How to Set a Daily and Monthly Budget in Google Ads

When running paid campaigns in Google Ads, budgeting isn’t just about choosing a number, it’s about setting a clear strategy that balances reach, ROI, and long-term goals. Whether you're a small business or a large-scale advertiser, understanding how to set a daily and monthly budget in Google Ads can save you from wasted ad spend and ensure your campaign stays profitable.

1. Understanding Google Ads Budgeting Basics

Google Ads allows you to control costs in two primary ways:

• Daily Budget: The average amount you’re willing to spend per day for a campaign.
  

• Monthly Spend: Google calculates this based on your daily budget multiplied by 30.4 (average days in a month).

Important: Google may exceed your daily budget by up to 2x on high-traffic days but will not go over your monthly limit.

2. How to Set a Daily Budget in Google Ads

Follow these steps:

1. Go to your campaign settings.

2. Under the “Budget” section, input the daily amount you want to spend.

3. Click Save and monitor performance closely.

Tips:

• Start small (e.g., $10–$50/day) and increase after evaluating performance.

• Base your daily budget on your average Cost Per Click (CPC) and expected traffic.

3. Calculating a Monthly Budget

To estimate your monthly Google Ads cost, use this simple formula:

Daily Budget x 30.4 = Estimated Monthly Budget

Example:
$20/day x 30.4 = $608/month

You can also use Shared Budgets if you want to manage spend across multiple campaigns in one go.

4. How to Choose the Right Budget

Your budget should align with your campaign goals. Here’s a quick guide:

Campaign Goals

Brand Awareness

Low CPC, wider reach, larger budget

Lead Generation

Recommended Budget Strategy

Mid-sized daily budget, focus on Target CPA

E-commerce Sales

ROAS-focused with flexible budget scaling

5. Tools & Resources to Help Plan Your Budget

• Google Ads Performance Planner
  

• Google Keyword Planner (to estimate CPC)
  

• Historical campaign data (if available)
  
  

Pro Tip: Use conversion tracking and Smart Bidding (like Maximize Conversions or Target ROAS) to let Google optimize budget allocation automatically.

Conclusion:

Setting a daily and monthly budget in Google Ads is all about understanding your goals, monitoring performance, and being flexible. Start with a manageable amount, test results, and scale what works. With the right budgeting strategy, you’ll avoid overspending and maximize the value of every click.

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At Ads with Finesse, we specialize in crafting ad campaigns that highlight the best customer experiences, ensuring your audience connects with your brand on an emotional level. Our team carefully selects authentic, high-impact reviews and seamlessly integrates them into your ad strategy.

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Check out our blog and services at adswithfinesse.com.