Savings - starting from 0
All the money saving gurus say that you need to have an emergency savings account. How much is in there depends on who you listen to. I'm going to start with $5000. So I've added a little tally of how much I have saved so far - $0.
That's right! Like most Americans, I have no savings. Every time I get some money put away, it ends up getting spent on bills or the car, or sometimes just plain shopping. I even have it set up where I put away $25 every 2 weeks (on the day I get paid as a recurring transfer) and every time I use my debit card, the amount I spend gets rounded up to the next dollar and the difference gets put into savings. Have I mentioned that I'm not that great with money?
It's all going to change, though. I have a set dollar amount set. Once I have that money saved, I'm going to start paying down these bills. Because what's the point in paying down the bills, if you have nothing squirreled away to handle emergencies? You then use the credit cards again for the emergencies and get nowhere. So, by having the $5000 in savings, I can then focus my energies on paying down the bills.
But, it's going to take a long time if I'm only saving $50 a month plus pennies from everything I'm spending. Yes, yes it is. So, to make it go a little faster, I've come up with a plan.
First, at the end of every pay period, I'm going to look at my checking account and transfer what I have left in it to my savings, before my paycheck hits. So, essentially, I'm starting at zero every paycheck. So, if I have $10 left on Thursday, and I get paid on Friday, that $10 is going into savings. Not rolling it over into the next paycheck to spend. Then Friday, I start with a whole new set of downs (so to speak). If you're into football, you know what I mean.
I'm also in the process of de-cluttering my house. One person's trash is another person's treasure, and you can sell a lot on Facebook. I belong to a bunch of local garage sale groups, so I post what I don't want online with a picture and a price. If someone wants it, I meet them at a public place, and we exchange. The next day, I stop at my bank and deposit said money into the savings account. I recently bought myself a KitchenAid mixer, and I had 2 other mixers. I wasn't going to use them, so I sold them for $10.00 each. Facebook is wonderful.
I also have a couple side hustles. I knit and crochet, make stickers for planners and calendars, make vinyl car decals and help people organize their lives. All that money that I make will go into my savings account. I'm also helping my Mom downsize her Longaberger collection. All that money I get to keep (because my mom knows my financial situation) and it all goes into savings.
I'm hoping to have my savings account growing and where I need it by April. Because all my tax refunds are going to go in there as well.
Now, before you ask - yes, I'm still going to be paying my bills. I can't afford to keep going further into debt. So everything is still going to be paid. But I want to be completely honest with you (my audience or maybe just me). So every penny I make, every penny I spend, is going to be posted. I will show you all my tips and tricks that I use to keep organized. Yes, I have spreadsheets. Yes, I am a little meticulous in nature, but it's a good thing. I'm hoping that some day, my message will reach someone who desperately needs it - needs the encouragement to know that a single parent can save money and pay his or her bills and even pay down their debt.
It's going to be tough - I won't lie. And I'll make some mistakes, but I'll post those mistakes so that you can also learn from them.
That's right! Like most Americans, I have no savings. Every time I get some money put away, it ends up getting spent on bills or the car, or sometimes just plain shopping. I even have it set up where I put away $25 every 2 weeks (on the day I get paid as a recurring transfer) and every time I use my debit card, the amount I spend gets rounded up to the next dollar and the difference gets put into savings. Have I mentioned that I'm not that great with money?
It's all going to change, though. I have a set dollar amount set. Once I have that money saved, I'm going to start paying down these bills. Because what's the point in paying down the bills, if you have nothing squirreled away to handle emergencies? You then use the credit cards again for the emergencies and get nowhere. So, by having the $5000 in savings, I can then focus my energies on paying down the bills.
But, it's going to take a long time if I'm only saving $50 a month plus pennies from everything I'm spending. Yes, yes it is. So, to make it go a little faster, I've come up with a plan.
First, at the end of every pay period, I'm going to look at my checking account and transfer what I have left in it to my savings, before my paycheck hits. So, essentially, I'm starting at zero every paycheck. So, if I have $10 left on Thursday, and I get paid on Friday, that $10 is going into savings. Not rolling it over into the next paycheck to spend. Then Friday, I start with a whole new set of downs (so to speak). If you're into football, you know what I mean.
I'm also in the process of de-cluttering my house. One person's trash is another person's treasure, and you can sell a lot on Facebook. I belong to a bunch of local garage sale groups, so I post what I don't want online with a picture and a price. If someone wants it, I meet them at a public place, and we exchange. The next day, I stop at my bank and deposit said money into the savings account. I recently bought myself a KitchenAid mixer, and I had 2 other mixers. I wasn't going to use them, so I sold them for $10.00 each. Facebook is wonderful.
I also have a couple side hustles. I knit and crochet, make stickers for planners and calendars, make vinyl car decals and help people organize their lives. All that money that I make will go into my savings account. I'm also helping my Mom downsize her Longaberger collection. All that money I get to keep (because my mom knows my financial situation) and it all goes into savings.
I'm hoping to have my savings account growing and where I need it by April. Because all my tax refunds are going to go in there as well.
Now, before you ask - yes, I'm still going to be paying my bills. I can't afford to keep going further into debt. So everything is still going to be paid. But I want to be completely honest with you (my audience or maybe just me). So every penny I make, every penny I spend, is going to be posted. I will show you all my tips and tricks that I use to keep organized. Yes, I have spreadsheets. Yes, I am a little meticulous in nature, but it's a good thing. I'm hoping that some day, my message will reach someone who desperately needs it - needs the encouragement to know that a single parent can save money and pay his or her bills and even pay down their debt.
It's going to be tough - I won't lie. And I'll make some mistakes, but I'll post those mistakes so that you can also learn from them.
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