What we verified in “A family budget with several incomes: how to build it”

Statements and where we checked them

The statements with rules, figures or dates, with the exact place in the source and the date we checked them.

1. The CFPB's spending tracker tool recommends keeping track of what you earn and everything you spend money on for a month, rather than just a week or two, so you see all your income and expenses in one place; many people who do it discover they are spending in small ways that add up and sometimes do not match their priorities, and others are able to balance their budgets. The method: every time you spend money, put the receipt in an envelope or a case (if there is no receipt, write the amount and what you bought on a piece of paper); add the weekly amounts per category and then the month's total; do not forget bills you share with others; if a whole month seems too difficult, try one or two weeks; circle items that are the same every month (like rent, car or cell phone), which are often your needs and obligations, and identify what you can eliminate or cut back on, which will generally be wants.

   Sources 1 · Spending tracker (November 2018): 'Keeping track of what you earn and everything you spend money on for a month, rather than just a week or two'; 'spending money in small ways that add up and sometimes don't match their priorities'; 'Others are able to balance their budgets'; 'Every time you spend money, get a receipt'; 'into the case or envelope'; 'write down the amount and what you purchased on a piece of paper'; 'Add the weekly amounts per category'; 'Don't forget about bills you share with others'; 'If tracking your spending for a whole month seems too difficult, try it for just one or two weeks'; 'Circle items that are the same every month'; 'These are often your needs and obligations'; 'Identify any areas you can eliminate or cut back on'; 'these will generally be wants' · Checked October 17, 2026

2. The CFPB's cash flow budget tool tracks the timing of your income and expenses to make sure you have enough from week to week; before building it you need to track your income, resources and expenses for at least one month. The starting balance is the total of your cash on hand, prepaid cards and checking and savings accounts; each week you add all the income and benefits you receive (the sheet has lines such as 'Job 1' and 'Job 2') and subtract all your expenses, including everyday expenses, bills and savings. Benefits you use to pay for things you would otherwise pay with cash, such as SNAP and TANF, count too, though some can only be used for specific expenses (SNAP can be used for food, but not household items like paper towels); if you receive a housing subsidy, you include its full value under income and the full market rate of your rent under expenses. What is left is the ending balance: if it is positive, you have enough for the week; if it is negative, you are falling short. One week's ending balance becomes the next week's beginning balance, and if there are weeks when expenses exceed income, the 'Improving cash flow' tool helps brainstorm strategies.

   Sources 2 · Creating a cash flow budget (August 2021): 'tracking the timing of your income and expenses to make sure you have enough from week to week'; 'track your income, resources, and expenses for at least one month'; 'total amount of money available to you from cash on-hand, prepaid cards, and checking and saving accounts'; 'Job 1 +'; 'Job 2 +'; 'Housing subsidy'; 'Include the money you spend on everyday expenses, bills, and savings'; 'such as SNAP and TANF'; 'SNAP benefits can be used for food, but not household items, like paper towels'; 'include the full value of the subsidy under income and resources and the full market rate of your rent under expenses'; 'If it's positive, you have enough income and benefits to make it through the week'; 'If it's negative, you're falling short'; 'Copy your ending balance for the week to the beginning balance of the next week'; 'Improving cash flow' · Checked October 17, 2026

3. A CFPB worksheet records the 50/20/30 rule as common advice: apply 50 percent of your take-home pay to needs, 20 percent to savings and debt payments, and no more than 30 percent to your wants; and notes that it is sometimes hard to apply advice to your own circumstances, that you can decide on your own personal rule that works for your financial situation, and that writing down your goal makes you much more likely to stick to it.

   Sources 3 · My spending rule to live by: 'Use the 50/20/30 rule to manage spending'; '50 percent of your take-home pay to needs, 20 percent to savings and debt payments, and no more than 30 percent to your wants'; 'Sometimes it's hard to apply advice you hear'; 'You can decide on your own personal rule to live by that works for your financial situation'; 'Writing down your goal will make you much more likely to stick to it' · Checked October 17, 2026

4. HUD's housing-program rule sets the tenant's payment at 30% of the family's monthly adjusted income (or 10% of gross income, if higher); that is the federal reference we use to talk about affordable rent.

