26 Out of 32: Budget

I live in one of the most expensive cities in the world.  It isn't easy when you have student loans and a fixed income.  I have to admit I'm often envious of friends who can take multiple vacations abroad each year, have endless shopping sprees, and seem unburdened because their parents help them with things like rent, cell phone bills, etc.

But never having that luxury has forced me to be responsible for myself and my own finances.  I have a 401K but would like to be able to have more saved for both the future and in my current savings.  Some people call that a rainy day fund, I refer to it as Shit Hits the Fan account.  Hopefully I never have to deal with a medical emergency, sudden job loss, family crisis, etc but I want to be prepared if I do.  I also want to have more money for the fun things in life I want to do.

How do I get there though?  Prioritizing!  I downloaded Mint which is a great budgeting app.  I want to track where I am spending my money, where I can make cuts, and figure out what my priorities are so I know were to spend and where to save.  This is step one in something that will be a larger project over the next year...that's right already thinking about 33 before 33.  :O

Photo by doctorwonder

11 out of 32: Save More

Last month was about splurging and treating myself better.  This month is treating myself better in a different way, through saving.  I may not splurge on myself all the time, but like most 30 somethings I still have student loans to pay and would like to be saving up more.  I have a 401 K, but I would like to be putting more towards that.  I'd also like to have more in my current savings to feel more secure if an emergency comes up and be able to travel more.

This month I challenged myself to see where I could cut.  Even when you don't think you are overspending, things like those lattes, impulse purchases at the grocery store, etc. can add up.

Here is what I've done so far, not finished with cutting, but it is a start.

1. I got rid of my cable. I made a one time purchase for a Roku which paid for itself in less than two cable bills.  I'm not home that often and now I can stream Netflix, Amazon, and 1000s of free channels with no monthly fee.  I have saved myself $492 a year.

2. Coffee.  I love coffee more than I love most people.  I used to have a cup at home and grab another on the way to work.  Now we have a really nice coffee maker at work, so I've cut down on grabbing a drink on the way in.  I allow myself one latte or coffee from a coffee house per week as my treat.  I have saved myself $416 a year.

3. Bringing in lunch to work.  I'd love to get up to five days a week, but I'm currently averaging three.  I bring my own lunch twice a week and once a week I'm part of a lunch club where we make lunch for each other so it is only my turn every fifth week.  This will hopefully result in a fatter wallet and a smaller waste line.  I've saved myself: $1,008 a year

4. Going out less.  I decided to go out one less night a week.  That means either working on personal projects, having some me time, or having friends over/going to their place where spending money isn't involved.  I've saved myself: $1, 144 a year

This is just the start.  So March is done and I'm 11/32.  Keep in mind I have a few in the works right now, but I don't believe in premature celebrating so I'll post those as they come.

Photo by Philip Brewer