Monthly Expenses You're Forgetting To Put In Your Budget

If you understand what a budget is and why it's important, you've likely considered basic monthly payments like rent or mortgage, health insurance, or your Wi-Fi for your household. According to the U.S. Bureau of Labor Statistics, the average monthly expense for each American household adds up to $6,081 per month, covering housing, transportation, insurance and pensions, health care, food, clothing, education, entertainment, and other expenditures, including cash contribution for things like alimony and charity. The more people in the household, the higher this estimate gets.

Unfortunately, many people tend to forget a number of things when building their monthly budgets, failing to plan for variable expenses and forgetting certain below-the-line items. For instance, paying your mortgage or property insurance may be top of mind, but you may underestimate the regular cost of maintaining your home (and neglecting home maintenance red flags can end up costing you even more). Further, while you'll, of course, factor in groceries in your budget, you may not necessarily think about the cost of dining out or ordering in.

Yet, if you need money for these things and don't plan for them, you may end up blowing your budget by pulling cash from other places or worse, using a high-interest credit card to make up for poor planning. To avoid that, here are some monthly expenses to think about when planning your budget.

Paying rent or a mortgage may be your most consistent home-related budget expense on a monthly basis but don't forget others. Budget for home maintenance, which is a different animal altogether if you rent rather than own. For owners, according to home service provider Angi, the average annual cost to maintain a home was $2,458 in 2023 — not including an extra $1,667 for emergency repairs. That's $4,125 per year, or $343.75 to budget for per month. Think of costs for housekeeping, as well as garden care, HVAC maintenance, and cleaning supplies, the latter of which even renters should consider.

Extracurriculars, meanwhile, like dining out, ordering in, or travel should be considered too. Per Chime, the average cost of a vacation in the U.S. for a single person is $1,991. Our list of best U.S. vacation spots to travel on a budget can help budgeting for that, as can our inexpensive date night ideas where dining out is concerned. Pets come with their own costs, too (food, toys, dog walking), as do vehicles (gas, insurance, maintenance). Clothing and personal grooming products make up more items to remember to budget for.

That said, there are other less-tangible items you may be forgetting to include in your budget, too. Local, property, and county taxes, for example, don't come off your paycheck, so unless you want to find out the hard way what happens when you get audited by the IRS, you should include taxes in your budget. Other expenses to think about:

• Doctor visits, RX prescriptions, and dental and eye care
• Office supplies, from software and technology repairs to stationary
• Professional membership fees, licenses, or continuing education
• Charitable donations (especially if regularly given)
• Dry cleaning costs

When you make your budget, it's also an opportunity for you to research cheaper alternatives to budgetary items, whether tangible or intangible. Once you start, keep track of how it's working out, and don't be afraid to readjust your budget if you need to, which will help keep your goals realistic. Lastly, an emergency fund is something you'll need if you suffer job loss, a major accident, or live through any unforeseen circumstance that could hit you in the wallet. Definitely remember that.