Budgeting at the End of the Month with Power.

It’s the last day of the month and our recurring bills are here once again, from rent, electricity, water, internet bills and grocery shopping, every household sets out a certain amount of money to settle these basic needs.

Bills can add up quickly if you do not keep track of them, keeping watch is like following after your personal performance with 

To figure out how much of your income should go to bills, give the 50/30/20 rule a shot. This type of budget divides your monthly income as follows:

• 50% towards needs, (Rent, Electricity, Water, and Grocery Bills)
• 30% towards wants (Airtime, Data, TV subscriptions, Dining Out, etc)
• 20% towards savings & investments (Emergency funds, general savings, retirement benefits)

There are several other budget breakdowns if this one doesn’t work for you. In a more rigid system to help you curb the spend on unnecessary expenses, you can use the envelope system. You set a spending limit for each category (electricity, water, groceries bills), fill the envelope with allotted cash. Once the envelope is empty you cannot spend any more money on that particular category for the month. Power offers an envelope system in which you can use, through access to your Salary advance.

Second, Pay yourself first. This is a ‘reverse’ budget that puts your savings before the expenses. This allows you to make your savings and pay the outstanding needs and wants without calculating your expenses in detail.

Finally, you can use the zero-based budget. Not only does it suit over-spenders but it is also appealing to meticulous planners. Through this you take your income and spend every shilling deliberately on your wants and needs until there is no shilling left. This will ensure you are on budget. 

Through Power you get to access your Salary Advance and other lists of financial services, moreover, you get to schedule payments through our budgeting tool, ensuring your monthly costs are covered.