The average person doesn’t have an established budget for their expenses and income. Although incomes may vary per person, you can follow a budget that molds to your lifestyle and interests. If you have a lot of debt, it may be necessary to prioritize that rather than entertainment and other miscellaneous things that can make a hole in your budget and your pockets.

Read on to see what an average person’s budget can look like with an income of $2,500 per month after taxes.



The first thing in the average person’s budget would be their rent or mortgage. It’s important to give priority to our homes because, without them, life can get even harder. For this reason, it’s important to always keep in mind that every month you have a predetermined amount for your rent or mortgage. For instance, if you pay $700 of rent, then don’t count with those $700 for anything else in your expenses. If anything, you can rewire your brain to think that your income is $2,500 minus the $700, which is $1,800. This will set you up for success.


When it comes to utilities, you can have a varying bill every month. However, there’s a range in which you usually fall unless you have a special reason to have a significant increase in your utility bills. For instance, our average person would pay around $80 for their electricity bills, $50 for their water bills, $70 for their cellphone bill, and $50 for their internet service. This comes out to a total of $250. This means that you’d need to have at least $250 a month for your utility expenses. Moreover, if you want to save on your electricity bill, you can contact the HVAC technicians at Cool Rays AC so they can remove any buildup or fix any issues that may be spiking your bills every month.

Student Loans


A lot of people are in a lot of debt due to their student loans. These student loans can be as monumental as $300,000 to anything around $20,000. Not everyone has a student loan, but in this example, our average person would pay around $400 every month. This is not to mention the interests being accrued over the years—for that, it’s best to look at how you can make better payments so the interests won’t affect you as much in the long run.


Moreover, if you own a car that’s still not paid off, you will also need to include it in your budget. Our average person has a sedan that’s about two years old, so it has plenty of payments to go. In this example, our average person pays $450 every month for their car and around $60 on gas every month as well. This totals to $510 every month that will need to be spent on car expenses, not counting the regular checkups or possible accidents. If you’d like to spend more money on a car, you can go to car auctions and bid for a used and insured car.



Next, you can finally think about food. If you’re one to enjoy takeout every day, there’s a chance that you may be spending over $200 a week, which can take a large chunk out of your budget. However, if you spend around $80 a week on groceries so you can cook your meals at home, you may only be spending around $320 a month—you’ll be saving over $400 dollars a month.


Finally, you’re going to have some leftover money which you can spend on entertainment as well as your savings. Having an emergency fund is important, yet people dismiss it as an unnecessary expense. Emergency funds can help you in any case where you’re short on money and need something to fall back on—a safety net. So whatever you have left of your budget after your essential expenses, be sure to transfer some to your savings account or even an investment account so it can continue growing in value all by itself.