Creating a monthly payment schedule for your various expenses and loans can seem like a daunting task when first starting out. Not only are there a number of factors to consider, but it also needs to make sense for your financial situation. While it can seem like a difficult task, there are a few tips to remember to help create a payment schedule that works for you. 

Determine What Payments You Have
The first step is a very important one, as you will have to determine what payments you will have to make on a monthly basis. Examine the number of payments, how much each payment will be, and the amount of time you have had the payment. This is an important step because you will determine how much it will cost all together and decide on which ones should be prioritized. 

Prioritize Certain Payments
Before finalizing a payment schedule, a crucial step to remember is determining what debts should be paid off first. While it is important to make monthly payments for any debt, there are certain instances where certain debts should take priority. For example, any debt that comes with high-interest rates, including credit card or car payments, should be considered. High-interest payments can make it more difficult to pay the debts off, and can add fees over time. Prioritizing high-interest payments can decrease the timeline to pay off and make it easier to manage payments moving forward. 

Determine Your Debt To Income Ratio
Once you have pulled together all monthly payments and how much each one is worth, the next step is to determine your debt to income ratio. This can be determined by adding up all monthly payments and dividing it by the sum of your monthly gross income. This means that the number should reflect your income before taxes or any deductions. Once this has been determined, convert the final number into a percentage. This number will be helpful when working with lenders about the best monthly payment.

Using the debt to income ratio you calculated, work with your lenders to determine the monthly payment amounts. In many cases, the lenders can work with you to find a payment that you can afford and will not severely impact your financial health. If you find it difficult to maintain the agreed amounts, make sure to communicate with the lenders to ensure that you do not fall behind on payments.