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Welcome To Our May Personal Budget Report!

It’s budget report time again. This time, we’ll look at May’s savings, spending, and debt repayment.

This report comes a little late intentionally. It just didn’t feel right to release my monthly report at the very beginning of June. I released this post instead to share my feelings about recent events and what you can do if you’re not sure how to help.

Remember, every month from June to February, half of all my online earnings will be donated to a cause that supports the fight for equality and justice. You’ll start to see that reflected in June’s budget report.

Earlier this month, I donated $10 to help provide supplies to protesters. I’m looking for my next cause and already have $5 to give.

My favorite thing about May so far has been school finally wrapping up. Mr. P&P and I no longer have to try to balance our two year old, both teaching jobs, my online work, and the absence of childcare. Now that one of those factors is gone, we’re feeling a lot less pressure. We’ve even cleaned, decluttered, and organized several rooms! Posts to come.

Also, it turns out there was a miscalculation on our budgeting spreadsheet, and we jacked up some of our finances … hard… We think the error is fixed, but it was costly!

So, let’s look at last month’s earning, spending, and saving!

The world continues to be a scary place, and I urge everyone to start getting finances in order, and get prepared for emergencies. Preparedness, financial freedom, and money management go hand in hand. You simply can’t have one without the others! If you’re looking for some reading material to get you started, I’ve got a few that might be helpful.

Want more budget reports? Check out these links to see our previous months!

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Why Create A Monthly Budget Report

The first real budget I set was back in 2014 when I made A LOT less money than I do today. I had been idling along for years in my retail service job, scraping by from paycheck to paycheck, and making very little headway. Way back then, it wasn’t even debt reduction or budgeting that got me interested in getting my finances under control. An interest in prepping lead me there.

In learning about preparedness, I began to realize that if there were ever an emergency, I was going to be out of luck. There was no savings to speak of, cash or otherwise. Stocking up was out of the question. The debt I had accrued was taking up all my expendable income and then some. I thought I was okay with money, but it turned out, I had absolutely no idea what I was doing. At best, I was JUST okay. So, I started to research.

I probably learned about every system under the sun. Cash envelope systems, spreadsheets, percentages and ratios… There was so much to absorb. I made a lot of mistakes. To be honest, I still do. But I did find a system that worked for me, and it made a difference almost instantly. In finally creating a physical budget, I could see that my money was being wasted all over the place. It was no wonder I couldn’t catch up.

If I could share only one takeaway, it’s this. You do, in fact, need to set a budget and put it on paper! Yes, technology counts as paper here!

Why Am I Sharing My Spending And Earnings?

Simply put, it helped me when others showed me what they were doing. I can only hope that sharing my own monthly budget report can help others out there who aren’t sure where to start.

I also think it’s really important that we talk about money. Like, as a society. The secrecy and shame surrounding spending makes it so much harder to figure out a system that works for you. There should be less fear of judgement and failure around money. If I can contribute to expanding the conversation, I want to!

Now that I have a child, I am realizing she learns so much by watching me. The best way for me to set her up for success is by showing her what’s out there and how it could be handled. It might not have taken me until I was almost 30 to realize I didn’t actually know what I was doing if there had been more conversations about healthy spending going on around me.

Budget Report Details Before We Start

Everyone budgets a little differently. There’s not really a right or wrong way. Just what works. Mr. P&P and I don’t track our budgets exactly the same way. But we’re working on getting there.

For a little consistency on our budget report, I’ll calculate monthly spending based on purchases made during the calendar month.

As for income, I work on a zero based budget using last month’s income. Basically, this means that all the money I earn this month is budgeted and spent next month. It’s an absolute life saver, especially if money is tight or inconsistent. Having the ability to borrow from my future self has saved my life a few times! Want to learn more? Check out this post where I break down how and why I budget this way!

Note: I’ve started making donations as I earn! Waiting a whole month doesn’t feel right. I’m adding the half I keep into the next month’s budget like normal.

Mr. P&P is still budgeting the current month’s income, so we do a little of both. Since most of our income is salary, this really only effects extra earnings and rental income.

