Budget calculator: Find your disposable income and transfer to a bills account
Annual and quarterly bills can make your finances uneven, even if your income is the same every month. Here you can collect income and expenses and see both the average and the development of the bills account through the year.
Worked example
- Item 1: Item Insurance · Amount 3,178.88 NZD · Repeats Annual · First due date 1 month
Transfer every month
265 NZD
Average 265 NZD · total expenses 3,179 NZD per year · required starting balance 2,914 NZD
| Month | Bills | Balance |
|---|---|---|
| 1 | 3,179 NZD | -2,914 NZD |
| 2 | 0 NZD | -2,649 NZD |
| 3 | 0 NZD | -2,384 NZD |
| 4 | 0 NZD | -2,119 NZD |
| 5 | 0 NZD | -1,854 NZD |
| 6 | 0 NZD | -1,589 NZD |
| 7 | 0 NZD | -1,325 NZD |
| 8 | 0 NZD | -1,060 NZD |
| 9 | 0 NZD | -795 NZD |
| 10 | 0 NZD | -530 NZD |
| 11 | 0 NZD | -265 NZD |
| 12 | 0 NZD | 0 NZD |
The transfer arrives on the 1st of the month; the bills fall due later in the same month.
The annual average is only the beginning
A bill of 12,000 a year equals 1,000 a month. If it falls due early, though, the account can be short of money before the monthly transfers have caught up. That is why the starting balance required with your payment dates is also calculated.
Disposable income depends on which expenses you have already subtracted. The calculator shows this boundary, so food, transport or other items are not forgotten or subtracted twice.
How to build your budget
Start with the fixed payments
Find the amounts and due dates for housing, insurance, energy, subscriptions and loans. Use income after tax. Then add expenses that vary, and give them a realistic amount.
Check the lowest balance of the year
Choose a fixed monthly transfer, and see whether the account goes negative along the way. A positive balance at the end of the year is not enough if money is missing in March.
Also calculate with an unexpected expense or a period of lower income. It helps you distinguish between money for known bills and an extra buffer. If the total cost of your car should be included, the car budget can give a separate estimate, which is then included in the household budget without repeating the same payments.