|I love the colours of Australian|
I see a lot of articles on the virtues of having a significant amount of money set aside in case of unemployment or an unexpected major life event. Some call it their mojo money or an emergency fund or a safety stash.....usually six months worth of expenses or income set aside untouched.
No doubt this is a worthy ideal and a goal to be achieved in the name of self reliance and financial prudence - but gosh....so, so difficult to achieve without significant raw will-power! So here is another way to achieve it.....by stealth.
Using this method you will be one month ahead in bill money at the end of 12 months, two months ahead in all bill money at the end of 24 months....and so on and so forth. Every year you accumulate another month of bill money.
|Using up our copious eggs|
HOW TO DO IT:
1. Take your current budget and calculate it back to what you need to put aside for all your necessary bills on a weekly basis.
2. Next, take that weekly amount and multiple this by 52. This gives you your yearly amount required for necessary bills.
3. Finally, take this yearly amount and divide by 47.5 (yes it must be exactly 47.5). This is now your new MAGIC weekly amount that you need to set aside for bills without fail.
|Living a great life is 100% possible|
on a tight budget.
By following this budgeting secret, you will have a full month of your budget money completely unused and untouched at the end of the 12 months.
Keep employing this method year on year and specifically NOT touching that excess at the end of each year, your emergency/mojo/safety stash will grow by another month every single year with minimal weekly impact on your back pocket. You will hardly notice this sneaky, incremental stashing method.
Just think - if you did this quietly without fanfare for 12 years, you would have an emergency fund with 12 months worth of bill money stashed away....without hardly noticing it had happened.
|No meat meal - still delicious.|
Lean in, give it a try - it is so low impact, so incremental, so sustainable, so doable, so simple, so clever.
Take care and stay nice.....and please pass on this budgeting tip freely every chance you get.