see if that helps.

I was just wondering if any of you have any ideas, or have tried to set up a budget like ours when you have no idea how much the paycheck will be. We do know a day in advance how much his check will be, but that's it. Help!! TIA
Heather

**dwallyfam** · 07-12-2008, 07:52 AM

If you get his book TMMO there are forms in the back that shows you how to make a budget up for incomes that vary.

**DebtFreedomFighter** · 07-12-2008, 10:34 AM

https://www.mytotalmoneymakeover.com...e_planning.pdf

https://www.mytotalmoneymakeover.com...nding_plan.pdf

here's a couple of links that may help a little bit.

**hmabbott** · 07-12-2008, 02:49 PM

Thank you for posting those links! DH still has TTMM with him out on the road so I didn't have access to those sheets.

**Greebo** · 07-12-2008, 06:12 PM

You base your budget on what you HAVE to spend first. In priority order, highest to lowest, starting with food, utilities, rent, and transportation, list your expenses. Every month, sit down and make this list. Next to each item, write down how much you must spend THAT month.

When money comes in, Go down the list from top to bottom, starting with food, put the food money in an envelope, and check it off the list. The money in the food envelope is the ONLY food money and is ONLY to be used for food. For utilities, write out the checks and mail em off or set the $ aside until the bill arrives.

When the money runs out, you stop paying. Next check comes in, you pick up where you left off. At the end of the month, any left over money goes to the debt.