Budgeting Archives - Hanover Mortgages

January 16, 2022

Dear Penny: I’m So Frugal I Make My Own Toothpaste, So Why Am I Always Broke?

Dear Penny,
So you need to ask yourself some tough questions. Would you rather work your dream job or a job that offers financial security? How important is it that your job actually uses your master’s degree?
College was a struggle for me. As a student with a learning disability, I struggled and school took longer. When I graduated with my master’s of arts in 2008, the economy collapsed, and we went into survival mode.
We are struggling to stay on a budget with three kids. With increasing prices for basics, we find ourselves back in that space of struggle, overdraft and panic. We’ve tried using budgeting apps and find them confusing or hard to keep up with.
You have two part-time jobs. But two part-time jobs often don’t add up to one full-time job in terms of compensation. You may not qualify for benefits like health insurance or a company 401(k) match when you’re not a full-time employee. Career advancement can also be hard when you’re a part-timer. That’s not to mention the brain drain that often comes with working two jobs.
Taking a hard look at your current jobs is going to be difficult. You finally found your dream job after a decade of struggles. You made significant sacrifices to earn your master’s degree, and you’re still paying for your education.
Get the Penny Hoarder Daily

Keep in mind that most people aren’t working their dream jobs. That doesn’t mean they don’t pursue their passions. It’s entirely possible to work a full-time job because it offers good pay and benefits, and then do what you love on the side. There are countless 9-to-5ers whose true passion is blogging, podcasting, volunteer work or playing in a band.
Robin Hartill is a certified financial planner and a senior writer at The Penny Hoarder. Send your tricky money questions to [email protected] or chat with her in The Penny Hoarder Community.
Source: thepennyhoarder.com

If you earned your master’s in a discipline like arts or social work, you may need to accept that a better-paying job may not take advantage of your degree. That’s not to say you’ll never use the skills you acquired from your education. But you may need to shift gears and look for jobs that don’t require your specific degree.
For example, you might have separate envelopes for groceries, clothing, gas and pet expenses. You put the amount of cash you’ve budgeted for each category in the envelope. If you run out of cash for that envelope, you’re done spending in that category for the month. Only in a true emergency do you turn to your debit or credit card.
Ready to stop worrying about money?
People don’t go broke from buying grocery store eggs and name-brand toothpaste. What you have isn’t a spending problem. You clearly have an income problem — meaning you aren’t bringing in enough income to pay for basic expenses and save for the future.
We have done everything we can to survive: We got our grocery budget down by eating a lot of rice and lentils, by getting eggs from a friend and milk from a local farmer. We use free apps and the library for streaming apps. We make our own toothpaste. We are thrift store champs for clothing.
-J.
There’s so much you’ve done right here. You’ve found creative ways to be frugal, while still providing for your family. You own a home. You’re making progress on your student loan. Now it’s time to take stock of how to maximize your income, even if that means your passion won’t be your full-time job.
There’s only so much you can cut from your variable expenses, i.e., the ones like groceries, clothing and entertainment that you have some control over on a daily basis. Your fixed expenses, like housing, transportation and student loans, tend to eat up a much bigger chunk of your budget, and they’re a lot harder to cut.
This approach can help you avoid overdrafting. Sometimes it helps people identify areas where they didn’t realize they were overspending. But I suspect that in your case, this method will highlight the difficult reality so many Americans are facing right now, which is that income is the problem.
Privacy Policy
You don’t say what subject you earned your master’s degree in. But it sounds like it’s not in a particularly lucrative field.

Dear J.,

<!–

–>

After 10 years of struggle, I FINALLY found my dream job, which is part time. Now I have a second job that uses my master’s degree, but it’s only 10 hours a week. With family help, we were able to buy a house. With two jobs, I am finally able to start paying on student loans and not defer them.

January 12, 2022

Get Ready Because Itâs #TimeToMint!

Today, we’re excited to introduce our #TimeToMint campaign, a reminder that wherever you are, whenever you want, for whatever you need — anytime can be a time to Mint. Taking a moment to Mint before making financial decisions is an opportunity to make progress toward any goal, whether it’s to stay on budget, to save for a big purchase, or to make strides in paying off debt.

We know goals may change, life gets messy, windfalls appear, and your feelings about your finances may move around from week to week. No matter what life throws your way, we’re there for you through your biggest life moments, daily realities, and everything in between.

Seeing Minters achieve their goals is the greatest reward and we can’t wait to see what you will do next!

What are your tips and tricks for staying motivated? How do you use the Mint app to accomplish your goals – big AND small? We want to hear! Share with us here and on Twitter and Instagram.

Learn more about security

Source: mint.intuit.com

January 12, 2022

Should I Take a Job With No Benefits? Hereâs What to Know

At some point in your career, you may come across the dream job post: a challenging opportunity complete with the perfect location, room for growth and great company culture—but the employer doesn’t offer benefits.

Whether you’re currently interviewing for a job with no benefits or want to learn more before applying, ask yourself: What should I consider before accepting a job without benefits?

These insights from the experts will help you weigh your options to decide if accepting a job with no benefits is right for you both professionally and financially.

But first: Here’s why employee benefits are so important.

What is the importance of employee benefits?

To give you a sense of how much employer benefits are worth, a federal employment survey found that they make up about 30% of an employer’s total compensation cost. Broken down, only two-thirds of your paycheck is actual pay, so benefits are a major incentive to employees and a major cost for employers.

So, what are job benefits? Job benefits generally include health insurance, a 401(k) or other retirement savings plan and paid time off. A company may offer other fringe benefits too—such as free meals in the office, mental health days or daycare—which can have a surprisingly large impact on whether or not you accept a job without benefits.

In certain situations—for example, if you’re looking for career opportunities during a recession—benefits may be off the table. Whether the lack of benefits is related to economic conditions or another factor, it’s important to assess your own finances before deciding: Should I take a job with no benefits?

How can accepting a job with no benefits affect me financially?

To determine the financial impact of accepting a job without benefits, it helps to have a budget that covers your current job, says Tim Jordan, certified financial coach and founder and CEO of Atypical Finance.

Your budget will help you crunch the numbers to see if accepting a job without benefits is a smart move. If you’re switching from a job with benefits to one without, you may find that once you budget for the additional expenses currently covered by your benefits, a higher salary wouldn’t result in a net financial gain, Jordan says.