   Sources 4 · 24 CFR §5.628(a)(1) and (a)(2): '30 percent of the family's monthly adjusted income'; '10 percent of the family's monthly income' · Checked October 17, 2026

5. According to the CFPB, your gross monthly income is generally the amount of money you have earned before your taxes and other deductions are taken out.

   Sources 5 · What is a debt-to-income ratio? (last reviewed August 28, 2023): 'Your gross monthly income is generally the amount of money you have earned before your taxes and other deductions are taken out' · Checked October 17, 2026

6. According to the CFPB, a remittance transfer is an electronic transfer of more than $15 sent from the U.S. to another country through a remittance transfer provider; the provider must tell you the fees and taxes it collects from you, the exchange rate that applies and the amount of money expected to be delivered; you have up to 30 minutes to cancel at no charge, unless the money has already been picked up or deposited; you have 180 days, counted from the date the provider said the money would be available, to notify it of a mistake, and the provider generally has 90 days to investigate and tell you the results.

   Sources 6 · What is a remittance transfer and what are my rights? (last reviewed October 3, 2024): 'electronic transfers of more than $15'; 'Fees and taxes they collect from you'; 'The exchange rate that applies to the transfer, if applicable'; 'The amount of money expected to be delivered'; 'up to 30 minutes to cancel the remittance transfer at no charge'; 'You have 180 days to notify the remittance provider of a mistake'; 'generally have 90 days to investigate' · Checked October 17, 2026

7. The CFPB defines an emergency fund as a cash reserve specifically set aside for unplanned expenses or financial emergencies; to set the goal it suggests thinking about the most common unexpected expenses you have had and how much they cost, and notes that even a small amount can provide some financial security; it recommends a specific goal, a system for consistent contributions (automatic recurring transfers from checking to savings are often one of the easiest, and some people split their direct deposit if the employer allows it), regularly monitoring progress and saving all or a portion of tax refunds or cash gifts; on where to keep it, an account at a bank or credit union is generally considered one of the safest places, and cash can be stolen, lost or destroyed.

   Sources 7 · An essential guide to building an emergency fund (last modified October 29, 2025): 'a cash reserve that's specifically set aside for unplanned expenses or financial emergencies'; 'Think about the most common kind of unexpected expenses you've had in the past and how much they cost'; 'even a small amount can provide some financial security'; 'Setting up automatic recurring transfers'; 'saving all or a portion of that money'; 'cash can be stolen, lost, or destroyed' · Checked October 17, 2026

8. The CFPB's savings booklet advises building a rainy day fund with an action plan, keeping track of everything you spend for a week, setting a goal for how much of your tax refund to save for an unexpected expense, using that money only for unexpected expenses and, if you use it, making a plan to replenish it: using the rainy day fund for an unexpected expense is a success, not a failure.

   Sources 8 · Building your savings? Start with small goals (Your Money, Your Goals), 'Rainy Day Fund': 'Make a plan to build your rainy day fund'; 'Keep track of everything you spend money on for a week'; 'setting a goal for how much of the refund you want to save for an unexpected expense'; 'Using the money in your rainy day fund for an unexpected expense is a success, not a failure. If you need to use the funds in your account, make a plan to replenish it' · Checked October 17, 2026

9. The IRS's VITA and TCE programs prepare basic returns for free for people who generally make about $70,244 or less (individual VITA sites may set their own limit), persons with disabilities and limited English-speaking taxpayers; find a site with the IRS locator or by calling 800-906-9887.

   Sources 9 · Free tax return preparation for qualifying taxpayers (last reviewed October 12, 2026): 'generally make about'; '70,244 or less'; 'individual VITA sites may establish their own'; 'Persons with disabilities'; 'Limited English-speaking taxpayers'; 'use the VITA Locator Tool or call 800-906-9887' · Checked October 17, 2026

10. HUD-approved housing counselors give independent advice on buying, renting, defaults and credit, often at little or no cost.

    Sources 10 · Find a Housing Counselor: 'advice on buying a home, renting, defaults, forbearances, foreclosures, and credit issues'; 'often at little or no cost to you' · Checked October 17, 2026