Working out your personal budget

Working out your income

In Your budget, enter the income for you and your household.

Include the following.

  • Wages and salary after deductions (normal take-home pay).  If payments for debts are taken directly from your wages, for example, if you have an earnings arrestment for council tax arrears, contact us for advice. Only include overtime if it's regular. Check with HM Revenue & Customs that you have the right tax code.
  • Benefits and tax credits, including Child Benefit.
  • Contributions from other people who live in your home, such as grown-up children and elderly relatives. If they have little or no income and cannot claim benefits and so are unable to help with household costs, they will be counted as Other dependants. If they have enough income to support themselves, they will be counted as non-dependants. Make sure that any non-dependant is paying enough towards the household expenses and don't forget to include any extra housekeeping costs for them.
  • If you are on a low income, you may be entitled to benefits that you are not claiming.

Increasing your income

  • If you are sick or disabled, you may be able to claim a range of disability benefits. Contact us for advice.

Your assets

Assets are things like savings or the value of property, such as your home or car. You don't have to list your assets. Also, creditors will not usually expect you to sell your home and essential household items to pay off your debts. Tick the box in the Your assets section of Your budget to show you have considered your situation and feel that you have no assets that you can sell to make lump-sum payments off your debts.​ If you are thinking about using any of your assets to pay off your debts, you may have other options. Contact us for advice.