If you accept the new job, you will be responsible for paying for your own insurance, contributing to a retirement plan and budgeting for unpaid time off. Your updated budget will make it much easier to manage those new costs.

To determine how these expenses will fit into your budget, rules of thumb aren’t precise enough. You need real numbers, says Ashley Patrick, financial coach and founder of Budgets Made Easy.

These are the biggest expenses you’ll need to calculate if you accept a job without benefits:

1. You’ll pay for your own medical insurance

Health insurance coverage can vary widely depending on the plan you select. That’s why you should write down your specific health needs before getting quotes from potential insurers, Patrick says.

Do you take prescription medications? Do you require specialized treatment for a condition? Your answers to these questions can influence the type of health insurance plan you choose. From plan types to coverage, you have a lot of options. You want to make sure your needs are taken care of and that you’re not paying for coverage you don’t need.

For health and dental insurance, you can search your state’s marketplace to gauge the monthly premiums for your medical needs, Jordan says.

“If you want to keep health, dental and vision insurance packaged together, contacting an insurance broker will be your best bet,” Jordan says.

Jordan recommends gathering three to five quotes. From there, you can add your monthly premium cost into your budget, as well as estimate how your new insurance coverage will impact your current medical spending on things like medication and doctor visits.

2. It’s up to you to keep your retirement savings on track

Even if you don’t have an employer-sponsored retirement plan, you should still save for retirement with an IRA, Jordan says.

“The opportunity cost of not investing is too high,” he says. “I strongly recommend investing in a Roth IRA or Traditional IRA so you can continue to grow your money. Start with the same percentage you’re investing now and add that to your list of monthly expenses.”

If you were investing more than the allowable annual limit for IRAs, which the government sets at between $6,000 and $7,000 per year, Jordan recommends investing the difference into low-cost index funds that track the performance of the broader market. This money won’t reap the same tax advantages, but your retirement savings will still grow over time.

If your current employer matches a percentage of your retirement savings, calculate this figure to help you better understand the financial loss, Jordan says. While this will reduce your retirement savings rate going forward, it won’t necessarily have an impact on your budget—unless you choose to replace the loss with money from your salary.

The bottom line: Whether you receive benefits through work or not, make retirement saving a priority. If you need some tips to get started, here’s how to make a retirement budget.

3. You won’t have paid vacation days

If you won’t be paid for time off, it’s likely you won’t take as much time off, Jordan says. But don’t be tempted to just barrel through without planning for any vacation or sick time, because that will quickly lead to burnout, he adds.

Do the math: Use a paycheck calculator to get a very close estimate of how much your biweekly paycheck will be after taxes and withholdings for programs like Social Security and Medicare. Divide that by 10 days to calculate how much money you would make each workday at your new potential place of employment, Jordan says. Then multiply that by how many days you think you’ll take off.

That will give you the total cost of your time off. Then, to determine how much should go into a monthly budget line item to cover this, simply divide by 12. Once this number is accounted for in your budget, you’ll have a realistic idea of the impact—and you’ll be able to afford a well-deserved break should you end up accepting a job without benefits.

How can I calculate whether a job with no benefits is a good offer?

Now that you’ve determined the extra expenses you need to cover in your budget, the next step is to determine whether this is actually a good offer for you.

Jordan recommends using the paycheck calculator above to see what your monthly income would be after state and federal taxes. Then, subtract the new monthly expenses you would have (medical, retirement and vacation) to get an idea of your real take-home pay. Lastly, pull out your latest paychecks to compare this figure to your current monthly salary. Looking at these numbers side by side can help you get closer to your decision.

When should I reject a job without benefits?

After you’ve calculated what your new salary would amount to after taxes and expenses and compared it to your current salary, Jordan wants you to ask yourself a couple questions. “Does the new salary cover your new expense amount and still give you room to live and breathe? Are you coming out ahead with more cash flow or behind with less cash flow?”

If you’ll be in the same or an even better financial position with your new job with no benefits, then you may want to seriously consider accepting the offer. However, if the loss is greater than the gain, then your next step is to negotiate.

What are some tips for negotiating a salary without benefits?

After receiving an offer, don’t be afraid to negotiate a higher starting salary in light of the lack of benefits, Patrick says. “It doesn’t hurt to ask, and the worst they can do is tell you no,” she says.

This can be key as you contemplate: Should I take a job with no benefits? Here are a few tips for negotiating a job offer before accepting a job without benefits:

Tell your potential new employer what your current job is paying, including all the benefits (your true salary), and how much money replicating those benefits will add to your monthly expenses, Jordan says. Then say, “Based on those amounts, I am going to need $X per year. Is this possible?”
If a salary bump is a no-go, ask for non-salary benefits like a health insurance stipend; reimbursements for day care, tuition or housing; moving expenses; flexible scheduling; some or more paid time off; or funding for professional development opportunities, Patrick says.

It will likely be more difficult to get a bump in pay or benefits after you’ve started your new job, so be sure to take Patrick’s advice before you do.

How do I financially prepare after accepting a job with no benefits?

If you choose to accept a job with no benefits, you will have to manage your own “benefits.” Patrick calls this “the awareness bump.” You are responsible for not only budgeting the money, but for setting up your necessities like health insurance and paying for them on time each month.

After establishing your own self-funded benefits, Patrick recommends doing two important things that will re-create the experience of a benefits-carrying job:

Create separate accounts for key expenses. Open a separate savings or checking account dedicated to each expense, such as one account specifically for your monthly insurance premiums. Multiple savings accounts can help you manage these expenses, ensuring you always have the money.
Automate payments and savings. When you have a job with benefits, you don’t have to do much of anything to fund these expenses. Mimic that experience with automatic payments, like monthly contributions to an IRA, to ensure the money gets where it needs to go.

Be sure to choose what’s right for you

Still asking yourself, “Should I take a job with no benefits?” If you take these steps, you should have a clear idea about the unique-to-you financial pros and cons of accepting a job without benefits. At the end of the day, your job isn’t just about money, Patrick says. While you want to ensure the job offer is financially sound, that’s not the only consideration.

