There, I said it. I’m saving $10,000 in a year. If you’ve read my last post, you’re probably thinking… “But Joleen, you couldn’t even save $1,000 this year!” And you’re right, I couldn’t. Or rather, I just didn’t. I made more money, and subsequently spent more money than I even have. I’m ending 2021, with $5,000 in consumer debt and over $23,000 in student loan debt.
So, how to save money? The first thing I did was put together a budget. I purchased an editable download from Etsy about 6 months ago to use in Google Sheets. I actually used it for the second half of 2021, which really helped me evaluate my expenses. When you’re first learning how to budget, you want to be honest about your spending. Track every single thing you spend money on. When you’re creating your budget, you’ll track your income, bills, variable expenses, savings, and debt. The tracker I use updates the amount available to budget and spend, and gives a spending breakdown. I am a visual person, so I love this pie chart! It might seem obvious, but the way to save money is to spend less than you make.
I know, I know. Duh. But I also know that for a lot people like me, it’s easier said than done. In 2022, I’m doing things differently. I took a good, hard look at my history with money, and decided that enough is enough. My vision for the future is one of financial freedom and a legacy of wealth. I’ve got to start somewhere, so that’s exactly what I’m doing!
What I’m Working With
I plan to share a monthly series that includes a breakdown of my budget each month this year. Because of the field I’m in, my income can fluctuate from month to month. For this reason, I will also share a month-end recap and evaluation. I am looking for ways to add wealth creation and will include anything new I try to these posts as well.
This will not be your typical family budget, but I think it can still be helpful for many people, especially young people (teens and college students) just getting started with budgeting and saving. The budget I share will not include my husband’s income, household bills, or debt. This budget strictly covers the income I bring in, my bills (mostly business-related), my personal debt repayment, and savings progress.
I’m saving $10,000 in a year: What I’m Saving For!
Here are my savings goals for 2022:
|529 College Savings||$600|
|52-Week Challenge (to be used to open a Roth IRA at EOY)||$1,000|
|Benjamin’s 10th Birthday Party (any overflow will go toward 529)||$600|
|Disney Cruise/40th Birthday||$3,500|
|Summer Camp Funds||$600|
|Husband Savings (gift)||$500|
Thank you for following along!