May Income Budget Report- $7,608.35

Teacher Salary – $6,959.64 This includes both teacher salaries after the automatic withdrawal of taxes and health insurance.
Rental Income Property – $642.71 Our first home was a townhouse we paid under $100,000 for in good condition, which is unheard of today. When we bought our old house, The Pit, we decided it was better to keep the town home as rental income rather than sell it to put money toward the new house. We stand by this choice today! This is the money we receive after paying any management and repair fees. There were several repairs this month.
Extra Income Deposited – $0
Extra Income Paid in Cash – $0
Rebates – $6.00 I earned $6.00 in Amazon gift cards on InstaGC.
- I’m loving InstaGC right now. Since I’m stuck at home anyway, I stream videos on my computer while I work, clean, and take care of Baby Girl. Then, I try a couple of surveys in the morning and at night. I’ve had better luck qualifying for them than many other sites I’ve tried.

May Spending Budget Report - $7505.35

We’re still slowly figuring out our new normal with household expenses. Since we have yet to experience “normal”, it’s still hard to estimate our regular expenses in advance.

Monthly Living Expenses - $3,381.89

This budget report category includes typical monthly expenses that come out of our budget basically every month. These are our “basic living” expenses that we need to pay in order to get through the month.

Mortgage – $2152.66 This is our total mortgage payment on our new house, including insurance, escrow. etc. It’s a lot higher than we paid at The Pit. However, we wanted to stay in our area, and we now have considerably fewer rodents living with us.
Utilities – $318.15 This covers the electricity, water, sewer, and pest control services. Even though we moved, we are contracted with our pest control service until summer. I don’t know why it keeps going down, but I’ll take it!
Daycare – $0 Paid during the school year. We are fortunate to know an incredible lady who provides services for teacher’s kids at a very affordable rate. Sheltering in place means no childcare. While it’s great for the budget, Baby Girl really misses her friends and teachers.
Car Payment – $234.35 On top of the home issues last summer, Mr. P&P’s 14 year old car died right in the midst of everything. The car seat doesn’t fit in mine, and we were basically living in a hotel, so we were stranded. We purchased a used car through Hertz Rentals because we knew it would be maintained, and their process is very straightforward. But we didn’t have the cash saved up after foundation repair, so we had to finance. I am still driving my 13 year old, paid off sub-compact.
Gas, Toll, and Other Transportation Expenses – $8.11 In an effort to be more prepared, I’m trying not to let my gas tank go down to empty. I hit the halfway mark in May and chose to fill up even though I definitely could have gone the whole month without it.
Car Insurance – $91.00 We decided to start setting aside money each month to cover estimated insurance premiums. It will actually need to be renewed in June, so we will put money aside each month to cover this expense in a sinking fund. This way, the cash is available when we need to pay our premiums again.
Groceries – $577.62 A little bit higher than I’d prefer, but still okay. In early May, shortages still meant that we paid a premium for the things we could find.

Debt Expenses - $2,379.18

This is money we spend in order to pay down previously existing debts and any expenses resulting from debt. Just look at how much money we’re giving away!

Student Loans – $400.00 Mr. P&P is still making his payments. (Federal student loans older than 10 years DO NOT qualify for COVID related assistance!) The cost of my loans will go into savings for now. Since my loans are not accruing interest, I will set aside my monthly payment for 6 months. Things are so uncertain right now, and I want a buffer in savings if there’s an emergency. If all is well, I’ll make a 6-month sized payment in September.
Debt Repayment – $1,731.92 We had a fair amount left over this month and made a large payment since our 0% interest offer is about to expire on one card.
Fees and Charges – $0
Medical Debt – $247.26 Our payments include some small installment payments on Mr. P&P’s hospital bills from October. We also paid off a couple of small remaining balances.

Other Recurring Monthly Expenses - $283.66

These budget report expenses happen every month, but they are not vital spending categories! It’s the stuff we could get rid of and survive if we needed to.