“Just because a job doesn’t have benefits doesn’t make it a bad financial decision,” Jordan says. “If your current job is making you unhappy, or if the opportunity to fulfill what you feel is your life’s purpose comes around, the benefits may not matter as much.”

By carefully weighing your options and considering your unique situation, you’ll be able to determine whether a job with no benefits is right for you, both career-wise and money-wise. If you decide to take the plunge, here’s how to financially prepare for a job transition.

Articles may contain information from third-parties. The inclusion of such information does not imply an affiliation with the bank or bank sponsorship, endorsement, or verification regarding the third-party or information.

Source: discover.com

January 8, 2022

The Penny Hoarderâs Top Budgeting Stories of 2021

Your household runs better when you and your significant other are on the same page about spending, saving and other financial decisions. Sharing the same budgeting app helps you and your partner stay in sync.
Get the Penny Hoarder Daily
There’s no way to predict how long you’ll need your retirement savings to last, so it’s important to be a conscious spender after you’ve said goodbye to your 9-to-5.

10 Top Budgeting Stories From 2021

We talked with Lowry about how to navigate those essential but uncomfortable conversations.

1. Save Money Every Month With the 70/20/10 Budget

This year, we caught up with financial influencer Erin Lowry to discuss her latest book “Broke Millennial Talks Money.” The book details how to have those awkward money discussions with the important people in your life.
Source: thepennyhoarder.com

If you’re not a fan of the 70/20/10 budget, try one of these other budgeting methods.

2. Prioritize Health in Your Budget With These Cheap Gym Memberships

2021 was a record year for people resigning from their jobs. But income loss — whether intentional or involuntary — can be a major source of financial stress.
If you’re in this boat (or are about to be), here is some helpful advice on how to handle financial matters.

3. Enjoy a Low-Cost Vacation With Our Guide to Visiting the National Parks

This article will help you build a retirement budget so you don’t have to stress about money in your golden years.
Take this advice with you into the new year.

4. Learn How to Have Tough Money Talks from Broke Millennial’s Erin Lowry

It’s easy to get caught up in all the darling details of planning a wedding — and then get overwhelmed when tallying up all the costs.
Check out our guide to a low-cost vacation at one of the national parks.

5. Download One of These Best Budgeting Apps for Couples

It’s a good budget to implement if you’re working toward savings goals and want to be more intentional about putting money aside each month.
Ready to stop worrying about money?

6. Plan for Your Big Day by Creating a Wedding Budget

Maintaining a budget is an excellent way to start. While keeping tabs on your cash flow isn’t necessarily fun, it will help you stay focused on your future goals.
When you join together as one in matrimony, you might believe all aspects of your life should be intertwined — including your finances. But there are reasons why separate bank accounts may be better for you.

7. Consider Keeping Separate Bank Accounts from Your Spouse

Here are five ways to manage when you experience a significant reduction in your household income.
Here are our recommendations for the best budgeting apps for couples.

8. Navigate Going From Two Incomes to One

As 2021 winds down, here are the best budgeting lessons we learned that we’ll be carrying into the new year.

This post shares the circumstances where it might be more beneficial to maintain individual bank accounts. It also explains how to successfully navigate shared expenses and financial goals.

9. Learn How to Budget for Everything When You’re in the Sandwich Generation

Staying home for much of 2020 gave us the itch to travel as much as we could this year. Visiting the national parks helps to keep more money in the bank while still satisfying that wanderlust.
The fitness industry wants you to think you need to invest in a bunch of classes, equipment, fancy yoga pants and more to stay in peak physical shape. But you don’t have to spend all your money in pursuit of a healthier lifestyle.

10. Set Up a Retirement Budget so You Don’t Run Out of Money

Privacy Policy
Nicole Dow is a senior writer at The Penny Hoarder.
As life slowly crept back to normal in 2021 following the financial chaos and uncertainty of the year before, we were left with the desire to get a better handle on our individual money situations. <!–

–>

The 70/20/10 budget is a percentage-based money management system where you earmark 70% of your take-home pay toward monthly expenses, 20% for saving and investing and 10% for extra debt payments or donating.

January 8, 2022

25+ Easy Ways to Save Money in 2022

Saving money helps create a sense of stability and control over your finances, especially as you get older. From being able to invest in your future to spotting the spending habits that eat away at your money every month, there are only benefits to learning practical and easy ways to save your money. Keep reading for some money-saving tips that will turn you into the financially savvy person you want to be, or jump to the section that’s most helpful for you:

1. Create a Budget

The first place to start when trying to learn how to save money is to assess how much you really have and where that money is going. Think about using the 50/30/20 rule to create a budget. The 50/30/20 rule states that 50 percent of your income should go to essentials like rent and food, 20 percent should go toward savings, and 30 percent should go to personal expenses like entertainment.

2. Track Your Spending

You may be surprised about where your money is going. Keep a record of what you spend to see how small expenses take away from your monthly savings. You may not think that coffee every once in a while impacts your ability to save money, but seeing the sum of your purchases may change your mind.

3. Make a Plan

Breaking your long-term goals into smaller, more manageable milestones for the month and year can help you save better. With an understanding of how to properly save money in the short term, you can plan how much you need to be saving to set yourself up for success in the future.

4. Automatically Save Money

If you’re used to manually transferring money into your accounts, you may be forgoing potential money savings altogether. Try having a portion of your paycheck automatically deposited to a savings account to keep you contributing consistently.

5. Use the 30-Day Rule for Saving Money

When you want to make a large purchase, think about it first. Write down what it is and how much it costs, and if after 30 days you still feel it’s necessary, purchase it. A good rule of thumb is that if you have to dip into your savings to make the purchase, you should wait a little longer until you save more money.

6. Consider Accounts and Equities

You should always thoroughly research your options or talk to a professional financial advisor before making any riskier investment moves. You may want to be aware of certain accounts that gain interest on your money through equities that will help you save more money every year. While things like stocks, mutual funds, and certificates of deposit shouldn’t be your only form of savings, they may provide attractive returns on your investment over time.

7. Consider Refinancing Your Mortgage

You may find that you can save money over time by changing the rate of your mortgage. Making beneficial adjustments to your mortgage rate, you could have thousands over year over year and put more money back into your pockets every month. Remember to talk to a financial advisor before signing any major financial contracts.

