Make a household budget
Make a household budget
Plan your essential spending before taking on a new repayment. This guide helps you see when money arrives, what it must cover and what remains.
Start with money you can rely on
Write down take-home pay, regular trading income after business costs, and reliable support. Record when each amount usually arrives. Keep uncertain sales or promises separate. If income varies, use your own recent records to choose a cautious starting figure. Do not count a new loan as income available to support its own repayments.
List essentials and existing commitments
Include food, housing, electricity, water, transport, school costs, health needs and support for dependants. Add existing loan payments. Divide predictable annual or termly bills into monthly amounts to build a reserve, but still note their actual payment dates. Separate business purchases from household spending.
Work through an example
Illustration only: monthly take-home income of MWK 300,000 less essentials of MWK 220,000, existing repayments of MWK 35,000 and a planned reserve of MWK 20,000 leaves MWK 25,000. If income falls to MWK 270,000 with the same commitments, the balance becomes minus MWK 5,000. Neither figure is a lender-approved borrowing limit.
Turn the result into a decision
Check both the total and the dates. A positive monthly balance can hide a shortage before payday. If the balance is negative, review flexible spending and seek help early. Do not remove essential food, treatment or school needs simply to make a proposed loan appear affordable. Revisit the budget after any income or family change.
Put it into practice
Write your next income date, the three largest bills due before it, and one action to close any gap. Use the household budget sheet, then test a lower-income month.
Explore the next step
Take the next step with clarity
Lending is subject to eligibility, assessment and agreed terms. An enquiry is not a loan approval.