Evening star., 1926-08-21
BUDGET PROVES VITAL FACTOR
in STRETCHING FAMILY INCOME
considering Billions Spent by Homemakers, Every
Household Should Live Up to Strict Business
Methods, Says Economist.

estimate on the basis of your past
experience.
The family should have some rec
reation, enjoy concert. a lecture,
or the movies, have a trip. perhaps
vacation: there are newspapers and
books which are needed: tho children
have expenses connected with school:
You may he interested in supporting
your community ches;. the church
and other such orga MIA tions. All
these things. which the budget max
ers call development" all the things
which we need if we are really going
10 live efficiently and fully, have a
just place in the budget. For per-
sonal expenditures. like tobacco.
ndy. barber, special toilet supplies
and car fare. give each member of
the family an allowance.
II YOU run an automobile. estimate
what it will cost during the next -
months for gasoline and oil. repairs
and requirements. insurance. taxes.
license and new equipment. and per-
hapS for garage rent. On the farm.
II YOU wish To know what the family
living costs the expense Of the auto
mobile should be divided between the
household and the farm business. the
proportion charged to each depending
on the relative amount of use each
akes OF the automobile.
There is the future. You want to
own your own place. have money in
the savings bank. feel the security Of
owning certain investments. be sure
Of being able to handle emergencies
and of having insurance enough to
care for the family. In the light OF
all the family needs decide what can
h." saved and then think of that sum
just as YOU do Of the rent or the
grocery bill. as something which must
be- met each month.
Now compare the totals of your two
iistS-NOur estimated income and your
estimated expenditures. For safety
the expenditures should be somewhat
under the income in order to provide
for the Unforeseen. Go over your ex-
penditures until this margin appears.
You may find some extravaGances If
YOU look for them. especially in your
small expenditures.
4 Budget for Each Month.
"Iou now have a spending and saw
ing plan for next year. 1t will be
easier to follow il YOU work it out for
each month. Take a blank book and
write down on the extreme left-hand
side of n page the classes of expendi-
and the detailed items under each.
Then across the double page in 13
columns. the first for the year. then
one for each month, enter the amount
YOU will probably spend during the
whole year and In each month on the
given item. You could begin this by
going over your list of expenditures
and picking out such items as taxes,
interest and insurance which YOU
know Will fan due on 4 certain day of
IA given month. Then plan for the
food. clothing and other expenses in
the same way. Vacation will probably
come in the Summer. clothing eX
penses in the Spring and Fall. and so
on through the list. If YOU make such
a double page YOU can see at a glance
what YOU have planned to spend each
month. and later can compare it with
your actual expenditures. y budget
for each month is particularly helpful
where the income Is irregular in
amount from month to month. In
such Il case the first entry in each
column might be the amount of in
come you expect to receive that
month.
You think 1t may be easier to
make a budget than to live accord
ing 10 one" Just remember that
every SlltiPSSi vi btISlIeSS loIloNS a
financial plan and that If Your home
business is 10 he successful you must
follow one, too. OF course. your first
budget may need changing. Just be
cause YOU have put it on paper do
not he afraid of altering 1t. AS you
find your mistakes and see possihil
tiles of improvement, change it, But
what YOU change is important.
Your object is not set of balanced
books. hut information as to where
your money has gone in order that
next month and next year you may
spend IL to better advantage.
ON the farm, If You are to know
what your family living costs. you
VIII need 4 special page In your
book for recording farm products
used IN the household. Write down
on Il wall card kept in the Kitchen
the kind and quantity of farm pro-
ducts as they are put aside for home
use. For example butter might be
entered at time of churning. fresh
Vegetables when they are brought in
ana wood when ii is put into the
shed At the end OF each week these
entries should he transferred to
special page Of your record book
and va!ue placed upon them.
Al tie end OF the year the total on
this page shows tho amount which
The farm! products have saved You
from spending. From this point OF
view il is that much additional in
come; hlt. since YOU have consumed
Ire products. ii is also the equivalent
ut a" expenditure. since this total
has these two aspects it is better TO
Nnnr ti1e record ot farm products
useG IL the household quite apart
frs,l "oir record of cash eXpendi-
tl:Te>.
Endert for Second Year.
\, :ho end OF the year. after YOU
nav" c0ma,et@f Your summary and
rum2p"eI i Win your budget, look
o,.,' ~ details at your record. see
y :'tr.o .u.i tr,,1,' mistakes. where YOU
I'D w.. :Mh t.no"ing these facts,
:r.i's. Il i,il%"st FOR the next year. The
hest "a" - "ring over your record is
- as, ytGr&"ii uUeStions. Put Your
So. -hrol!l.a :: He4;!l'a" examination In
rr@HlH 10 vou" habits and your
tariiiud> &c i'uNinG.
NIH n3Ne 50 few hOmemakers bud
ce;c.! thrir expenditures! Perhaps
T.>, - - because they have not
go i:--,.s' ,.i;.t nart Of theif work is the
n-..,}:.c.i,.~r- " = business. that one OF
.:,,ir in,iurt7rt tasks ir Tic handling
- ,Nc t7rl;,t- income and that the sue
ross rf tntir many otror activities de-
,sn6e large, upon the:r success in
d.fn- t',ie well. Ti1"y faIH foit that
'rr discussion of nionev matters
should N": take p prominent place in