8. Avoid Debt

Pay off your credit cards every month to keep your debt from piling up. If possible, avoid going into debt in the first place by spending within your limits and keeping your credit card at home. Without a large credit card bill to pay off every month, you may be able to start saving money over time for a large purchase you’ve had on your mind.

9. Build an Emergency Fund

Some experts recommend setting aside six months’ worth of living expenses in case of emergencies. Save your money to create a padding that can help you avoid going into debt if you ever lose your job or have to pay unforeseen medical expenses.

10. Create a Savings for Retirement

One of the best savings tips we can give you is to save for your retirement. Some experts recommend saving at least 15 percent of your income each year. Determine how much you’ll need and break that down by decades to make sure you’re hitting your goals over time.

11. Switch to a Cheaper Phone Plan

With the prevalence of Wi-Fi hotspots, the standard smartphone owner today only uses 4.5 gigabytes of data per month on average. Interestingly, most service providers’ cheapest data plan provides more than that. Track how much data you’re actually using and stop paying for services you don’t need, allowing you to save more money every month.

12. Time Major Purchases Around Sale Periods

Because demand fluctuates by the season for certain items, you can time your big buys to rake in the money savings. For example, October, November, and December can be a great time to buy a car because dealerships want to meet end-of-year quotas.

13. Use Coupons for Money Savings

Not just in newspapers and junk ads anymore, coupons are available on company websites and apps, making them a convenient and easy way to save money when shopping. Before you go out shopping, check your phone or computer and increase your savings.

14. Plan Your Groceries

Making a list of what food you’ll need for the week is one of the things you can do to save more money. Keep in mind what meals you can make from the ingredients, and don’t buy anything that isn’t on your list.

Meal planning is another great option that can help you save money and time while making it easier for you to eat healthy. Use Mint’s grocery budget calculator if you need help determining a reasonable budget for your trips to the store.

15. Lower Your Utility Bills

Evaluate whether or not you’re being as conservative as you can with your utilities. Some quick tips to save money on your bills include:

Insulating your windows with bubble wrap
Unplugging appliances you’re not using
Turning the faucet off when done using the sink

16. Share Entertainment

Similar to saving tips like swapping clothes, another one of the small ways to save money is asking your friends to split monthly streaming fees for subscriptions like Netflix, Hulu, Spotify, and Apple Music.

17. Cancel Your Gym Membership

Many of the exercises you do at the gym can be done at home with a bit of creativity. Some money-saving techniques for those who want to prioritize their health on a budget include:

Watching YouTube tutorials for ideas about home workouts
Going for a run in your neighborhood
Swimming laps at your community pool

18. Carpool to Work or School

One of the easiest ways to save money on commute expenses is by creating a carpool spreadsheet at work to see if anyone lives near you who you can swap rides with. If you have kids, enlisting nearby parents or friends’ parents to help lighten the burden of the school drop-off lines is a great way to save money on gas every month.

19. Buy Used

If you love money-saving deals, local thrift stores and online auction sites like eBay and Facebook Marketplace offer everything from clothes to electronics at stellar discounts. You can get slightly used high-quality items at a fraction of the cost of their newer counterparts.

20. Think Twice About Sales

While some stores are great at offering money-saving deals that help keep more dollars in your pocket, there’s no sale that’s going to cost you less than not buying the item at all. When thinking about buying something, ask yourself if you would have bought the item if it were full price, and if the answer is no, skip it.

21. Buy Generic

A great way to save more while shopping is not allowing name-brand medicines and foods to influence you. If you can’t detect any difference in quality, you don’t necessarily need to buy the name brand.

22. Use the 24-Hour Rule for Saving Money

This is similar to the 30-day rule, but designed to help with saving your money on less expensive purchases. Wait a day before buying a small item and you may find you don’t want it after all.

23. Go to the Library

Some people don’t realize that going to the library is a great way to save money if you need something to entertain you. Many offer movies and games in addition to books, as well as free events and readings for kids on a regular basis.

24. Eat In

Eating in is one of the best ways to save money every month. And fortunately for you, if cooking at home isn’t the most appetizing thing in the world, there are plenty of ways to make it fun and appealing, such as:

Cooking new recipes
Setting up a picnic
Simple meal prepping

25. Designate No-Spend Days

Challenge yourself and your family to go one day a week without buying anything, from your morning coffee to a movie ticket. You’ll learn to save better by reducing your spending and becoming more aware of how frequently you make small purchases.

26. Try Envelope Budgeting

Envelope budgeting can help you with saving money by forcing you to work with divided up cash allowances. This method makes you more aware of what you’re spending, and also ensures you don’t spend too much of your money in one area. Mint’s envelope budgeting printables are perfect for those looking to explore this incredibly useful money-saving technique.

27. Take Public Transportation

Try replacing your drive to work one day a week. You’ll be able to get other things done on the bus while saving money on gas and avoiding some wear and tear on your car.

28. Go Outside

Among the smart ways to save money is remembering that the world is your playground. With the great outdoors almost always free for people to use, there’s tons you can do to take up your time. Just think — instead of meeting your friend out for lunch next week, try making your own sandwiches and going on a nice picnic in the park.

29. Use a Budgeting App

Using an app like Mint can help you tremendously with not only saving money, but staying on track with spending goals, expenses, and budgets. This can also be an easy way to stay up to date on how you’re doing and get more familiar with your spending habits.

The key to saving money and budgeting successfully is having patience. You may not become rich overnight, but making an earnest effort to change your unconscious spending habits puts you one step closer to financial freedom. After all, patience is a virtue — and, in this instance, saving it also brings value.

Learn more about security

Source: mint.intuit.com

December 18, 2021

6 End-of-Year Money Moves You Should Make Right Now

The year is almost over, and you’re no doubt rushing to wrap up holiday shopping, get ready to travel or meet a final work deadline.

The last thing you need is another item on your to-do list, but a little bit of financial reflection and planning is essential before the calendar turns to 2022.

Making these end-of-year money moves will help you handle whatever comes your way next year.

6 Money Moves to Make Before the End of the Year

1. Set Your Financial Goals for the Coming Year

When you think ahead to the end of 2022, what would make you feel accomplished? What if you cut your credit card debt by half? What if you were able to boost your savings account to four — or even five — figures? Or build up that emergency fund you may have had to dip into this year?

