SLC32-W2 || Real Life Problem Solving Challenge: Budget Planning

Hello everyone!

Today I'm sharing my answers to the budgeting challenge. Budgeting has saved me from many stupid money mistakes. Let me jump right in

1. How do you plan your weekly or monthly budget? Explain well.

Every month, I sit down on the last Sunday before the new month starts. I take my notebook and write my total income at the top.

Then I list everything I have to pay – rent, electricity, phone bill. After that I look at groceries, transport, and a little for going out.

I do this:

· Needs first (bills + basic food)
· Savings second – I move it immediately
· Whatever is left is for wants

For weekly planning, I divide my "wants money" by 4. Every Monday morning I check how much is left. Nothing fancy

1. What tool or method do you use to track your expenses? Show at least one tool or method in detail with a selfie.

I use the envelope system with a small notebook (cost me ₦500). Every night I write down what I spent.

Example from last Tuesday:

· Bus: ₦300
· Lunch: ₦1,500
· Snack: ₦400

At the end of the week I add everything up. Writing by hand makes me feel the spending more. Apps don't do that for me.

1. What are the unnecessary expenses that affect your income? Explain.

My top 4 dumb expenses:

1. Random app subscriptions – ₦1,500/month wasted on things I never use.
2. Ordering food – delivery fees + higher prices = double cooking at home.
3. "Small" daily buys – pure water, biscuit – adds up to ₦5,000–₦7,000 a month.
4. Impulse buys at the market – things I didn't come to buy.

I didn't realize until I actually tracked. Now I laugh at my past self.

1. How do you save money from your income that will sustain you for future hardships?

The day I get paid, I move 20% into another account – and I don't carry that card with me.

That 20% is split:

· Half (10%) for emergencies only
· Other half (10%) for goals or small investments

I started small – even ₦2,000 per paycheck. Last year my phone broke and I didn't need to borrow money. That feeling?
I had to go back to my savings

1. Have you ever created a budget that would improve your financial situation? Show us practically how.

Yes, last year. I was wasting too much on eating out.

I made a simple monthly budget on paper. Here's what it looked like:

Income: ₦150,000

· Rent & bills: ₦70,000
· Groceries: ₦25,000
· Transport: ₦15,000
· Save first: ₦30,000
· Eating out: ₦5,000 (down from ₦15,000)
· Fun money: ₦5,000

I put cash into envelopes for "Eating out" and "Fun." When empty, I stopped.

That month I saved ₦30,000 instead of my usual ₦10,000. I was shocked.

1. What advice would you give to others for great budget planning?

Here's what actually works:

· Don't change everything at once. One habit at a time.
· Keep a "mistake fund" – like ₦2,000 for when you mess up.
· Check your budget on Sunday nights – takes 10 minutes.
· Use cash for your weak spots. For me it's food delivery.
· Celebrate small wins – stayed under budget? Watch a movie at home.

Most important: your budget should serve you, not punish you

That's all from my side. Good luck everyone!

emma2024