I would suggest that you sit down with a piece of paper and brain storm what your expense are. I will tell you now that you won't be able to think of everything so you will have to make adjustments later. It's hard to remember things like Vet bills.

Now that you know what your income, bills and expenses are you have to set up your savings if you don't already have one. This should be split into long and short term savings. This should be considered just as important as your bills.

It is best to save at least 10% of your income with 50% each going to long and short term savings. The short term saving is going to be your buffer to cover unexpected expenses and possibly for things that are only paid every three, six or twelve months.

Your long term savings needs to be invested in some way. It is always best to consult a professional financial adviser before making a decision how to invest.

Now to answer question "Can I Afford This?". If you have enough money left over, after considering all of above, to afford an extra payment then go for it.

Here is a simple formula:

Income - Bills - Expenses - Savings = How much money you have to pay that extra bill

If item you are considering is important you may want to use some of your short term savings toward things like a down payment. But remember you still have to have enough money each month to cover regular payment.

What if you don't have enough to cover that extra payment? Then you quite simply Can't Afford It.

If one category exceeds 30% by very much that is part of problem. This is area where you need to concentrate your efforts.

You can approach this in two different ways. The first method is to cut your spending in category that you have determined to be problem. The second is to cut spending or expenses in other categories to make up difference.

I recommend that you be careful about cutting your Household Expenses too much. While you can cut your grocery bill and some other areas, you will need a certain amount of money to run your household.

No matter what your current money situation you can find help on internet free. Be careful not to fall into many scams that are currently all over web. To get you started you can visit Budget Stretcher Partner Sites below:

TheFrugalShopper.com http://www.thefrugalshopper.com BetterBudgeting.com http://www.betterbudgeting.com The Stay-at-Home Parents Page http://www.geocities.com/sahmlomano/index2.html Debt Smart http://www.DebtSmart.com Greedy Fools.com http://www.greedyfools.com Brighter Futures http://www.brighterfutures.com Freebie Haven http://www.121fun.com FreelanceByU http://www.Freelancebyu.com MoneyMakingMommy.com http://www.moneymakingmommy.com Tidbits from Pantry http://www.humansrv.net Usave2day.com http://www.usave2day.com

As with any other type of problem you are not going to solve your money problems by worrying about them. It takes action. The sooner you get started better.