Free Bi-weekly Budget Templates for Excel

A biweekly budget is a spending plan which you are paid your salary every other week instead of at the end of the month.

It is helpful to people who receive biweekly paychecks or have inconsistent income and is a great option for managing your finances.

When you receive your paycheck every other week, you are entitled to 26 biweekly paychecks per year. With this schedule, you will receive two paychecks for ten months, and there are two months when you will collect three. This creates some inconsistency in income; thus, there is a great need for proper financial planning. This is so that you can cover all your monthly expenses without worrying about delayed payments, late fees, bounced checks, etc.

If you have a proper spending plan, you can expect expenses to remain the same even though the number of paychecks will vary in two months of every year. 

This article discusses how to create a budget when you receive biweekly payments and how to utilize it when planning your finances. Furthermore, we have also provided downloadable templates.

Given below are free templates that you can download:

Why Should You be Budgeting Biweekly?

Making a spending plan every two weeks has the same multiple benefits as any other type of budgeting.

Some of them are mentioned below:

• Fortnightly paychecks provide irregular income which can be difficult to manage unless carefully planned. Proper planning helps you in this process.
• It is easier to keep track of bill payments and other fixed expenses. This can help you plan for your financial goals effectively.
• Lastly, with proper budgeting, you can focus on saving, settling your debts, and investing your money.

Learning how to create a budget is equally important as knowing how to use one effectively. Though this process may be intimidating to some, using a budget template simplifies it. This is especially true if you do not have enough time to create the plan yourself.

However, if you intend to do so, you can take the following steps:

Step 1: Print a calendar

To effectively track your paychecks and expenses, you need a calendar. A budget calendar is an excellent way to mark your paydays and the due dates for bills. Moreover, you can also mark special occasions, such as birthdays or vacations, to include those expenses as well. You can use color coding to categorize bills and stickers to record information. 

Step 2: Create your expenses categories 

Next, create categories for your expenses. You should include both fixed and variable expenses.

The different categories you should include are the following:

• Mortgage or rent  payments 
• Utilities including cell phone and internet payment
• Groceries
• Insurance
• Car lease payment
• Subscriptions
• Credit card payments
• Clothing
• Entertainment
• Personal spending
• Household items
• Transportation, etc.

Step 3: List and organize all your expenses 

Thirdly, you need to identify and list all your expenses. You need to identify the type of bill, its due date, and the amount. To make sure you include every bill, you can review your bank statements from the last 2 or 3 months and identify your regular bill payments. Once they have been identified, classify these bills as recurring expenses or occasional bills.

Also, make sure to include quarterly and annual bills and one-time payments. Mark on your calendar when you are expected to pay these bills. You can ensure this way that you never forget any due dates for your bills. 

Step 4: Incorporate varying expenses

You will always have varying expenses each month. Examples of such expenses during the month include birthday parties, back-to-school shopping, vacations, etc. Record such expenses and include them in your plan.   

Step 5: Choose half-payment method

Most likely, your major expenses, like mortgage payments and rent, cannot be paid through biweekly checks. Therefore, you must use the half-payment method for such items. wherein one paycheck can pay for half of the bill, and the following paycheck can pay for the other half. This way, you can split big payments in two according to when you receive your paychecks.  

Step 6: Add a buffer

You should always add a buffer for unexpected expenses and emergencies to your biweekly expense plan. This way, you do not have to worry about incurring debt whenever unprecedented costs occur. The buffer can cover two weeks’ worth of expenses or a percentage of your monthly budget. These funds can also be your financial safety net if you unexpectedly lose your job. 

Step 7: Start tracking your spending

After you have identified all the expenses and due dates, you can start using your budget planner. The only way to know if your budget is realistic is by implementing it, so continue to follow the plan and make adjustments where necessary. It will also allow you to reflect on your spending habits and discover negative patterns, as well as ways to save money and gain more control over your finances.

Do’s and Don’ts for Creating a Biweekly Budget

There are different budgeting practices and techniques that you should do or avoid to ensure your biweekly expense plan is effective and beneficial for you.

Some of these practices and techniques have been discussed below:

The Do’s

Create a zero-based budget

A zero-based budget is one where your income less your expenses equals $0. However, you can make adjustments, eliminate certain expenses, or redistribute money as needed. With this approach, you will be prompted to create a new budget for each paycheck.

Note: Even though a zero-based budget plans for every dollar from your paycheck, it does not imply that you will be left with zero dollars. It simply implies that each dollar has been optimally utilized.

Change the due dates of bills

It is always advisable to request changing the due dates of your bills so that you can spread the payments over the whole month. You can contact utility companies such as water, electricity, credit card, or mortgage companies and ask for modifications in the due dates. Most businesses will be willing to consider this approach rather than let you default on your payments.

Set goals

Always set personal financial goals, regardless of your income level. Making biweekly savings, clearing credit card debt in 12 months, buying an asset, etc. are some examples of financial goals. Note that, to achieve these goals, you need to have a plan and commit to it. This also requires a lot of discipline. 

Be organized

Organization is a key factor in proper financial management. When you are organized, you can find suitable means to plan your expenses. When your finances are organized, you can easily track your expenses and budget efficiently. Also, being organized takes away the stress of budgeting. 

Dedicate proper time to the activity

You must properly schedule the making of your budget plan by setting aside a date and time for it. Dedicate proper time to this activity and review your expenses, pay upcoming bills, track any unexpected expenses, and find ways to more efficiently manage your money.

Use a template 

Templates contain all the fundamental components of a financial planner. This makes them useful and efficient tools for preparing an effective spending plan. You can search the various templates on this website and select one that suits your financial planning needs.

The Don’ts

Spending all money at once

Try to spread your expenses over the payment periods so that you do not spend all your money at once. For example, you should avoid spending your entire check on large expenses such as a mortgage. Use the half-payment method for such expenses and change the due dates for utility bills to divide their payments over the month. 

Forgetting to include bills

You should never forget any bill or expense in your plan. Missed payments for bills can result in penalties and unnecessary stress.

Maintain your course

Once you establish a payment schedule, try to follow it accurately. You must regularly check which expenses are paid and unpaid by consulting your calendar. This way, you can monitor all payments and be in control of your finances. 

Failing to plan for the month

Even though a biweekly expense plan is suitable when you receive your pay every two weeks, your goal should be to always use it to plan for the entire month. It means that you make two budgets to cover your payment periods. This way, you can have enough money to cover the entire month’s expenses without falling into debt.