Think about what you want to celebrate at the end of 2022, and then set some goals to help you get there.

We’re fans of the SMART method of goal-setting. A SMART goal is:

Specific
Measureable
Attainable
Realistic
Timely

For instance, “become financially secure” isn’t a SMART goal because it’s ambiguous.

On the other hand, “save $5,000 in my emergency fund by the end of 2022” would be considered SMART because it’s specific, measurable and timely.

By thinking through your financial goals in this way, you’ll have more clarity about what you’re trying to do, and that will give you a better sense of how to allocate your resources and energy in the year to come.

Pro Tip

If you’d rather not craft your own goals, you can use our step-by-step guide to setting financial goals you can actually attain.

2. Review Your Spending Over the Past Year (and Be Honest About It)

We know this isn’t going to be fun. In fact, it’s probably going to be pretty tedious.

Here’s a shortcut: If you use online banking or an app like You Need a Budget or Mint, you likely have access to graphs that show how much of your income went to specific spending categories, like food, entertainment and household expenses.

However, you can reconcile your spending without digital tools.

Why is this so important? It’s how to find out where you’re actually spending your money. You might think you don’t have a single penny to spare and that’s why tumbleweeds are rolling through your savings account, but tracking your expenses can reveal a different reality, one where you’ve actually spent quite a bit of money on, say, scented candles rescued from the clearance end caps at Target.

If you’re having trouble achieving your financial goals and can’t figure out why, knowing exactly where your money goes is the first step to bringing your actions in line with your goals.

Once you’ve tracked your expenses, you’re ready to move on to the next step.

3. Make a Budget That Works — Finally

Listen, we know a lot of people don’t bother with a budget. We surveyed 1,500 Penny Hoarder readers in April 2019 and found that 40% of them didn’t have a budget.

But you really, really do need a budget. This post outlines five good reasons you should have a budget, including finally breaking the paycheck-to-paycheck cycle and identifying where you’re overspending.

If you’ve never set up a budget before, read this step-by-step guide to budgeting for beginners.

We’ve also outlined eight of the most popular budgeting styles. Look for one that best matches your needs and personality.

You can try out one of these budgeting apps we love, or go old-school with a pen and paper and set up a bullet journal, a budget binder or an envelope system.

Our motto: If it works for you, then it works.

4. Pull Your Credit Reports and Examine Them for Errors

When you go over your credit reports with a magnifying glass, here’s what you might find:

Accounts that aren’t yours. It’s possible you have accounts on your credit report that actually belong to someone with a similar name. Do you, Karen Smith, really want to have the overdue Dillards’ charge card belonging to Karen Smythe on your credit report?
Accounts you didn’t realize were delinquent. Maybe your dentist’s office repeatedly sent the bill to the wrong address until the unpaid bill wound up in collections, leaving a giant black mark on your credit report, and you weren’t aware of any of this until your application for a car loan or mortgage was turned down.
Outdated or incorrect information about your accounts. Perhaps you paid off a loan last year that’s still showing up as unpaid, or your credit card balance is listed as being much higher than it’s ever been. These could significantly ding your credit score, and those three little numbers hold a lot of power over your ability to access credit in the future.

All of these errors can be disputed by contacting the appropriate credit bureau. Here’s how to do it.

5. Make a Plan for Retirement and Stick to It

We don’t have to tell you that a lot of people have not saved up much for retirement.

Instead of becoming yet another statistic, why not make 2022 the year you finally take retirement seriously?

We broke down the process of retirement planning into a five-step guide that’ll help you get started.

The first thing you’ll need to decide is which kind of retirement account you want to set up. If your employer offers a 401(k), make sure you’ve signed up for it. And if your employer offers a 401(k) match, contribute at least enough to take full advantage of it. After all, that match is part of your compensation. You’re entitled to it!

And if you’ve left previous jobs with 401(k)s, roll them over to your new retirement account.

If you don’t have access to a 401(k), you’ve still got options, including IRAs and Roth IRAs. This post has a list of questions you should ask yourself when trying to decide among them.

Once you’ve got your retirement account set up, contribute to it on a regular basis. It doesn’t matter if you can only put in $25 a month — it all adds up.

6. Celebrate Your Wins!

While we’ve been talking about how to do better going forward, we also know you probably accomplished some things to be proud of in 2021.

Maybe you started a side hustle that helped you make ends meet. Maybe you managed to save quite a bit of money? Or maybe you started educating yourself about personal finance — after all, you’re here, aren’t you?

Take a few minutes to think about what you’ve done in the past year that you’re proud of, and let it sink in.

And now remember that feeling throughout the coming year, especially when you encounter setbacks (because you inevitably will). Trust that if you stick to your plan, you’ll experience that sense of satisfaction again this time next year.

Molly Moorhead is a senior editor at The Penny Hoarder.

<!–

–>

Source: thepennyhoarder.com

December 14, 2021

52-Week Money Challenge: How to Save $1,378 in a Year

52-Week Money Challenge Explained

The 52-week money challenge can help you save $1,378 in a year by depositing an increasing amount of money into your bank account every week. Keep track of the challenge by downloading our printable.

.blurb__containerborder:4px solid #00a38f;border-radius:10px;position:relative;padding:25px 35px 25px 60px;margin:25px auto .blurb__contenttext-align:left;color:#393a3d;font-size:13px;line-height:21px .blurb__titletext-transform:capitalize;color:#00a38f;font-size:18px;line-height:21px;font-weight:700;text-align:center;background:#fff;position:absolute;top:-11px;text-align:center;transform:translate(-50%,-50%);left:50%;top:-1%;padding:0 7px .blurb__container:beforecontent:” “;background-image:url(data:image/svg+xml;base64,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);background-size:cover;background-repeat:no-repeat;width:22px;height:22px;position:absolute;top:32px;left:25px;top:50%;transform:translateY(-50%)

When it comes to the new year, many people want to start embracing change and developing new habits. In fact, 27 percent of adults in the U.S. made at least one resolution for 2020, and 44 percent of those people had “saving more money” as one of them.

