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Analysing Budget Essay Sample

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Analysing Budget Essay Sample

After analysing my budget I have found that there are specific reasons as to why I chose particular items within certain categories; I will begin to justify my reasons beginning with the essential column; this column consists of items which are an absolute necessity, these items can be classified as the following: travel, lunch and stationery. I receive £10.00 each week to cover travelling costs, this is mandatory as it enables me to get to college spending £2.00 for each of 5 days that I attend (£2 x 5 days a week at college =£ 10 travelling costs) and therefore cannot be cut down as it is not optional and I have to spend the full £10.00. I will now discuss the costs of my lunch; I receive £5.00 a week for my lunch which is not considered much as this only applies for Tuesdays (since it is the longest day I have to spend in college) where I go out to eat unlike Mondays, Wednesdays, Thursdays and Fridays where I can eat lunch at home without having to make any expenditures.

The last and final item on my list is stationery; I receive £5.00 a week for stationery (this includes the basics such as pens, pencils, notebooks and plastic wallets) as these are needed to help me on a weekly basis in college whether I’m taking down notes or at home working; although buying stationery for £5.00 once a week may seem excessive I never exceed the limit given to me and only buy the necessities this can be verified by the columns planned income (which states I spend £5.00 on stationery) and actual income (which once again sates that I spend £5.00 on stationery);Therefore meaning that my planned and actual expenses are neutral.

The next column I will be discussing is my optional spends; this column consists of the following items: snacks, hair products and shoes. The first item I will be discussing is snacks I am pleased that I do not exceed the budget I am given for snacks as I receive £2.00 for snacks and spend the exact amount given; this can also be said for my hair products although this item is not a necessity I still do not go over the intended amount which in this case is £10.00 this once again clarifies that my planned and actual expenses are neutral. However unlike the snacks and hair products the final item (shoes) was not placed within planned income although it did appear within the Actual income column this item is best classified as a “one off”.

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