Sunday, February 17, 2008

Counting My Pennies

                      

The quote I wrote yesterday made me think about my finances... (here is the quote I wrote in previous entry)

Being without money for so long is like being on a starvation diet. When it starts coming in, it's as if something inside you goes off and you want to eat/spend everything in sight. (lol)

I have never liked to be like some people who have no problem living from paycheck to paycheck... Even though I live by modest means, I like to be comfortable with my money and that often means being more in control of where I want my money to go... And so... the gears within my brain cells go round and round... Because I am a visual person, it will go something like this...

Get a notebook and section it off into eight different sections with the use of sheets with tabs... More than likely, I will get creative here with fancy art or stickers or something to make it less scary. (lol) Insert notebook paper for each different section or make my own Accounts Receivable/ Accounts Payable sheets and print them out to insert in each section. Also insert a large envelope in each section to hold receipts. Viola! Instant Financial Planner...

Because in the bank it will show my money as altogether, it will be very important to keep track of where my money will be going in this notebook...

Each separate Make Believe account will be calculated as such...

10% = Charity Money (Church, Etc)
10% = Savings & Advancement
10% = Debt
30% = Household Bills & Expenses (Rent, Electricity, Phone, Water, Supplies, Etc)
20% = Health & Nutrition (Food, Vitamins, Medications, Dr Visits)
10% = Transportation (Insurance, Registration, Inspection, Gas, Oil, Repairs)
05% = Body Image (Clothing, Shoes, Cosmetics, Grooming, Laundry)
05% = Miscellaneous Expense (In Case I go Over, Etc)

Every pay period, the percentage allowed for each account will be calculated as income for that account. The plan is not to go over... That way, there is always more money to work from... If the actual expense amount is less than the percentage allowed, it will stay in the pot of each individual account...

* Charity and Debt will always pull the complete 10% percentage expense per pay period until Debt is paid off. Once Debt is paid off it will free an additional 10% to work with... Savings will also be at 10% every pay period, but the rule for savings is that it cannot be touched until I have accumulated at least six months of minimum living expenses... All the other accounts will work towards something...

* If the Household expense is less than the percentage allowed, the remainder of the percentage will stay in the account towards getting my things out of storage and moving into a bigger place.

* If the Health/Nutrition expense is less, the remainder of the percentage will stay in the account towards getting new eye glasses, contacts, exercise shoes, and possible lazer eye surgery or liposuction or lifting this or that in the future (ha!)

* If the Transporation expense is less, the remainder of the percentage will stay in the account towards the purchase of another car in the future. I wish this one could be more, but for now, it will need to remain at 10%. 

* Although 5% for Body Image is very modest for a career girl and most of it will probably go towards laundry, the remainder of the percentage will stay in the account towards the purchase of nicer clothes or shoes, an occasional pedicure,  or a special occasion dress, etc.

* If the Miscellaneous expense is less, the remainder of the percentage will stay in the account towards a mini-break or vacation.

"Spending money on whatever you want it to" is what gets people in trouble and causes people to live from paycheck to paycheck. The trick is to live below your means. Where would I have been if I had not saved my money?!! It will take a good while to recuperate the money that I have lost because I didn't have a job...

One thing I did not allot for is if a man should walk into my life... I guess the only way I will be able to allow him to remain in my world is if he doesn't cost me a cent. (lol)

16 comments:

Anonymous said...

I have always kept a budget sheet. What must be payed, is payed first and then the rest goes wherever I want it to. I need to start saving though, I know that's important. (((HUGS))) -Missy
http://journals.aol.com/ma24179/MISSYZSTUFF

Anonymous said...

I have the same type of thing, but use excel instead of notebook paper, now.

Joann

Anonymous said...

That is very clever, Winivere, why don't you tag it with 'blogplugs'? That way, other people can see it too that may not necessarily read your journal but could benefit from it.

Anonymous said...

Iam really impressed with this Win ,and like Guido's idea ,I hope you have a good week at work and things start to come together ..love Jan xx

Anonymous said...

Work?  You have work?!  YOU HAVE WORK!!!!!!!  YEAH!

It is good to have a plan, Win.

And, you can always modify this if you think it's best.  Perhaps your healthcare will be less one month but you really need another pair of hose or something, etc.  

I'm so very very happy for you, I'm about to cry!

Oh, wow, prayers answered.  Finally.  You were faithful, and now you get to work.

Anonymous said...

Wow, I'm confused by reading this but I'm sure you have everything sorted xx  Your right about the bloke though.  I too am a single person and I have to budget for bills etc........so I understand where you are coming from when you say they better not cost you anything LOL

Jenny

http://journals.aol.co.uk/Jmoqueen/MyLife

Anonymous said...

love your quote. I'm happy that you have plans for the money.

Anonymous said...

I like the way you do money management!! very sensible and down to earth approach

betty

Anonymous said...

I could definitely take some advice from you!!!


Amy

Anonymous said...

I'm just so very happy for you Win! I love to see your plan for money and it's just wonderful that you have this job that you have wanted for so long. God is good!

Love & Pooh Hugs,
Linda

Anonymous said...

It is a great idea to make such a detailed account for your finanaces.  It is something I can never do, I am one of the very fortunatle people that although I only have my government old age pension with extra credits that they call it !! I have always been able to live within my means and can't ever remember being in debt...just one of these things. I did once try just what you are going to do and it depressed me so much...it appearsed I would never be able to live onwhat I got !!!!  that I gave up !!   I certainly don't let money worry me and I get there just the same. My best friend in Bath though does just as you do and can only manage her finanaces that way...we are all so different ar'nt we.  Much Love  Sybil xx

Anonymous said...

It is a great idea to make such a detailed account for your finanaces.  It is something I can never do, I am one of the very fortunatle people that although I only have my government old age pension with extra credits that they call it !! I have always been able to live within my means and can't ever remember being in debt...just one of these things. I did once try just what you are going to do and it depressed me so much...it appearsed I would never be able to live onwhat I got !!!!  that I gave up !!   I certainly don't let money worry me and I get there just the same. My best friend in Bath though does just as you do and can only manage her finanaces that way...we are all so different ar'nt we.  Much Love  Sybil xx

Anonymous said...

Financial Planning is important.  I do my planning on a single paged spreadsheet, showing budget, retirement planning, investments, network, and "funds" for monthly expenses.  Visually, having my planning on a single page helps me.  Stay focused and you will be rich in many ways :o)
http://journals.aol.com/buckoclown/Bucko

Anonymous said...

I use a money program that does that for me I love this entry great tips , I received your journal link from Magic smoke , feel free to visit my world at
http://journals.aol.com/shrbrisc/sherrys-weightloss-journey/
hugs
Sherry

Anonymous said...

I used to have a system like this.  It worked pretty well.  Now I don't seem to need it anymore, b/c I can just do it naturally.  That is excellent that you have a system though!

Krissy :)
http://journals.aol.com/fisherkristina/SometimesIThink

Anonymous said...

I went from really poor to pretty wealthy fairly quickly.... the key is to just go nuts, but then get pregnant quickly.