Family Budget Examples : What do you do with Money and Why?


Having an insurance policy these days is crucial.

Family Budget: What do you do with Money and Why?

In a previous article, we broke down the monthly budget for a single person in a one-bedroom apartment. In this post, let’s look at a family budget. We are examining a family’s income in addition to their expenses.

It seems that money is just flying out of our pockets these days. Where does it all go? Well, having a family is expensive. The average household income is $61,957, and challenges abound to get food on the table and keep kids happy. Everything costs money in this technological world we live in. Let us review what an average household spends their hard-earned money on. $61,957 is in the 22% tax bracket for filing jointly. Meaning after taxes, the annual salary is $48,326.46. Making the monthly income $4,027.21

The numbers below are for a family of four. 

Mortgage & Utilities

  • Mortgage: $1,030
  • Property Tax: $190
  • Homeowners Insurance: $100
  • HOA: $175
  • Electric: $130
  • Natural Gas: $100
  • Water: $75
  • Waste/Trash: $25
  • Internet: $60

Total for Mortgage and Utilities: $1,885

  • Phones for 4: $240
  • Grocery bill $800
  • Two car payments: $600
  • Car insurance: $322
  • Health Insurance for a family of 4: $1,168
  • Life Insurance for two adults: $350

Total for Secondary Expenses: $3,480 total for both: $5,368. This family is in the hole for $1,340.79 PER MONTH! Some items can be reduced or, in some cases, removed. That is still a large gap. That does not include toys, gifts, clothes, or any comfort items for the family. Take a close look at your finances and ensure you make the right decisions for your financial future. Save for retirement and guarantee your kids are protected if something ever happens to you. Verify you and your spouse have life insurance to prevent loss in lifestyle or any essentials.

Life Insurance Questions?

We hope that this information on insurance policy was useful to you.

If you’d like to learn how we can help you plan your retirement, call Empower Brokerage at (888) 539-1633 to speak to one of our Life and Annuity experts or leave a comment down below.

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See our other websites:

EmpowerHealthInsuranceUSA.com

EmpowerMedicareSupplement.com

EmpowerMedicareAdvantage.com

This article was updated on 6/7/2024.

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