Personal Finance / Self Help If you recall (that is if you read my blog regularly). I wrote a post awhile back about trying to save $500 dollars a month to reach a goal I had set forth. I have been on this personal finance and self help kick for about a month and a half. I have been reading several books over the summer and I have been putting in the effort to actually do what these personal finance books suggest. (It was hard work.)
One particular book I have been reading and implementing its suggestions is: I will Teach you To Be Rich by Ramit Sethi.
Since I have started this journey, I have written about my fears, my dreams and my love for my wife and children. I do what I do for them. I want to protect my wife financially when “we” are old. It concerns me when the government says social security is almost insolvent and will go broke earlier than expected. When I think about my children, their future and the dreams I have for them. I need to consider how to pay for college as well as what they will eat for dinner tonight.
Personal Finance – sharing w/ you
I’ve not only talked about my personal finances. I’ve talked about a lot of personal intimate subjects. I know it sounds like I pick on my wife but I also share blame in all this. I take full responsibility for the wrong I’ve done. This is why I have written this blog. I spent a lot of time talking about my funny kids, my funny family life. I have shared family vacation trips here on my simple little blog. But this summer I wanted to do more. I want – I need to change my life, my circumstances and I am doing that.
Maybe I am hoping that writing this down, sharing this with you – that you will help me. Keep me honest and accountable.
I do have some good news to report. I have saved $500 dollars in my savings account. Boy, just opening that online savings account was an emotional ride. Mr. Sethi (book author) would be glad to hear that I have a 1.02% APR on my savings account. No more money sitting in my local bank not collecting interest. It was also a difficult challenge to overcome in saving the $500 dollars. Talk about making life choices.
Personal Finance / Self Help
Money is a tough subject to talk about and even a harder subject to tackle. So I am not going to lie to you – I wasn’t sure if I was going to be able to do it. Not only did I do this over the summer at a time when my wife and kids want to go out and have fun. I did it when my pay check was on hold. Its great that I get a few weeks off in the summer but this means they give me my pay in a lump sum. This means I get one check and don’t see another until I return to work (after working a pay period).
Usually this means that I over spend because of summer vacation, family outings and so forth (not to mention birthdays). I also have found that I do not save during the summer and tend to over spend. In fact, like most – I struggle my first week back to work and dip into reserves like my small savings that never grows. (Can you even call it savings when the balance has gone down to zero at times?)
But this summer I made sure I put in the effort. I read the books, took some of my own advice and I had to put my foot down when it came to the wife and kids. That was not easy at all. I am sure those of you who read my post on making my wife sign an agreement thought I was crazy (See Not Funny).
But the month is over, I am looking over my personal finances and I am happy to say I have taken my first step – $500 saved in my savings account. My goal is to save $500 for twelve months and build an emergency fund with the intent to reach a year’s salary in savings. After all, all the financial gurus teach that you should have at least enough money to cover six to twelve months of living expenses.
I am sure my wife is not to happy with me sharing my personal finances online for anyone to see. But writing in this blog has sort of help me be consistent, dedicated and accountable. Even if few ever read this blog – I thank you. Thank you for reading, for sharing and without realizing it, for being my support. Thank You.
But wait, your title said: Save $500 with trick. Where is the trick?
There is no trick. All I did was figure out how much I was spending verses how much I made. I then listed what was important and what was not important to me. I made a decision on how much I wanted to save and how much I could save. Then I set up my account to automatically take a set amount every pay day and move it to my savings account (Out of sight out of mind). The hard part was resisting the urge to dip into that money. You know, that – oh I have extra cash let me go spend it on food, movies or some other thing.
That was my trick. I calculated what my personal finances were (money in and money out) and I set up a system to save money. Then the hardest part was making sure I did not sabotage my personal finance plan. Which is extremely difficult to do – the temptation was always there.