Current Cashflow Projections & Personal Budget Plan

Part $1$ Current Cashflow Projections

The purpose of this first section is for you create income and expense sections for

the next $12$ months. Planning out your likely expenses and income over multiple

months and years can be an invaluable tool for making the most of your money,

insuring you attain your financial goals and evaluating potential spending decisions

prior to actually spending the money.

$1.$

Use your best guess of what your account balances will be on July $30$

th

$($combined balance of your checking accounts and savings accounts. Input

this number at the top of the spreadsheet in the appropriate cell. Doing this

step cause you to be able to monitor how much money you will

approximately have in your accounts$/$saved at the end of each month. Doing

this step will maximize the benefit of the portion of building yourself a

financial plan. However, if you wish to skip this step in the spreadsheet you

submit in the spirit of privacy no points will be deducted.

$2.$

Next estimate what your take home pay will be each month for each month

from August $2024-$July $2025$ and enter in the income cell for each month. Be

sure to adjust accordingly if you have different jobs$/$number of hours during

different months$/$seasons of the year. That is part of the strength of this

exercise, projecting consistent and variable income.

$3.$

Finally, estimate your expenses for every month from August $2024-$July $2025.$

Be sure to include variable expenses $($expenses that do not show up each

month$).$ There should be some variable expenses on your spreadsheet. Be

specific as often as possible, however in the entrance of accuracy so that the

plan is most beneficial to you $$ if there are a few expenses that you wish to

keep private please feel free to be vague$/$creative in the labeling of those

expenses.

$4.$

Please provide in a Microsoft word document a thorough explanation of your

completed spreadsheet. After doing this projection do you plan on making

any changes to how you spend or save money? Additionally, do you plan to

increase or decrease the amount of hours you work?

After the $12$ month period your Account balance should not be negative. It is okay if

some months your expenses are greater than income as long as the account

balance is not ever in the negative. It is common for students to rely on savings

rather than income certain months of the year leading to total expenses being

greater than income in any given month.

Submit your completed Excel Spreadsheet and Microsoft Word document

in blackboard.

Part $2$ Establishing a Current Budget

Now that you complete cashflow projections for the next $12$ months to give yourself

the best probability of actually accomplishing the plans you have created in your

cashflow projections a personal budget needs to be created. As you have already

learned in this class, having a personal budget will enable you plan out every dollar

you have and track every dollar as they spent.

Instructions

$1.$

Choose a method to establish your current budget. This can be utilization of a

budgeting app $($such as You Need A Budget or another app$),$ spreadsheet, or

even pen and paper.

$2.$

With the method that you choose you must be able to show that the method

follows the $2$ Keys to Budgeting from the Budgeting Section of the class. As a

reminder the two keys $1)$ There must be a written plan for how you are going

to spend and save your money. $2)$ A successful plan includes a method for

tracking your expenses regularly through out the month to ensure that your

written is working or reveal what tweaks you need to make to be successful.

$3.$

Your budget should also include non$-$monthly expenses $($planning for them$).$