How to Budget for Entertainment and Leisure Activities
Budgeting might be boring, but if you want to be able to comfortably afford to do the things you want to do in life, then you need to master it – however it looks in your life. With some planning, you should be able to play blackjack online, take on a yoga challenge, learn a new language, or do whatever leisure activity or hobby you find entertaining.
The Importance of Leisure Time
We all work very hard for our money, and the time we have when we are not at work is precious for most of us. That is why we want to take part in activities that interest us, that make us happy, and that might even teach us something new.
In terms of mental health, leisure activities might also be considered a necessity, too. From ensuring that you are getting your body moving through exercise of some type to engaging in different creative areas of your mind, entertainment, hobbies, and other leisure activities are a form of self-care that it is really worth budgeting for.
Creating a Budget
The first step to creating a budget is working out what you are already spending on various areas of your life. While some experts claim that you should portion out your income to various areas of your life – 50% to bills, 20% to savings, and the rest for fun – that isn’t always achievable and it can make you feel like you are not achieving what you should be.
Make a list (or a spreadsheet, if you are that way inclined).
Note down all the bills you need to pay, such as:
- Rent or mortgage
- Heating, electricity, and water
- Local taxes
- Travel
- Food
- Insurance
You know how much you pay towards this on a monthly or weekly basis, so include those figures.
Then you need to look at the other things you are spending your money on. Include things like:
- Going out to eat
- Cinema trips
- Days out
- Nights out
- Subscriptions (like streaming services, for example)
Once you can see where your income is going, you should be able to identify if there are any areas where you could be making some savings (more on this later).
Creating a Master Budget
In your master budget, however you are setting this up, you need to have the exact cost of everything you need to spend money on. This is important, as these will be the non-negotiables in your life, things that are essential for you to live.
Include housing, bills, and loans in this.
Before you look at your hobbies and entertainment, think about savings.
Ideally, 20% of your monthly income should go to savings; this is where you will find the extra cash when you need it for car or home repairs, or even a holiday or a large purchase.
Once you have a figure for all these, and your important outgoings are covered, then the rest can be considered your ‘fun money’, or the money that you can spend on things that you want.
Making Hobbies and Entertainment Cheaper
There are costs associated with almost every hobby that you might want to take up. Some are expensive from a learning point of view, like having language lessons or getting riding lessons, for example.
Some are expensive because they require specialized equipment, like art supplies.
Some have ongoing costs, like gym memberships or streaming subscriptions.
There are ways that you can make the most of both your entertainment plans and your money – you just need to think outside the box occasionally.
For example, if you want to be able to play a musical instrument, why not look for a second-hand guitar online rather than buying new? You can also get lessons online or in a group situation to reduce ongoing costs – or teach yourself through videos on YouTube and similar.
If you are a member of the gym, make the most of your membership fee by using all the benefits when you can, from free personal training sessions to swimming and even time spent in the sauna and spa.
Streaming membership costs are usually tiered, so you can reduce the costs if you are happy to put up with adverts, for example. Do you need every subscription you have? Are you using them properly?
Sharing costs with others, whether that is by borrowing equipment or learning together, can be effective in not only the amount you are spending, but the amount of fun and enjoyment you are getting from the experience too.
Remember that with the soaring cost of living and the need to tighten our belts, it is important to spend time doing the things that you want to do rather than only doing the things that you have to do. You mental health matters.
