Quote:
Originally Posted by davidbeitz
how do you budget for a one time yearly expense like property taxes? Do you divide the amount by 12 and budget for it monthly? or do you just have it in the budget for one month?
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I would guess that people with monthly income, like pensions, would try to fit things into a monthly framework.
I don't have any monthly income, so it's easy to focus on a yearly budget. While I have about half my spending flowing to our checking account on a monthly basis, the other half is yearly items like insurance, property taxes, medical, travel, and a reserve fund (for big non-monthly spending). I track it yearly so that I don't go over our intended spending. Works for us.
Of course there are lots of budgeting systems that work...