Much like the title, this post is going to be short and rather blunt.
Since becoming debt-free, I’ve come up with a handful of different savings goals – some short-term, some long-term and some I haven’t even been able to start working towards – and I’m getting nowhere with any of them. Sure, life gets in the way. Moving got in the way – twice. Things happen. But, here’s the thing: I’ve finally realized that I just suck at saving small amounts of money each month. You know what I used to be good at? Throwing huge amounts of cash at debt! So, it’s time to kiss the small savings goals goodbye and go after what I really want.
For the past couple of years, I’ve dreamt of seeing $10,000 in an Emergency Fund. I don’t even have to close my eyes to see it; I know that one day I’ll be able to log into my online banking and it’ll be there. Well, I want that day to come sooner rather than later. And the only way I can make it happen is if I create a
debt repayment savings plan.
I want to save $10,000 in an Emergency Fund by December 31, 2014. Currently, there’s a measly $1,250 sitting in the account, so I have another $8,750 to save. Spread out over 14 months, that’s only $625/month. Now, I know there will be months where I can’t save $625 (like the ones leading up to Christmas), but I also know there will be months I can save more – much more.
So, that’s that. Forget about all the other goals I’ve mentioned before this post. I’m still going to contribute to my RRSPs, of course, but aside from that I’m focusing solely on my $10,000 goal. Similar to my debt repayment milestones, I hope you don’t mind if I talk about my progress here. I’ve never been a good saver (but you already knew that), so we’ll see how I do!
What type of saver are you? Do you put small amounts of money into various accounts each month, or do you put larger amounts into fewer accounts?
PS – This morning, I’m taping a special episode of CBC Radio’s The Current with Gail Vaz-Oxlade and Bridget from Money After Graduation! You can listen to it on Friday, November 1st – the first day of Financial Literacy Month here in Canada.