Building a reasonable budget requires planning and foresight in order to accurately assess expenses and determine how much money can be allocated for different expenses. A basic budget should include income, savings, fixed expenses, variable expenses, and debt payments. Income sources should include wages, investments, and any other reliable sources of income. Savings should be allocated towards emergency funds and retirement accounts. Fixed expenses are costs that stay the same every month such as rent, car payments, and insurance. Variable expenses are expenses that can fluctuate month-to-month such as groceries, gas, or entertainment. Finally, debt payments should be included in the budget and should be paid first as they often carry higher interest rates. Once all expenses have been calculated, it’s important to review the budget regularly in order to make sure expenses do not exceed income. Additionally, it is important to track spending in order to make sure budget goals are being met.