Advice on budget

You’re in a tough spot, but the fact that you’re asking for help and tracking your expenses is a huge first step. Let’s break this down, create a manageable budget, and figure out a strategy for you to stay afloat and start making progress toward your goals.

Overview of Your Income and Expenses

Monthly Income

Estimated Net Income: ~$4,100/month (average between night and day shifts)

Monthly Fixed Expenses

Private Loan 1: $626.30
Private Loan 2: $856.97
Car Loan: $394.96
Car Insurance: $216.68
Rent (your share): $520
Utilities (your share): ~$75
Planet Fitness: $10
Gas: ~$40

Total Fixed Expenses: ~$2,740

Variable Expenses

Groceries (your share): ~$250
Cat Expenses: ~$40 (average for food and litter)
Other Miscellaneous: ~$50

Total Variable Expenses: ~$340

Grand Total Expenses: ~$3,080

Remaining Balance

$4,100 – $3,080 = $1,020

Analysis

You Have Some Breathing Room You’re bringing in around $1,020 each month after covering essentials, which is promising! However, your high debt payments and relatively low flexibility in your budget make it feel tight.
Debt is the Major Obstacle Your loan payments are eating up 36% of your monthly income. Tackling this will be key to building financial stability.
Living Situation is Feasible Your housing costs, including rent and utilities, are only about 15% of your income, which is a healthy percentage.

Recommended Budget Breakdown

Here’s a suggested way to allocate your income using the 50/30/20 Rule as a guideline, adapted to your situation:

1. Essentials (50%): ~$2,050

This includes:

Rent: $520
Utilities: $75
Groceries: $250
Gas: $40
Loans: $1,483.27
Car Insurance: $216.68

You’re already above 50% in this category due to your loan burden, but we’ll address that below.

2. Discretionary Spending (20%): ~$820

Since you’re keeping discretionary spending low (e.g., gym and cat expenses), you might only need about $100-$150 here. Any leftover funds can go toward debt or savings.

3. Savings/Debt Payoff (30%): ~$1,230

This is where we focus on attacking debt or building savings. While 30% is the goal, your high debt obligations make it tough, so the focus will be on extra payments.

Action Plan

Step 1: Build a Small Emergency Fund

If you don’t already have a cushion, save $1,000 as a starter emergency fund.
Use your monthly surplus (~$1,020) to hit this target quickly (within 1-2 months).

Step 2: Tackle High-Interest Debt First

Private Loan Strategy: If one of your loans has a higher interest rate, direct any extra payments there. For example:
- Pay the minimum on Loan 2 ($856.97).
- Put your surplus toward Loan 1 ($626.30 + $300 extra = ~$926.30 total).

Step 3: Adjust Variable Spending

Groceries: Try meal prepping to lower costs. Focus on bulk items, generic brands, and sales. Aim to reduce this to $200/biweekly ($400/month).
Cat Expenses: Buy supplies in bulk when possible to save.
Miscellaneous Spending: Limit this to $25-$50.

Step 4: Explore Income Boosts

Pick up a PRN (as-needed) shift if your hospital offers it, even sporadically. Every extra $200-$300 helps.
Explore side gigs like online tutoring (e.g., for nursing students) or freelance healthcare writing.

Step 5: Reassess in 6 Months

After making consistent extra payments, reassess your loan balances and remaining surplus to see if you can accelerate debt repayment further.

Sample Month-to-Month Progress

Month 1-2: Build $1,000 Emergency Fund

Allocate ~$500/month from your surplus until fully funded.

Month 3 Onward: Tackle Debt Aggressively

Extra $1,000/month toward the highest-interest loan = ~12 months to shave off a significant chunk, saving on interest.

Future Goal: Shift to Savings

Once loans are more manageable, redirect your surplus to a savings account for long-term goals like a down payment or career advancement.

Tools to Stay on Track

Budgeting Apps: Use tools like Mint, YNAB, or EveryDollar to automate tracking.
Debt Payoff Calculator: Use online tools to visualize how extra payments will accelerate your debt freedom.
Grocery Apps: Use apps like Flipp or Ibotta for grocery savings.

Final Thoughts

Your situation is tough but absolutely manageable with discipline and focus. By building an emergency fund and aggressively paying down debt, you’ll gradually free up cash flow for savings and long-term goals. Stick to the plan, track your progress, and adjust as needed. You've got this! ❤️