What is a Minimalist Budget? 

We have done the class with the small steps, and cash money system and found it to be restrictive and not applicable to our situation. If that works for you, great! I am a firm believer in everyone doing what works for them. It did not work for us, unless you count causing undue stress and obsession about finances a win.

A minimalist budget is a low fuss, easily adaptable money system. It is not necessarily frugal living, this won’t teach you how to make millions on credit card points, or get you rich quick. But it will declutter your finances, and it is possible to find peace with your money this way.

The basic breakdown is this:

50% of your income-Essentials

Include: housing, food, transportation costs (public or gas), and utility bills. These are the same bills you would have to pay no matter where you lived or work. Cell phone, car payments, or cable TV are not essentials.

20% of your income-Savings

This can include extra debt payments if your financial goal is to get out of debt fast, retirement savings, or even for specific purchases. This is your “jump forward” category. Use it wisely.

30% of your income- Personal

These are the unnecessary expenses that make your lifestyle, your lifestyle. Only you can decide what is truly essential and what is personal, but the more wiggle room you have in this category, the more debt is being paid off and the faster your savings is growing.

Hope this overview helps!