Budgeting is one of the best tools available for managing your personal finances.But it isn’t always easy to do, especially for expenses that are irregular. Household utilities are some of the hardest items to budget for, as they vary a great deal each month depending on the weather and your usage. Here are some tips for budgeting your utilities and cutting costs on some of those bills!
Some companies offer budget billing, where they calculate your average monthly bill amount from the last year (plus inflation) and charge that as a set amount on each month’s bill for the next year, regardless of your usage. At the end of this 12-month period, if you paid less than the cost of your actual usage, you will be billed to make up the difference. However, if you paid more, the difference will be added as a credit to your account for the next billing year.
If budget billing through your company is not offered or does not feel like a good fit for you or your family, integrate the strategy into your own budgeting, instead. Think of it as do-it-yourself budget billing!
With a budget in place, it never hurts to implement energy-efficient, money-saving strategies. For now, let’s focus on cutting costs on heating your home. While it’s nice weather now, Minnesota winter is fast approaching. Here are some easy, first-steps to prepare for the cold and save some money:
Money Management E-Newsletter: August 2017