Budget Essay

Submitted By connerwaits
Words: 566
Pages: 3

Budget Essay As a young man straight out of college, my options are minimal. I only make $38,278.9 a year. And on my budget, I only have $3,189.9 to spend a month. But with the correct budgeting skills, those three thousand dollars can go a long way. The first things I have to pay are taxes which are necessity. After those have been deducted, and my government aide has been added, I have roughly $3,000 left. Next on the expense list is a form of transportation, a form of communication, and food. With me living right by my work and renting out my parents’ house with a roommate, I can take public transportation and pay rent for a total of less than $200. Then my food expenses are only $82, and my phone plan is $70 a month. With all of my expenses combined, I can live happily for only $500 a month and still have roughly $2500 left for whatever I may need. Now as a chemical engineer making $94,350 a year, I have a little more wiggle room in my budget. To my surprise, having larger income means I have to pay more taxes. So instead of the 15% before, I now have to pay 20%. So after taxes and social security is deducted, I have $5911.12 to play with. But since I am a smart budgeter, I set aside 10% of my income a month for social security. Next to come is a house. I have a nice 3 bedroom 2 bathroom house in Denver, Colorado that I and a roommate split the rent on. I only pay $850 a month with cable, washer, dryer, dishwasher and all other necessary utilities included. In this particular house, it has a gas stove but I don’t have to pay a monthly gas bill which I thought I would have to. However, I have to pay $137.5 additionally for water and electricity. This also surprised me because I thought in rentals, water and electricity were included. Since a little more money is in my budget, I can afford a decent car. So I bought a fuel efficient Lexus ES that cost $739 plus $225 for gas a month.