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might get job tomorrow, how to create a budget?

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  • might get job tomorrow, how to create a budget?

    I applied for a job in a nursing home to be a dietary aide. Anyways, I got an interview for tomorrow. Now this may be he start of a new life for me. I been in the nursing home setting for 2 years now as a volunteer. The thing is what should I do if I get the job, budget wise?

    I never had to create a budget for myself. But if I get this job I can start buying my own items without having to borrow my parents money still ( I am 21 years old and my dad still doesn't like me leaving the house with no money so when he hears I have nothing he will give me something and I feel terrible), buy my own food, save for an apartment, buy my own metrocards, etc.

    I would like to save up for an apartment. I will be okay with an studio apartment. I would also have to apply for a credit card since you need a credit score to get an apartment. I have to buy unlimited metrocards then since I do not drive, but driving is cheaper in NYC anyways( unlimited metrocards are $112 a month but I can go on the buses/train as many times as I want a month, plus I will be using public transportation almost every day since I would work, get to school, and go home. the bus/train fare is $2.50 for 1 ride on a regular metrocard) Then, I would have to buy furniture for the apartment (unless the apartment comes with furniture because I saw a listing that said the apartment came with furniture in one post on a website a few weeks ago)

    Thanks for your help. I know I am super late into getting a job (21 years old) but when I was younger I kept applying and nobody called me back :/

  • #2
    A good place to start is to look and see what your finances look like right now.

    How much do you currently spend in a month? Do you have any assets? Do you have any debts? Do you have any recurring payments like a cell phone or utility bills?
    Brian

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    • #3
      thanks! that is a good start. Luckily I don't have assets or debt at the moment (hopefully no debt in the future) and no bills to pay yet. I hope I make enough to move into a nice studio because that is what I want to do.

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      • #4
        I have a son working toward kind of the same goals.

        I set him up with the YNAB software but there is no reason you can't do this just on a spreadsheet or a piece of paper as long as you carefully pay attention to what you are spending.

        We started with the things he HAS to pay every month. His "rent" to me, gas for his car to get him to a job, his phone bill and then small amounts he saves every month to pay the more irregular bills like car insurance and car repairs and then what he allows himself for spending money every month.

        We added all those "must do" items up and that is his baseline budget.

        Every month he accumulates his paychecks (he gets paid weekly) in his checking account until he earns that baseline budget amount. Once he hits that amount then he starts transferring his paychecks to his Savings account for the rest of the month. The savings account will eventually be his Emergency Fund/Moving Fund. Then on the 1st of the month he starts over.

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        • #5
          Wishing you well on your interview. I suggest looking at ads on CraigsList for studio apartments in reasonable distance from work to get an idea of how much rent you can expect to pay. It's important to know what utilities are included like heat, water, garbage pick-up. Most landlords charge a damage deposit, 1st month's rent and sometimes last month's rent too. It's a big sum to put out all at once. You will likely need to pay electric, cable, internet and cell phone. These services often charge a deposit for service to a new customer.

          I'm going to guess you have already established an account at a bank or Credit Union. We often recommend a Credit Union because they don't charge as much for services as banks; the downside is their limited number of ATM machines.
          A good starting point for a budget is to divide your Net Pay [the sum left after deductions] 20% Savings, 50% Needs, 30% Wants. Needs includes rent, utilities, food, transportation, laundry, insurance for example. Wants includes are the stuff you'll need to outfit your apartment, entertainment, clothes and fun.

          look at Mint.com as a help. You can input categories and numbers. It truly helps if you remain at home until you can save up all the money needed to set up your 1st apartment. Many can outfit their 1st kitchen from mom's excess. Buy gently used for items that don't really matter at yard sales or Goodwill type outlets. A can of spray paint can refresh furniture and can be fun.

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