How much you have left to live depends on Your monthly salary and various fees. The latter equals the amount remaining after all bills are paid. With this remaining amount, you can pay for other expenses such as buying food or clothes.
Banks are interested in this rest to live when applying for loans. So, what should you do to better manage your salary? How to drive well Calculate the rest to live ? What should be done to increase it and especially what mistakes should be avoided? The answers are in the article.
Salary Distribution: Do a Good Calculation
You must start by inserting a file Fixed and basic expenses of every month.
This could be, for example:
- Lease the mortgage or pay it off
- Energy bills: water, gas and electricity
- credits
- Phone and internet bills
- Subscriptions: gym, streaming sites, public transportation
- Insurance costs
- Maintenance costs (home, car, etc.)
- fuel
After that, you will have to combine your resources (salary or pension) with The sum of the various social assistance that you imagine. Don’t forget to add other income like investment or rent.
Once you have selected Your mandatory expenses And your resources, you will be able to calculate your remaining life. There is no need to perform a complex calculation as it is sufficient to subtract the two expressions. What is left to live is the difference between expenses and income.
Make sure not to forget about recurring expenses. For a more accurate sum, you can check Your account statements for several months. This will allow you to see the amounts that come back each time. Thus, you will have a fairly accurate estimate of your monthly living allowance.
How does inflation affect the purchasing power of a household that earns €4,600 per month pic.twitter.com/lA1emG8f8A
– BFMTV (BFMTV) May 24, 2022
The rest to live is minimal
In addition to food and clothing needs, you can use this rest It gives you a little fun. However, it is not just for spending. You can use it to save money. It is clear that the rest of life is not the same in every family. The amount varies depending on salary, fees and family composition.
To live well, a single person must receive a minimum living allowance of about 700 euros per month. For a couple, the amount is estimated at 400 euros each, That’s 800 euros per month. According to the comparison site, the amount left to live can increase by 300 euros per dependent. For a couple with 3 dependent children, the amount should go Up to 1700 EUR.
The increase is 100 euros per person for families living in the capital. Parisian family with 3 dependent children ought to 2200 euros left to live Minimum monthly. You should know that it is possible to change the amount of the monthly living allowance. What better to look for in this difficult time?
Improve your monthly living allowance
If you notice that your living allowance is too low, it’s time to check the expenses. Thus, you will see if it is possible to make changes. Subscription review Contracts are important. If you notice that some don’t really serve you or are too expensive, feel free to end them.
In case it is necessary for you, you can try it Find cheaper deals. Unnecessary expenses will be blocked if you wish to increase your remaining living expenses. You can choose more efficient energy consumption to reduce bills.
Also consider reducing transportation costs and fuel expenses. You can search for an apartment close to your workplace. If you rent, think Finding Cheaper Accommodation.
Why are banks less interested in salary?
Before giving a loan to an individual, check the banks The rest is to live on the family instead of the salary. It is from this amount that they will decide whether to give a bank loan or not. What is left to live determines an individual’s borrowing capacity.
Banks depend on the rest they live for Assessing the probability that the borrower will get into debt. Each bank has its own method of estimating an individual’s remaining living expenses. It is possible that some banks include taxes in their estimates while others do not.
Moreover, there are no fixed rules that must be followed. The financial institution must consider whether the debtor will have money left after that Withdraw his monthly fee. This residual proxy should be sufficient for the borrower to live.
Don’t make mistakes
always in Manage your salaryThere are some mistakes to be avoided now. If you are not used to setting financial goals, you need to find one. Look more and find the motivation to achieve them. Talk to your spouse to find a solution together regarding the use of your salary.
You should also include potential major expenses in your expense accounts. That’s why you can Save at least 3 months of salary. By setting aside an amount for the unexpected, you can avoid extracting a large amount from your remaining living expenses.
It is the same for the maintenance of your property such as your car. Not tracking expenses is also a mistake that can be critical to managing your budget. Even if you have already listed the most important loads, Don’t neglect the small daily purchases.
It’s his small expenses that accumulate and end up smoothing your pocket. When shopping, bring only the bare essentials. This will save you from Spend more despite temptations. To better track your expenses, paying with cash can be beneficial for you.
In fact, this will allow you to know the total amount that you were able to spend. Naturally, You will think of spending less. You can also set a budget for unnecessary expenses. Just make sure not to overtake it.
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