Developing a budget or spending plan helps you to see what is happening with your money—and gives you a tool for controlling your money.
Before you budget, take a look at your money—where it comes from, where it goes, and what you think about it. Use these forms to help!
Now, it's time to budget. These forms are similar, so print and use the one that you're most comfortable with:
A crisis budget or priority budget is used to help you get over a temporary financial problem, such as a short-term loss of income due to a lay off or a temporary increase in expenses due to a medical emergency. This kind of budget is not realistic for a long term, but can be used for 3-12 months to help you find the money you need to keep your home.
When you are facing a financial crisis and are unable to meet all of your financial obligations, you need to prioritize your bills and obligations. You will need to spend your money paying for the highest priority items first. Your crisis budget will not include all of the items in a regular budget. Some things will need to get cut out temporarily, and some bills will not be able to be paid.
United Way's 2-1-1 system might be able to help you with utilities, food, and other necessities to help you free up money to pay your mortgage.
You may not be able to pay your other bills, loans and credit cards. Contact the companies that you owe money to and explain to them that you are having a temporary financial crisis and you are trying to save your home. Ask for temporary suspension or lower payments.
Seek the advice of a housing counselor or a credit counselor and let your creditors know you are working with them. Realize that your credit score may take a hit from reducing or suspending payments on your other bills and obligations.