1. Know what comes in
Write down your take-home pay and any other money you get each month.
2. List what goes out
Start with must-haves: rent or mortgage, food, utilities, transportation, debt payments. Then the wants: eating out, subscriptions, shopping.
3. Plan for the "sometimes" costs
Car repairs, gifts, school supplies, winter tires. Split the yearly cost into a monthly amount so they do not catch you off guard.
4. Pay yourself first
Set up an automatic transfer to savings on payday, even a small amount.
5. Check in each month
Compare your plan to what really happened, then adjust. A budget is a tool, not a test.
Learn more from the Government of Canada
This guide is general education, not personal advice. Rules can change, so check the official sources above.