Expenses Category Management

Are you a fan of details? Or maybe you are just wondering how to better categorize your expenses. In this short guide, we’ll cover the most confusing categories and what sub categories they should have to properly manage your finances.

Entertainment

Let’s start with FUN; Entertainment.

Entertainment is such a general term that it can be hard to know what to include in there. 

Here are our suggested subcategories:

• 
  Gaming—This includes video games and anything related to gaming.
• Movies—This includes going out to the movies.
• Alcohol—Of course, it’s going there! Don’t forget your daily Baileys; ain’t because it’s used to give some kick in your coffee that goes in the Food category!
• Tobacco—Sorry to all the smokers out there; tobacco isn’t essential and is purely a life choice, which is why it’s considered in this category.
• Lottery—Those Poker nights with real money? Yup. All types of gambling or lottery should be added in this category.
• Hobbies—Anything else related to hobbies and filling your free time.

Gifts and Donations

Now, what about gifts and donations? Does it only consider direct donations to non-profit? No.

Here are our suggested subcategories

• 
  Christmas gifts—If you have kids, you know that gifts should be categorized under Santa Claus.
• Weddings—You got it right. If you happen to give a gift for a wedding, it should be included here.
• Baby showers—What usually happens after a wedding? Babies! Baby shower gifts are to be included here.
• Funerals—Now let’s get down the hype a bit. The saddest part of the gift and donations are expenses related to funerals.
• Birthdays—For the rest, I hope you know that at birthdays, you do include gifts (well, most of the time).
• “Loans” to family and friends—There’s also that unwritten rule that when you “lend” money to a friend or family member, you should consider that as a donation and don’t have expectations on the payback.
• Charity—Other than that, anything that you give to charity is also considered a Donation.

Housing

Housing expenses are big, and so are their subcategories’. 

Here are our suggested subcategories:

• Home maintenance—This includes any expenses done in the goal of maintaining your house’s structure, fixtures and fittings; basically just keeping it safe.
• Improvements—Home maintenance is great, but not satisfying when you want to improve your house’s design and feel.
• Housing services—Do you have a maid or people doing your landscaping? Those services should be included in this category.
• Logs—Winter is around the corner, and you like to get warm and cozy next to the fireplace? Then expenses on logs are part of this category.
• Propane—Same thing should apply if you are using propane to heat your place!

Food

Last but not least. The most important expense category: food (a.k.a. groceries). 

As for its subcategory, as someone who works most of the time, I require a lot of COFFEE! Yes, this best-ever-made drink should be included in the food category if you want to track it down in your finances.

Manage expenses in greater detail

If you want to manage your own specific expense categories in greater detail, Miza offers you the ability to create unlimited categories and subcategories in our Premium plan. You’ll get custom categories/subcategories and in exchange we’ll get best-ever-made drinks for the team. It’s a win-win scenario! 

Have fun managing your finances :)