One way to fulfill a New Year’s resolution is to set achievable goals for yourself and keep track of your progress. There are plenty of challenges to pick from if you want to save money during the new year. If you’re up for a challenge that doesn’t require a lot of money and effort each month but still saves you $1,378 at the end of the year, the 52-week money challenge might be just right for you.

What Is the 52-Week Money Challenge?

The 52-week money challenge is a savings challenge in which you deposit an increasing amount of money every week for 52 weeks. At the end of the 52 weeks, you should have at least $1,378 saved up in your bank account. This is a flexible challenge that can be done in a couple of different ways and even allows you to save more if you decide to deposit a larger amount each week.

Most commonly, the dollar amount you save every week corresponds to the week of your challenge. For instance, you set aside $1 during week one, $5 during week five, $39 during week 39, and so forth.

When Is the Best Time to Start the 52-Week Money Challenge?

The great thing about the 52-week savings challenge is that you can essentially start it at any week you’d like. But if you want it to be part of your New Year’s resolution, starting it during the first week of the year will guarantee you at least $1,378 by the last week of the year — if you follow it properly.

How Does the 52-Week Money Challenge Work?

For this challenge, the amount you should deposit is usually the same as the number of the week in the challenge. Here’s how the savings challenge works:

Starting on week one, deposit $1 to a savings account
On week two, you should deposit $2
On week three, deposit $3
On week four, deposit $4, and so on
Deposit until week 52, when you will deposit $52

Easy, right? Depositing an increasing amount of money each week makes it an attainable goal to achieve $1,378 at the end of the last week. Each time you make a deposit, write down your current total savings to keep you on track and motivated.

Here is a money-saving chart to help you understand how much money you should be depositing each week during the 52-week money challenge:

Week	Weekly Deposit	Total Savings
Week 1	$1	$1
Week 2	$2	$3
Week 3	$3	$6
Week 4	$4	$10
Week 5	$5	$15
Week 6	$6	$21
Week 7	$7	$28
Week 8	$8	$36
Week 9	$9	$45
Week 10	$10	$55
Week 11	$11	$66
Week 12	$12	$78
Week 13	$13	$91
Week 14	$14	$105
Week 15	$15	$120
Week 16	$16	$136
Week 17	$17	$153
Week 18	$18	$171
Week 19	$19	$190
Week 20	$20	$210
Week 21	$21	$231
Week 22	$22	$253
Week 23	$23	$276
Week 24	$24	$300
Week 25	$25	$325
Week 26	$26	$351
Week 27	$27	$378
Week 28	$28	$406
Week 29	$29	$435
Week 30	$30	$465
Week 31	$31	$496
Week 32	$32	$528
Week 33	$33	$561
Week 34	$34	$595
Week 35	$35	$630
Week 36	$36	$666
Week 37	$37	$703
Week 38	$38	$741
Week 39	$39	$780
Week 40	$40	$820
Week 41	$41	$861
Week 42	$42	$903
Week 43	$43	$946
Week 44	$44	$990
Week 45	$45	$1,035
Week 46	$46	$1,081
Week 47	$47	$1,128
Week 48	$48	$1,176
Week 49	$49	$1,225
Week 50	$50	$1,275
Week 51	$51	$1,326
Week 52	$52	$1,378

How to Adjust the 52-Week Money Challenge for Your Budget

The 52-week challenge can also be adjusted depending on your goals or financial habits. For instance, you can also start from the highest amount, and deposit a decreasing amount of money each week. Or you can choose to deposit the same amount every week.

From Lowest to Highest Amount

The lowest to highest amount method is the traditional 52-week money challenge. You will start with $1 and deposit an increasing amount of money each week until the end of week 52, totaling up to $1,378.

From Highest to Lowest Amount

If you believe you will be spending more toward the end of the year, perhaps due to the holidays, you can flip the 52-week money challenge by depositing your highest amounts first. In this method, you will start with the highest amount, $52 at week one, and deposit a decreasing amount each week. So on week 52, you will deposit $1, still totaling up to $1,378.

Save $26.50 Each Week

If you want to make things even easier, this no-brainer method still totals $1,378 at the end of the year. By using this method, you will deposit the same amount each week: $26.50. You can also set up automatic transfers every week — that way, you don’t have to worry about making different deposits each week.

How to Be Successful in the 52-week money challenge

Starting this challenge should be easy. After all, you’re only starting with a $1 deposit. The struggle many people face with money challenges is keeping up with them. To make sure you’re successful in the 52-week money challenge, follow these tips to stay on track:

Have a Goal in Mind

We all need a little motivation when it comes to achieving resolutions. Start the challenge with an end goal in mind and set reminders for yourself throughout the process. Having a goal such as saving up for a vacation or increasing your emergency fund will help you stay motivated during the challenge.

Add It to Your Budget

To ensure that you’re on track with your challenge each month and have enough money available for it, you can add it to your weekly budget. If you use a budgeting app, add the amount that will be going to your savings account each week.

You can also use our printable of the 52-week money challenge to help you stay on track. You can set a reminder to add money to the challenge each week, or set up an automatic transfer to your savings account.

Cut Back on Expenses

To make sure you’re successful in this challenge, consider cutting back on some expenses you have each week. This also helps with financial knowledge as you start building healthy spending habits.

Take a look at your current budget and evaluate if there are any expenses that are overlooked. Pay extra attention to subscription services you no longer use or whether you’re overspending on food delivery services. This is also an opportunity to sell items you don’t use anymore for extra cash.

Keep Your Savings Challenge Money in a Separate Account

Because this challenge lasts a whole year, it might be tempting to use the challenge funds when buying groceries or having dinner with friends at some point. To prevent that from happening, keep the funds in a separate account, preferably a high-yield savings account.

You can open a savings account strictly for this challenge, or if you feel more motivated by using cash, store it in a safe place. Having the challenge money in a separate account can also help you keep track of it.

Benefits of the 52-Week Savings Challenge

Whether you decide to try it out, skip a couple of weeks, or even end up not finishing it, there are still some benefits and lessons you can take away from the 52-week money challenge:

Start a habit of saving consistently
Get motivated to try out other challenges
Learn more about your financial goals
Improve your personal finances
Track your weekly budget
Save at least $1,378!

If you decide not to complete the challenge, you can use it as a learning opportunity to improve your finances and try another challenge that fits your lifestyle better. However, if you finish the challenge, you will have built up some savings that you can invest or use to start an emergency fund — or you can keep the challenge going for another year to save even more.

