We do our budget in excel - I just prefer it - and in addition to our monthly bills, we track our "variable" expenses in these categories, which avoids the dreaded "misc" category that things get lost in. A lot of MMMrs stop tracking budgets in general and just abide by the "don't buy anything" motto, but I like having the information in retrospect at years' end and comparing years, etc. This is our third year using these categories and they work well for us.
We have some sinking funds in CapitalOne360 that align with some of these categories (like travel and home repairs), and an HSA for the health related expenses, but most things get cash-flowed because in general, we don't overspend anymore. But I credit that in part to keeping these more specific categories, because its easy to see when you're spending too much on something and be more mindful of that area in future months. IE, "We spent XYZ doing optional home upgrades last year, but we really need to tackle that ultra boring home maintenance issue this year... so let's not buy anything optional for the house this year."
Out to Eat - seperate from groceries, since we only go out if we're with friends, doing a happy hour with workmates, etc.
Entertainment
Home Projects (Optional) - things that we opted to do/buy/upgrade, but didn't have to
Home Repairs (Not Optional) - IE, an urgent or semi-urgent repair
Car Expenses - repairs, new tires, etc.
Child related expenses - things like field trip fee, swim lessons once a year, etc.
Xmas/ Gifts/ Seasonal - gifts to others, family Xmas costs, seasonal activities we do as a family (like pumpkin patch, hosting seasonal brunches, etc.)
Haircuts/Optional Self - haircuts for the whole family, occasional makeup or optional splurge
Clothing
Annual Expenses - things that come up once a year or annually, like Costco/Amazon subscriptions, etc.
Work Related Expenses - things we itemize or write off related to business or contracting income
Medical
Vacations/Travel
Charitable giving
Other goods (optional) - actual things we bought, like new headphones, a lamp, etc.