When making our budgets for the year, we usually remember to include all of the expenses that occur monthly or quarterly but rarely remember to include the expenses that only occur once per year. There are a number of annual expenses that many people are subjected to that can really mess up your budget for that month if you forget to include them. Because these expenses are annual, you already know that they will be coming and you should be prepared for them. Here are some annual expenses that you should be sure to include in your budgeting.
Holiday Gifts
Ever year during the holiday season, billions of dollars are spent on gifts to give to loved ones and each person buying gifts knew that they would be buying gifts for others much earlier in the year. At the beginning of the year, set a specific budget for holiday shopping for a total amount or for an amount to be spent on each person. Throughout the year, set some money to the side to cover the cost of your holiday gifts so that you are not scrambling to find the money in your budget at the last minute.
Vehicle Licensing And Registration
Another expense that many people forget to budget for is the cost of vehicle licensing and registration. To drive a car legally, you must have a valid driver’s license and the car must be registered with the state. These costs can be considerable, especially if you are living on a fixed budget that does not allow for a great deal of additional spending. You know that you will need to spend this money shortly before your birthday each year, so budget accordingly.
Medical And Dental Checkups
For most people, it is recommended that you get a medical and dental checkup at least once per year. This allows serious problems to be spotted early and hopefully corrected easily with a minimum amount of discomfort. Some people are lucky enough to have insurance that covers these wellness visits with a small out of pocket co-pay, but others who do not have this luxury can find that their out of pocket costs for these visits can be pretty expensive. Do not sacrifice your health because you were not prepared for the cost of a checkup. Put money aside each month so it will be available when it is time for your annual checkups.