Work out your real take-home pay

Your salary isn't what you have to spend. Taxes, insurance and retirement contributions come out first. A budget starts with the amount that actually reaches your bank account.

Find it

1. Look at your last two or three pay stubs and find "net pay"
2. If you're paid every two weeks, multiply one paycheck by 26 and divide by 12 for a monthly average
3. If you're paid weekly, multiply by 52 and divide by 12
4. Add any other regular income: child support, benefits, a side job

If your income varies

Use the lowest month of the last six as your starting number. Anything above it becomes extra, not something the budget depends on.

General educational information, not financial advice. The Pennies Budget isn't paid by any company mentioned here.