Creating a Simple Budget Tracker in Google Sheets

Overview

• The tutorial demonstrates how to create a simple budget tracker using Google Sheets.
• Useful for tracking expenses and income, especially beneficial for young adults.
• The budget tracker can be set up in approximately 5 minutes.

Steps to Create a Budget Tracker

Set Up

1. Open Google Sheets
   • Create a new document and title it "2024 Budget Tracker".
   • Optionally, add a money sign emoji to the title for visual appeal.

Monthly Setup

2. Name the Sheet
   • Enter the month (e.g., January).
   • Duplicate the sheet for other months as needed.

Income and Expenses

3. Define Columns

   • Create columns for Income and Expenses.
   • Adjust column sizes for better readability.

4. Color Coding

   • Use green for income and red for expenses.
   • Use lighter shades for readability and apply the same color scheme for future categorization.

5. Categorization

   • Include categories such as Needs, Wants, and Savings.
   • Use a dropdown menu for categorization.
   • Color code: Red for Needs, Yellow for Wants, Green for Savings.

Calculations

6. Total Calculations

   • Add "Total Income" and "Total Expenses" columns.
   • Format these columns as currency.

7. Budgeting Goals

   • Set up goals for Needs, Wants, and Savings.
   • Apply the 50/30/20 rule: 50% Needs, 30% Wants, 20% Savings.

8. Formulas for Calculations

   • Use SUM formulas to total income and expenses.
   • Calculate goals by multiplying income by percentage goals (e.g., 50% for Needs).

9. Actual Expenses

   • Use the "SUMIF" function to calculate totals for Needs, Wants, and Savings based on conditions.
   • Format results in currency.

10. Percentage of Income

    • Calculate the percentage of income spent by dividing actual expenses by total income.

Final Formatting and Review

11. Visual Enhancements
    • Color code the table for ease of reading.
    • Merge and center specific cells for aesthetics.
    • Ensure all monetary values are formatted as currency, and percentages are formatted correctly.

Usage Example

• Input income sources (e.g., paycheck, side hustles) and expenses (e.g., gas, dining).
• The sheet will automatically calculate total income, categorize expenses, and compare actual spending to goals.

Conclusion

• This Google Sheets budget tracker is easy to create and use.
• It provides a visual representation of spending habits and helps in budgeting effectively.
• Recommended for young adults to gain financial awareness and control.