Phones – $86.29 This is both cell phone plans.
Digital Media, Streaming, and Internet – $85.59 This covers our internet and Hulu accounts.
Rock Climbing Gym – $75.78 We love rock climbing together! But when we learned that Baby Girl was coming, we stopped attending and haven’t picked back up. The gym is closed, but we’re still being charged. We don’t want the place to go out of business, so we haven’t said anything about it.
Monthly Renewals – $36.00 We each have some subscription boxes for various hobby interests throughout the year. It’s lower because one of the businesses was required to shut down for a bit due to the pandemic.

Variable Spending - $1,460.62

These expenses change every month. They are somewhat unpredictable and variable.

Health Care – $55.50 Vitamins. We also finally bought some reusable face masks. Now that our state has opened back up, people have completely stopped following social distancing protocols.
Home Improvement – $104.83 We got a large magnetic white board for the kitchen, a remote control caddy, and some odor remover solution for our coat closet that still reeks of dog.
Home Expenses – $81.60 Our preferred toilet paper is back in stock, so we got a pack. We also bought more trash bags, some travel hand sanitizer, and toothpaste.
Dining Out – $116.90 We both had birthdays this month, so we ordered our favorites for delivery. Also, we called for pizza a couple of times.
Blog Expenses – $97 I purchased several educational mini courses this month in an effort to improve in some areas I’ve been struggling.
Baby Expenses – $253.41 I grabbed a few more clothing items for Baby Girl now that it’s getting hot, and she’s hitting growth spurts again. We also replaced a favorite pair of shoes she’s outgrown. Diapers were running low, so I tried a new brand, didn’t like them( but finished them off anyway), and bought more of my preferred brand. Additionally, my Water Wipes delivery renewed. I also bought a few cloth diapers to replace some that I killed when I washed them with Baby Girl’s high chair cover. The buckles broke some snaps.
Classroom Spending – $0 Nothing this month.
Digital Streaming/Media $76.79 Mr. P&P purchased some tv series on sale as a birthday gift to himself. We also bought The Andromeda Strain since we’re on a disaster movie marathon right now.
Gifts – $183.84 – Our gift spending is always high in May. We both have birthdays on top of Mother’s Day. This covered our gifts (split the cost of a new set of pots and pans. I know, we’re super romantic!), cards, flowers, and birthday desserts.
Hobbies and Entertainment – $0
Other Spending – $187.75 Mr. P&P replaced his 6-ish year old sandals. I added several items to our preparedness stash. Also, I lost a couple pendant necklaces in our move that I planned to turn into breastmilk jewelry. I’ve been trying to find them, but my supply is dwindling quickly, and I didn’t want to risk running out of time, so I bought replacements.
Savings – $400.00 My student loan payment. I’ve chosen to add those payments to savings while the CARES ACT has suspended my interest. At the end of September, when my interest rate kicks in again, I’ll make a lump sump payment, provided our situation stays the same.

Budget Report Goals Progress

Remember how I said earlier we goofed on our spreadsheet? We think we finally fixed the mistake. However, it cost us. We still haven’t figured out how much exactly, but we imagine somewhere between $1,600 – $2,000 over the last few months. Luckily, we happened to have that money hanging out in our accounts after last year’s Slow Spend September Challenge and then saving up trying to get Mr. P&P living on last month’s income.

Sigh… At least we dodged a financial bullet. The mistake hasn’t cost us too badly, and all that money wen’t toward debt. Still, it’s frustrating.

I can totally understand why financial experts agree that married couples should have joint accounts and budgets. It’s a lot less confusing than keeping things separate and still trying to share the expenses equally.

It’s not going to change our decision to keep things separate, but I see why it’s recommended.

I know that not everyone out there is as fortunate as us. If you’ve lost your income, or it’s been cut drastically, I recently wrote this post about how to cope right now if you didn’t have an emergency fund to fall back on. I outline a bunch of ideas to help cut costs and increase income while times are tough.

A Quick Word On Preparedness

In the P&P household, we’re all still healthy and relatively untouched by the pandemic and protests. But friends, things are changing… FAST. With states opening up, people choosing not to social distance, and protests breaking out into violence, who can say what the future will bring?

We’re already starting to see a resurgence in COVID cases from Memorial Day. I suspect another major surge will happen in a couple of weeks. The first wave wasn’t that long ago, and hopefully, you still remember the stress of food and supply shortages that snuck up on so many people. If you can prevent it the next time, I urge you to do so. Don’t wait until things go south again.

