Monday, December 3, 2007

Monthly Budget and Miscellaneous Expenses

I am fairly certain that a good number of people plan their monthly household expenses. Just as I have been doing. When one does that, one does get a reasonable idea of where the money is going, how much of it is being spent on essentials, how much on non-essentials but which brings us pleasure and satisfaction etc. Obviously, monthly budgeting and expense accounting are done under various heads. Food, Transport, Domestic help, Electricity/water bills, Entertainment, Telephone/Internet, medicines etc. etc. When certain expenses can not be put under any of these heads, one groups them under miscellaneous expenses. This is where the mystery lies. While the expenses under other heads are uniform month after month with some acceptable plus/ minus tolerances , the 'miscellaneous' does not subject itself to any such discipline. If one studies over a year, the fluctuations are found to be very wild. The individual items of expenditure under 'miscellaneous' are too many in number , they vary from month to month and by themselves do not qualify to earn a separate head .

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