Simple Monthly Budget Template in India Create a simple monthly budget template in India. Step-by-step guide, ready-to-use examples, practical tools, and tips for students, professionals, and families to manage money and save effectively.

Introduction

Managing monthly expenses in India can feel overwhelming. Bills, groceries, transport, subscriptions, and small daily purchases quietly add up. By the end of the month, many people wonder where their salary went.

A simple monthly budget template can change that. It helps you plan your income, track expenses, and allocate savings intentionally—all in one place. You don’t need advanced spreadsheets or financial expertise. Whether you are a student, salaried professional, freelancer, or managing a household, a basic monthly budget provides clarity, control, and peace of mind.

In this guide, you’ll learn how to create and use a simple monthly budget template in India, with practical examples, step-by-step instructions, common mistakes to avoid, and recommended tools.

Why Use a Monthly Budget Template in India?

A monthly budget gives you a complete picture of your finances instead of guessing where money goes.

Key Benefits

Clear financial overview: See your income, expenses, and savings at a glance.
Better spending control: Plan categories to reduce impulsive purchases.
Consistent savings: Prioritise savings before spending.
Lower financial stress: Structured planning replaces money-related anxiety.

Expert Insight: According to RBI’s financial literacy studies, many Indian households underestimate small daily expenses, which impacts their ability to save effectively. RBI Financial Literacy Report

Step-by-Step Guide to Creating a Simple Monthly Budget Template in India

Step 1: Calculate Your Total Monthly Income

Start with your actual take-home income, including:

Salary (after deductions)
Freelance or side income
Allowances or regular bonuses

Example:

Income Source	Amount (₹)
Salary	45,000
Freelance Income	5,000
Total Income	50,000

Pro Tip: Include only money you actually receive, not uncertain or expected income.

Step 2: List All Monthly Expenses

Divide expenses into fixed and variable categories:

Fixed Expenses (Mostly Constant):

Rent or home loan EMI
Insurance premiums
Mobile, internet, OTT subscriptions
Loan repayments

Variable Expenses (Change Monthly):

Groceries & household supplies
Transport (fuel, metro, auto, bus)
Dining out & entertainment
Personal care & shopping

Beginner Tip: Estimate variable expenses in the first month. Accuracy improves over time as you track spending.

Step 3: Allocate Savings First

A simple rule is the 50–30–20 allocation:

50% – Needs (Essentials like rent, groceries, utilities)
30% – Wants (Dining, shopping, entertainment)
20% – Savings & Investments (SIP, mutual funds, emergency fund)

Example Allocation (Income: ₹50,000):

Category	Amount (₹)
Needs (50%)	25,000
Wants (30%)	15,000
Savings & Investments (20%)	10,000
Total	50,000

Adjust percentages based on rent, family responsibilities, or financial goals.

Step 4: Use a Simple Monthly Budget Template

You can maintain your budget in:

Excel / Google Sheets
A notebook
Budgeting apps

Template Example:

Date	Expense	Category	Amount (₹)	Notes
01-Dec-2025	Rent	Needs	15,000	Paid via UPI
03-Dec-2025	Grocery	Needs	4,500	Monthly groceries
05-Dec-2025	Lunch outside	Wants	250	Office lunch
10-Dec-2025	Mobile recharge	Needs	399	Prepaid plan
15-Dec-2025	Coffee	Wants	50	Daily coffee
20-Dec-2025	SIP investment	Savings	2,000	Mutual fund SIP

Writing expenses down makes spending intentional and controlled.
Pro Tip: Use conditional formatting in Excel/Sheets to track overspending visually.

Step 5: Track & Review Regularly

Daily: Record expenses for 5–10 minutes.
Weekly: Check if any category is overspending.
Monthly: Adjust next month’s budget based on reality.

Budgeting is a living system, not a one-time task.

Practical Example: Middle-Income Household (₹60,000/month)

Category	Amount (₹)
Rent & Utilities	18,000
Groceries & Daily Needs	10,000
Transport	4,000
Dining & Entertainment	6,000
Insurance & Loans	12,000
Savings & Investments	10,000
Total	60,000

Outcome: Planned expenses = better control + consistent savings.

Common Budgeting Mistakes to Avoid

Ignoring small daily expenses like tea or snacks.
Updating the template only monthly.
Over-spending on wants at the expense of savings.
Forgetting annual costs like insurance or festival spending.
Using a complicated template that feels tiring.

Remember: A simple budget you follow is better than a perfect one you abandon.

Recommended Tools & Apps for India

Walnut: Tracks UPI, bank, and card transactions automatically.
Money Manager: Detailed categorisation and reports.
GoodBudget: Envelope-style budgeting.
Monefy: Simple manual expense logging.

Tip: Start with a spreadsheet and move to apps if you need automation.

FAQs

Q1: Do I need an app to budget?
No. Notebook or Excel works perfectly; apps just make tracking faster.

Q2: How much time does budgeting take daily?
About 5–10 minutes if updated consistently.

Q3: Can a simple budget increase savings?
Yes. Visibility over spending reduces unnecessary expenses naturally.

Q4: Should I track income too?
Absolutely. Accurate income tracking ensures a realistic budget.

Key Takeaways

Track income, expenses, and savings in one place.
Categorise spending: Needs, Wants, Savings.
Review and adjust monthly.
Consistency > perfection.
Use simple templates for better compliance.

Recommend reads:

Zero-Based Budgeting in India: 5 step-by-step Beginner-Friendly Guide

External Reference:

RBI financial literacy resources

NCFE financial education resources

Conclusion

A simple monthly budget template is one of the most effective tools to manage money in India. By planning your income, tracking expenses, and prioritising savings, you can reduce financial stress, avoid unnecessary spending, and achieve long-term financial goals.

Bonus: Download our free India-specific monthly budget template to get started today! (Insert CTA/download link)

Disclaimer

This article is for educational purposes only and does not constitute financial, investment, or legal advice. Consult a certified financial planner before making major financial decisions.

Simple Monthly Budget Template in India: 5 step-by-step Beginner-Friendly Guide