Both my wife and I are retired - living on our pensions along with some sporadic and indeterminate income from various activities. We also have some RRSP investments. For the past few months we have been following Gail Vaz-Oxlade's budget guidelines. We determine our income, deduct Fixed Expenses and distribute our Variable Expenses in cash among 5 jars - see photo.
A couple of points:
1. We only budget based on our fixed income - any additional income goes into savings and
2. So far, we have not included any of our investments in our income - going to give them a few years to recover from the collapse late last year.
So far everything is going OK. We have "tweaked" the budget a couple of times and are both much more aware of how & where we spend our money. We have even modified some of our fixed expenses,e.g. insurances, and are installing a heat pump to lower our heating costs.
Here's a link to Gail's Interactive Budget Worksheet - http://www.gailvazoxlade.com/articles_f/article31-3.htm