We all know to budget for food, rent, petrol etc, but often forget about those nasty surprises. We’ve got your back. Budget Insurance have drawn up a list of expenses that can derail your budget if caught off guard.

5 things people forget to budget for

1. Car maintenance
You’ve carefully budgeted for your monthly car repayment, annual licence fee, car insurance and petrol. Then your cambelt or clutch suddenly fails and there goes that holiday you’ve been diligently saving for. The best way to budget for car maintenance is to take out a motor warranty and/or service plan which will not only cover mechanical failure but scheduled services too.

2. Home loan interest rate changes
In January, interest rates increased to 10.25%. This increase forced some home owners to cap their bond repayments. The main advantage of doing this is that if the interest rate rises again, your interest rate will be fixed. As for the disadvantages, if the interest rate should happen to decrease, you’ll most likely regret your decision. Try to negotiate the best possible interest rate when purchasing your property and use a bond originator to compare offers from different providers. If you already have a bonded property, consider having it refinanced with another provider at a lower interest rate.

3. School expenses
The spending doesn’t stop at school uniforms, stationery and school fees. Birthday gifts, fundraisers, pictures, camps and other outings can put pressure on your monthly budget. Tip: plan for these incidentals.

4. Pet expenses
We all love our animals dearly and would do anything to keep them around. But say, your beloved pet is injured or falls ill, the veterinary expenses could add up to thousands. Tip: put money aside each month for vet emergencies in addition to saving for pet food, vaccinations and grooming.

5. Home maintenance
If Murphy has his way, your gutters will collapse during the month that you can least afford it. Good routine maintenance is key. Tip: Set aside funds each month for scheduled maintenance as well as unplanned repairs.

 Article credit: http://durbannorthcoast.getitonline.co.za/2016/03/29/5-things-to-include-in-your-budget-plan/#.VvzOBkcTcnw