How do you even set up the budget?
I don't know how many different charts/sheets I've already created and tossed because they didn't work as I had anticipated...I need some help on where to start. I want to create the budget, with all of our automatic payments, based on Jordan getting $0 commission - so I know we're covered. Then, if/when he does get commission - I want to use that money to 'top up' our debt/savings plans.
Using a typical month, I've sorted out that we cannot continue regular contributions to our Emergency, Vehicle, Christmas, Gifts, and Vacation Funds - so that will come from commissions. I've also reduced our payment to the Line of Credit to what is mandatory. I've kept RRSPs and the Baby Fund. All that and you can see we're left with $43/month - perfect.
So that tells me I'm on the right track - but the part I'm having troubles with is the timing of it all. Jordan will get paid on the 15th and the end of the month and I get paid bi-weekly. I feel as though we need to consider the four months that have five Friday's (January, August, May and October) - but in only two of them (January, August) will I get paid three times...and of course Jordan will still just be paid twice.
I also broke down our expenses on a weekly/monthly basis to see if that would help.
I also know that every single Friday $1,303.28 is withdrawn from my account.
Given that my take home pay is ~$1,775 and Jordan's base take home would be ~$1,025 - what do we do? How do I figure out what my 'buffer', my personal overdraft should be, to account for the fluctuations in income/withdrawals.
Here's one scenario that I worked through - trying to see how the numbers would jive.
You can see that we don't have get past $0 in the account - but at the end of the month we're down to $1,419...not the $2,500 we would need to start out with. So I'm stuck again on how to make this balance.
I would appreciate any thoughts/ideas on how to make a budget that works given this new pay structure.
Jessie & Jordan