“I don’t have enough money to save” – Me, in my previous before-I-got-serious-about-a-budget life.
We’ve all said it, Right?!!
YNAB explains that once you start using the system and following The Method you will feel as though you have got a raise.
You become aware of your spending.
I do not save according to any type of formula or percentage. I just add $20, $40, $100 here and there when it is available. Previously all this money was just spent. It went out as fast as it came in.
Since I started about 3 months ago I have been able to save the following:
Buffer: $527.99 Goal is currently at $2000 (no time frame). This is my One Months Wage savings or “Life off Last Months Income” according to YNAB Rule Four.
Emergency: $446.00 Goal is currently $6000 (no time frame), or 3 months wage. This is my job loss protection.
When I started 3 months ago I thought I made $2000 a month. Since becoming aware of my money, where it comes from, where it goes, this is not entirely accurate for most months. It is actually significantly higher. While this makes me very happy it also makes me a tad disappointed in myself. How many years have I made all this money and have nothing to show for it. Uh
Mountain Weekend: $40 This was at $800 in February when I made my last trip. The mountains are my favourite place. My soul rejoices in the fresh air, surrounded by trees and snow covered mountains. I don’t know when the next trip is but I’m getting a jump start on saving for it.
Vehicle Repair: $100 This is for the unexpected. Rock chips, flat tire, burnt out headlight. This is a new category. I do not have a goal for this yet. A couple hundred would cover the *most* likely repairs needed. But of course it’s always the problems we can not/do not anticipate that cause the most grief.
Camping: $50 I did spent $ from this about a month ago on some camping equipment that was on sale. While it may be cold, rainy, and miserable out this week nice weather is HOPEFULLY just around the corner. The savings here will be mostly for the big one week camping trip. It will need to cover my wages for the days I’m off work, food, fuel, fees, etc. It’s amazing how costly it can be to live for a week with no heat or power (that’s right. We sleep in tents and cook on the fire).
I also have categories for Christmas, Birthdays, Weekend Getaways, and Vet bills.
I have started to pay monthly for my irregular bills. Those categories are:
Car Insurance – 3 payments per year, total $850. Starting next month I may start saving to pay for a years worth in November. The 3 payments a year used to always catch me off guard. Especially the February one when I’m recovering from Christmas shopping and the time off over Christmas.
Vehicle Registration – While this is less than $100/year and happens same time every single year, it still always catches me at the worst time, or I outright forget and drive around illegally for months 😦 By saving $7/month I will know it’s time to pay again when I reach the $90 mark 🙂 Sometimes you just have to outsmart yourself.
AMA Membership – My road side assistance. Covers towing, dead batteries, unlocking, etc. It’s about $120 a year for about 5-6 call outs so it more than pays for it’s self, sometimes in one use. I just started this month and will be saving $15/month.
I just love watching these little categories grow month by month. My trip in February was the first time I planned and saved. It was so relaxing to eat at nice restaurants, stay in a nice hotel, and souvenir shop without worrying 1. will my card be declined and 2. how will I pay my bills when I get home.
What method do you use for saving? What are some of your essential and fun savings categories?
Let the adventure continue…