More on setting up a cosmic budget.

This is such and important topic that its worth more elaboration. Let’s set up a budget for someone with a hypothetical income of $40,000 a year. A modest sum of money these days. But the actual amounts don’t matter it is the proportionality that matters.

So on a monthly basis our hypothetical person earns $3,333 a month (approx).

Since 10 is a very cosmic number, our person would divide the monthly income by 10. He or she would ten have 10 categories for spending.

Category 1 would be charitable giving – tithing – giving to God what belongs to him. So $333 would go to charity – either one’s church, synagogue or place of worship or some other charity that seems important to you. This giving is between you and the Divine. A good idea to pray for guidance about this. (We will discuss this further in another segment.)

Category 2 would be a savings or investment account – pay yourself and for your future every month. It used to be that this was not enough to open a brokerage account, but today it’s a different story. You can invest in stocks or save for some future good that you want – or both.

These two categories go off the top. This would leave you with $2667 to live on. This is a fundamental principle. The 1st 20% of earnings go to charity and to yourself. We live on the remaining 80%.

Now we have 8 more categories which are allotted $268 a piece.

So Category 3 would be your rent – housing. $268. If your rent is much more than that your apartment might be too expensive for you. Or you might have to shift funds from other categories to make up for it.

Category 4 would be groceries – this is self explanatory. $268 goes for that.

Category 5 would go for car and transportation expenses – gas, Insurance registration and repairs. $268 is allotted for that. If your car expenses are more than this – you might need a less expensive car.

Category 6 would be for utilities – electric, phone, cell phone, internet etc.

Category 7 would go for debt repayment. $268 is allotted for that. If your debt payments are much more than that, you are again in too much debt and need to work to reduce it.

Category 8 I would call the rapture category – this is for things that bring you joy. $268 is allotted for that.

This can go for dining out, for travel or other happy expenditures. Some people save up these monthly allotments and take a nice trip. There are many ways to arrange this.

Category 9 would be miscellaneous expenses – for things not listed above – haircuts, manicures etc. $268 is allotted for that.

Category 10 would go for clothing. $268.00 is allotted for that. Sometimes you have left over and you can carry the balance to the next month. Sometimes you go over and deduct the overage from the next month.

What is beautiful about this is that you can see at a glance where you’re out of proportion. Sometimes the solution is to cut back, sometimes the solution is to earn more, sometimes a little bit of both. If you’re timing to charity you will probably start to earn more in due course. And there will be more money allotted to each category. But you will always be in “right proportion” – your finances will become beautiful.

In the beginning it can be difficult. But as you continue you will be more and more able to follow the plan.

Read part 1 of my spiritual guide to wealth here and part 2 of my guide here.