How-to
How to build a budget spreadsheet from scratch (a 6-column starter)
Updated August 2026
To build a budget spreadsheet from scratch, make six columns, Date, Category, Description, Planned, Actual, Variance, list your income at the top, list your spending categories below, and let one formula show income minus everything else. You can type this in about ten minutes in any free spreadsheet (Google Sheets, Excel, or a Vertex42 starter). Follow the CFPB’s four steps, list income, track spending, map bill dates, build the budget, and you have a working system with no subscription.
The whole thing in one lineSix columns (Date, Category, Description, Planned, Actual, Variance), income at the top, a =Planned−Actual formula in the variance column, and a “left to assign” cell if you want it zero-based. That’s a complete budget.
Step by step (the CFPB four steps, in a sheet)
Based on the CFPB’s four budgeting steps, mapped to spreadsheet actions.
| Step | CFPB says | In your spreadsheet |
|---|
| 1 | Identify all income | Put total monthly after-tax income in one cell at the top |
| 2 | Track your spending | Log each expense: Date, Category, Description, Actual |
| 3 | Map bill due dates | Add a due-date column or tab so you spot tight weeks |
| 4 | Build a working budget | Set a Planned amount per category; add =Planned−Actual |
The six columns
Date (when it happened), Category (rent, groceries, fun), Description (the specifics), Planned (your target), Actual (what you spent), Variance (=Planned−Actual). Sum Actual by category with SUMIF to see totals. That’s the entire engine.
Add your method
For 50/30/20, tag each category needs/wants/savings and check the three totals hit 50/30/20 of income. For zero-based, add a cell: income − SUM(Planned), and drive it to zero. For plan-vs-actual, the Variance column already is the method.
Don’t want to build it?
Then you’re choosing convenience: a free pre-made template (Vertex42), a paid one-time template, or automation (Tiller). Building it yourself is free and teaches you exactly how your budget works.
Worth a lookIf you’d rather skip the build, sheetfolk has a free manual template with the formulas already wired, or ready-made budgeting sheets (
$9, $29, lifetime ownership) if you want more polish. Building it yourself in a free sheet costs nothing either; a template just saves the setup.
sheetfolk →
Frequently asked questions
How do I make a budget spreadsheet from scratch?
Create six columns, Date, Category, Description, Planned, Actual, Variance, put your monthly after-tax income in a cell at the top, list your spending categories, and add a formula of Planned minus Actual in the variance column. Following the CFPB's four steps (income, track spending, map bills, build the budget), this takes about ten minutes in any free spreadsheet.
What columns should a budget spreadsheet have?
At minimum: Date, Category, Description, Planned amount, Actual amount, and Variance (Planned minus Actual). Add a due-date column for bills and a category summary using SUMIF. Those columns support 50/30/20, zero-based, and plan-vs-actual budgeting without any changes.
Is it better to build a budget spreadsheet or use a template?
Building it yourself is free and teaches you exactly how your budget works. A template, free like Vertex42, or a paid one-time layout, saves setup time and gives you a polished design. Neither has more budgeting capability; the choice is time versus learning.
What formula makes a budget spreadsheet zero-based?
Add a cell that calculates income minus the sum of all your planned category amounts, for example =Income-SUM(Planned range). Your goal is to assign categories until that cell reads zero, meaning every dollar has a job. That single formula turns any spreadsheet into a zero-based budget.