Learn more about security

Source: mint.intuit.com

December 7, 2021

8 Budgeting Questions to Ask Yourself Each Month

Whether you use an app, an Excel spreadsheet or a pen and notebook, your budget isn’t something you just blindly copy over month after month.

You should take a little time at the end of each month or the beginning of the next to reflect on your finances and determine whether you need to make any adjustments for the month ahead.

Your spending isn’t necessarily the same month after month, so your budget shouldn’t be either.

8 Budgeting Questions to Reflect on Each Month

Ask yourself these questions as you close out your budget each month to create the best spending plan for the month ahead.

1. How Did My Actual Spending Compare to My Projected Spending?

This is the most obvious question you’ll want to ask yourself as you reflect on your spending from the past several weeks.

Did your actual spending match up with the amount of money you intended to spend in each budget category? Where did you overspend? Where did you spend less than anticipated?

2. How Do I Want to Allocate Any Surplus Money From Last Month?

If you ended up spending less than you budgeted for the month, what’s your plan for that extra money?

You have a few options. You can roll that money into the upcoming month’s budget so you’ll have more available. You could put the money into savings — whether that’s to build up your emergency fund, pad your ongoing sinking funds or add to short- or long-term savings goals.

You could invest the money in an IRA or a taxable brokerage account. You could give back by donating to a nonprofit organization. Or you might want to use the money to treat yourself to something nice.

It’s totally up to you.

3. What Was the Reason for Any Overspending?

If you spent more money than you anticipated, don’t be hard on yourself, but take a moment to analyze what caused the overspending.

Did you turn to retail therapy to counteract a stressful week? Did an emergency arise that you couldn’t have predicted?

It’s important to have an emergency fund to pull money from when the unexpected occurs. Check out these steps to starting an emergency fund.

Did you order takeout too much? Did you forget to factor a major expense into your budget? Is your budget so restrictive to begin with that your spending limits are just unrealistic?

Reflect on why you spent more than you planned and what you could do differently next month.

4. Do I Need to Adjust Spending Limits for the Month Ahead?

As mentioned earlier, you don’t want to copy and paste your budget from month to month if your spending tends to fluctuate.

There may be some budget categories that remain consistent, like the amount you pay for rent or your monthly cell phone bill.

However, you can expect a higher electric bill during cold months when you’ve got the heat up high or hot months when you’re blasting the A/C. If you’re in a blended family and have your stepkids living with you every other weekend, you’ll need to budget more for groceries when you’ve got a full house.

You’ll need to adjust your budget if you’ve got an upcoming event, special occasion or trip taking place in the month ahead. And if you’ve just paid off a credit card or loan, you’ll want to reallocate the money you were putting toward that debt.

You should also adjust your spending limits if you’re consistently coming in over budget or under budget in a particular budget category — for example, if your default monthly gas budget has been $50 but you’re always spending about $75 to fuel up each month. If you’ve put in the effort to cut costs in that category, it’s likely that your spending limit is unrealistic for your circumstances.

5. How Do I Feel About the Purchases I Made?

In addition to reflecting on the dollars and cents of your spending, it’s also important to be mindful about your feelings associated with your spending — particularly when it comes to discretionary spending.

Are you satisfied with the things you bought? Were they useful? Did your purchases bring you happiness? Or do you feel as though you wasted your money or rushed into making a purchase? Do you have regrets?

Keeping tabs on the emotions you feel after spending money can help you identify patterns you might need to correct. For example, if you often regret the impulse buys you make, you can keep a running list of what you want to buy but give yourself a week or more to think it through instead of buying it on the spot.

Looking to incorporate more mindfulness into your budget? Try kakeibo, a longstanding Japanese budgeting method.

6. How Am I Tracking Toward My Goals?

When you’re closing out one month’s budget and creating the next month’s, it’s a good time to check in on your progress toward your money goals.

Are you on the right track to meet your savings goals? How are you coming along on your debt payoff plan? Did your credit score go up any?

The ultimate purpose of your budget is to make a plan for your money so you’re able to hit your financial priorities. Paying your bills on time and having enough on a day-to-day basis to cover necessities is great — but don’t forget about your big-picture goals as well.

7. Where Can I Cut Back on Spending?

As you’re creating your monthly budget, take a look at last month’s spending to see where you can reduce your expenses.

You’ll have more wiggle room if you can eliminate unnecessary spending, like subscriptions you don’t use. Consider what services you pay to have done that you might be able to do yourself, such as styling your hair at home rather than going to a salon.

Don’t just focus on your discretionary spending. Look through your essential purchases and identify one way you can reduce costs. Here’s one: Call your insurance company to ask about available discounts or if they’d match a competitor’s quote. Or try lowering your utility bills by being more conscious about your water and electricity usage.

8. How Can I Increase My Income?

No matter how well you are at money management, you can’t budget your way to wealth if you’re not bringing in enough income.

You can increase your income in a number of ways. At work, you could ask to take on more hours, work overtime or negotiate a wage increase. You could supplement your regular job with a side hustle or a stream of passive income. You can also increase your cash flow by selling items around your house.

Looking for a better-paying job is another way to increase your income. Just be careful not to give in to lifestyle inflation. Focus on your personal money goals rather than upgrading your lifestyle to keep up with the Joneses.

Nicole Dow is a senior writer at The Penny Hoarder.

<!–

–>

Source: thepennyhoarder.com

December 2, 2021

Budgeting for the Holidays

The end of the year is here, the time where our collective attention usually shifts to the holidays. Whether it’s making travel accommodations, planning for parties, or shopping for gifts, ‘tis the season to keep holiday budgeting top of mind.

Holiday budgeting is planning and setting limits for your budget during the holiday season. It’s a means to help you avoid overspending on gifts and holiday festivities and, in turn, take control of your finances at the end of the year.

Bearing in mind that consumers will spend an average of $998 on holiday gifts alone in 2021, planning a budget early can help you control your holiday spending. This guide will teach you how to control your spending habits in three steps and highlight 20 holiday budgeting hacks you should know.

Step 1: Create a Holiday Budgeting Plan

When it comes to the end of the year, we know things can get busy, especially when planning a budget. The first step to staying on top of your holiday finance goals is by creating a budgeting plan.