NOW is the time to take steps and get prepared if you haven’t already. Get money in the bank, food in the pantry, and supplies in storage.

Here’s that list of helpful posts again, just in case you’d like more information.

What Does The Future Hold?

Facing your financial burdens head on does not feel good, but it is important if you want to grow. You can’t fix a problem if you don’t know it exists. No matter where you are, figure out what you’re starting with so you can decide where you’re going.

If you need help getting started, well, that’s what I’m here for. Check out this recent post that will give you a step by step guide to help you make a plan and get out of debt.

We longingly dream of the day we can say we are entirely debt free! I don’t know if that day will come, but why not dream big? Today, our goal is to make progress. But someday, we want to have as much control as possible over how we use our money. So, I’m giving you a breakdown below of our major debt goals and monthly progress. Who doesn’t love a nice graph?

All totals except the credit cards go back to the original loan amounts, and the credit card total comes from our calculations in September 2019.

The percentage bar shows the percentage paid off.

The numbers beneath show the total remaining / original loan.

Credit Card Payoff Goal

Debt Paid 64.7%

$13,954.15 / $39,558.61

We are shooting for a goal of payoff in 2 years! Just 1 year, 4 months to go.

Another card bites the dust this month! Even though about half of our payoff has been the result of debt shifting when we refinanced our rental mortgage, we’ve still made some pretty good progress. We might actually make our two year goal!

Medical Debt Payoff Goal

Debt Paid 16.4%

$11,885.63 / $14,169.05

This includes only the debt I took on with the birth of Baby Girl. The cost of her conception through treatments and prenatal care were paid in cash, as was the hospital down payment. It’s just the debt accrued after delivery complications and emergency services that I couldn’t deal with due to a mostly unpaid maternity leave. A lot of this is currently in collections because I just don’t have enough money to settle yet, but I’m chipping away.

Medical Debt Payoff Goal #2

Debt Paid 9.5%

$5,000.27 / $5,526.63

This is the debt we took on as a result of Mr. P&P getting an infection that went septic and needing hospitalization in October.

Car Payment Payoff Goal

Debt Paid 15.4%

$11,934.91 / $14,111.92

We’re not putting extra here yet.

Student Loan Payoff Goal

Debt Paid 24.8%

$60,564.56 / $80,567.17

Someday, we might qualify for debt forgiveness due to becoming public school teachers. We’re not really putting a ton of eggs in that basket though. If I can get them paid off earlier, I will. A lot of the progress I made here happened in the years where my income was fairly low, so I’m pretty proud of that.

In January, I officially paid off one of those loans! Slow progress is still progress.

Mortgages Payoff Goal

Debt Paid -38.9%

$406,153.07 / $292,407.00

I left our previous mortgage total because I thought it would be interesting. Mostly, it’s painful. This move increased our debt total in this category significantly. There’s no guilt here, though.

We had to make the best choice for our family’s health and finances. The best choice for us was to get out and start again somewhere else . Between the purchase of the new home and the refinance on the rental property, we took on a lot more mortgage debt. It’s weird, though. For the first time in a while, we feel like we can breathe. Not literally, of course. We’re still fighting off all the immunity problems likely caused by rats. But we see a light at the end of the tunnel and an opportunity to actually make some progress.

We are definitely gambling a little bit. Not much can go wrong, and the budget will be tight for at least a year. Of course, with Coronavirus, we have some anxiety about this change. I couldn’t imagine, though, self isolating and working from home in a house infested with rats! We still think the move was a good choice.

The mortgages are last on our list of payoff priorities. They’re pretty huge amounts for us, but we really would like to pay them off early and save some interest!

Now, It's Your Turn

If you haven’t sat down yet and faced your debt head-on, I really encourage you to do it! Figure out what you owe. Write it down. Stare those numbers in the eye and acknowledge them! Here’s a step by step guide to help you get started.

You can’t fix a problem you don’t know about!

What was your spending month like? How have recent events altered your budget or plans? What are you doing to stay on top of everything?

How are your personal finance goals coming along? We would love to know!

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