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Managing your personal finances is a very important job that all people share. When you are looking to improve your personal financial management, one of the best things that you could do would be to create a good personal budget. As you are building your personal budget, you will likely have a lot of standard categories including housing, auto, and utilities. However, there are additional budgeting categories that should be included as well that will make your budget as functional as possible.


When you are building a budget, you will also need to include a category for food. Many people grossly estimate how much they spend on food each month. This category should include all money that you will spend at the grocery store, how much you will spend dining out, and money that will be spent on getting a quick snack. Ideally, you should break this down even further to ensure you are disciplined and do not eat out more often than you should.


Another basic necessity that many people end up forgetting to consider is clothing. When it comes to clothing, most people go shopping just a few times per year but end up spending a lot of money when they do. To ensure that these important shopping days do not come as a huge surprise, you should make sure that you are properly saving money each month to cover your clothing costs. Ideally, you should set aside at least $100 per months to cover your annual clothing budget.

Other Transportation

While most people include their auto payments in their budget, you also need to make sure that you cover other transportation costs as well. There are a variety of auto costs that can quickly add up to big expenses. This can include money spent on parking, auto insurance, public transit passes, and ride share costs.

Medical Care

The last major item that you need to make sure is properly accounted for in your personal budget are medical care expenses. Medicare care is quickly becoming a major expense for a lot of people, and those that are in need of regular care of medication could spend a big part of their income on it. You will need to make sure that you are properly budgeted to cover these costs when they arise.