1. Set a Holiday Spending Limit

Setting a spending limit is crucial to ensure you don’t overspend. Go through your budget, bank statements, and credit card accounts to see how much you can add to your holiday budget. Be sure not to take money from your emergency fund or from the budget for necessary expenses, such as rent and utilities.

2. Determine Your Holiday Expenses

Determine your holiday expenses by taking into account everything you’ll be spending during the holiday season. Plan for expenses such as:

Gifts for family and friends
Wrapping supplies
Party decorations
Meal ingredients
Clothing for events
Games and activities
Travel and accommodation
Charitable donations

3. Review Past Holiday Expenses

To help you better understand what your holiday budgeting plan should look like, go through last year’s credit card and bank statements to determine how much you normally spend during the holidays. This is also a good time to evaluate what areas you can cut down on.

4. Identify Your Priorities

If your holiday spending list is out of your budget, don’t panic. Take an extra look at your list and evaluate whether each expense is necessary. Set spending priorities and cut from the list anything that’s not essential or that can be allocated to someone else.

5. Assign Money to Categories

One way to make sure you’re not overspending on gifts is to create expense categories and assign your holiday money to each of them. Making sure each category has a budget limit will help you get everything that’s needed for your holiday events without breaking the bank.

Step 2: Stick To Your Holiday Budget

After creating a holiday budget, it’s time to stick to it. Here are some holiday tips to help you spend less this season:

[embedded content]

6. Make a Holiday Shopping List

Make a shopping list of every item you need to buy for the holidays and add the budget for each of them. Keep it handy when going shopping to make sure you’re not buying unnecessary items or overspending on gifts. You can also use a grocery budget calculator when planning your holiday meals.

7. Track Your Spending

Keep track of your spending on a daily basis and save the receipts in case you have to return items. Record your holiday spending on a notepad, spreadsheet, or budgeting app and make sure it’s easily accessible.

8. Manage Impulse Buys

Sticking to your holiday shopping list can help you manage impulse buys. Take a moment to research gifts before buying and shop around for cheaper or better options. Avoid shopping sprees by shopping online and sorting your search by your budget limit.

9. Price Check

Research gifts ahead of time and price check them between different stores and locations. You can even check prices at certain stores on your phone. Many stores will also price match items if they are listed at a lower price somewhere else.

10. Find Ways to Earn Extra Money

When the holiday season approaches, many stores will hire seasonal employees, and this can be a good way to earn extra holiday money. You can also look at selling things you don’t need anymore or start a side hustle at home.

11. Create a Holiday Savings Account

Planning ahead of time gives you the opportunity to build some holiday savings. Create a holiday savings account and add funds to it each month. Having a savings account specifically for seasonal shopping can also help you keep track of your spending by strictly taking the money from that account.

12. Consider Shipping

When buying gifts and clothing online, take into consideration the shipping times and fees. To avoid spending more on shipping, choose store pickup or look for websites that offer free shipping.

Step 3: Remember These Holiday Budgeting Hacks

There are many ways to practice good spending habits during the holiday season. Here are some holiday budgeting hacks to save you more money:

13. Buy Ahead of Time

Planning is key to budgeting for the holidays. Since prices tend to go up for the holidays, take some time to look for gifts ahead of time, and buy them at a discount in earlier months. This is also a good time to check price trends and make sure you’re buying at the lowest price.

14. Look for Discounts

When you’re buying gifts, try to take advantage of every possible way to save money. You can install browser extensions to help you find the best deals, look for online coupons and store pamphlets, and even join mailing lists for retailers that offer sign-up discounts.

15. Shop Older Versions

Many of us might be guilty of wanting the latest gadget models, but the truth is, older versions might be the best bang for your buck. Compare models ahead of time and buy an older version if possible, especially when gifting tech gadgets.

16. Create DIY Gifts

You’re likely making the best decision for yourself and your family by focusing more on thoughtful gift-giving and less on extravagant, showy presents. Stick to your holiday budgeting plan by investing your time in creating DIY gifts for your loved ones.

17. Suggest a Potluck

Family and friend reunions can be a great way to catch up and eat festive meals. But planning a full-course dinner is not only a lot of work — it can also be expensive. Suggest a potluck instead, and plan for each person to bring a dish of their choice.

18. Propose a Secret Gift Exchange

Buying gifts for everyone is not only hard to plan out, but can come at a cost. Propose a secret gift exchange with a set limit instead. This can be a fun holiday activity that also keeps your holiday budget within scope.

19. Repurpose Decorations

It might be tempting to buy new decorations each year, but before doing so, take a look at what you already have in storage. If you like to give your house a new look each year, consider repurposing your decorations or placing them somewhere different.

20. Gift Experiences

Your time can be the greatest gift you can give to a loved one. Instead of spending money on presents, take them out on a trip to the beach or to see holiday lights and take lots of pictures and videos. Or write up a card offering a free movie night with a home-cooked meal.

Holidays can still be fun on a budget. After all, what really matters is spending time with loved ones and recharging your batteries for the new year. Creating a holiday budgeting plan can help you stay in control of your finances and start the year with extra money in your stocking. Have yourself a merry budgeting season!

Learn more about security

Source: mint.intuit.com

Category: Budgeting

Dear Penny: I’m So Frugal I Make My Own Toothpaste, So Why Am I Always Broke?

Get Ready Because Itâs #TimeToMint!

52-Week Money Challenge: How to Save $1,378 in a Year

What Is the 52-Week Money Challenge?

When Is the Best Time to Start the 52-Week Money Challenge?

How Does the 52-Week Money Challenge Work?

How to Adjust the 52-Week Money Challenge for Your Budget

From Lowest to Highest Amount

From Highest to Lowest Amount

Save $26.50 Each Week

How to Be Successful in the 52-week money challenge

Have a Goal in Mind

Add It to Your Budget

Cut Back on Expenses

Keep Your Savings Challenge Money in a Separate Account

Benefits of the 52-Week Savings Challenge

Try the 4-Gift Rule to Keep Your Holiday Spending in Check

What Is the Four-Gift Rule?

Something They Want

Something They Need

Something to Wear

Something to Read

Bonus: One Gift From Santa