Planning For the Future

I had a great conversation with my mom last week and thought I would share some of it.  I told her that with my new saving plan in place I would be able to reach my 2009 goals by the end of the year and still have about $1,300 left over.  I was panicking because this money wasn't allotted - it doesn't have a plan!  We talked about increasing my entertainment/clothes jar allotment, putting it in my emergency fund, putting it in an RRSP, or using it to help pay down my student loans.

Mom thinks I should increase my entertainment fund a bit, and use the rest in RRSP's or my Emerg fund.  I'm wondering what you all think?  What would you do with it?

Here are some exciting excel spreadsheets to help illustrate my options.

This shows the 'left over' money I'll have for each pay period until the end of the year including the money I'll use to help reach my goals.  Right now I'll have about $1,300.

As you can see it's not very consistent and has huge ups and downs.

I should also mention that my bi-weekly budget for variable expenses continues to be $300.
Here is my current savings snowball plan to reach my 2009 goals:

So... what should I do with that extra money?!  I know it's not a lot, but I'd really like to figure out a plan for it.  After this weekend, I'm leaning towards increasing my entertainment fund - but I'd love to hear what you folks think.


  1. What are you currently spending on entertainment each month?

  2. It isn't a ton, but it is enough that needs a plan -- I think increasing your entertainment fund is fair. I like your moms idea -- both the RRSP and the entertainment fund

  3. Right now my $300/bi-weekly jar money is broken down like this:

    Transportation - $50
    Food/Groceries - $100
    Entertainmetn - $80
    Clothes/Gifts - $20
    Everything Else - $50

    @ frugal - so that's about $160/month on entertainment

  4. $160/month on entertainment seems a lot to me - but probably because I only spend about $10/week (at most) - for some reason I can entertain myself quite cheaply.

    From my personal experience, I would say that you should just keep the extra money safe somewhere, perhaps just in a little savings account or it's own jar for a "rainy day" emergency - like doctor's copays - or if a family emergency happened where you would need to buy a plane ticket or something. But I'm only saying this because I wish I had had something like that the past few weeks myself. =)

    If I were making a plan for the extra money without my experiences of the past two weeks, I'd say definitely go with the RRSP.

    Do you currently feel like you're tight for entertainment money?

  5. $160 seems like a lot to me too. But do whatever works for YOU! :)

    Maybe tuck that money away for new furniture? or things you will want to buy when you get your house?

  6. In writing it down that I allocate that much to entertainment, it does seem like a lot; however, I don't think that I actually wind up spending that much on myself. I haven't been tracking things very well so I couldn't say exactly where the money has gone.

    I think that I likely use some of that money towards travelling to see starlight, and this summer some has been camping/food. I've also recently spent some $$ on Halloween decorations/candy as well as some birthday party items for one of my roommates.

    Over the last few months a big chunk of that money went to vaccinations for starlight as well. I also have three fish tanks that Jordan and I keep...

    hmm... maybe I really should start tracking where the money goes to get a better feel for this.

    I'm wondering how much other people spend on their 'variables'.

  7. Tracking it will definitely help! :)

    Here's my variable budget:

    $320 - Food & Household(will be bumping this to $400 next month)
    $200 - Transportation (high due to ppr route)
    $100 - Entertainment
    $20 - Clothing/Gifts
    $20 - Other

  8. I would make sure you have a healthy Emergency Fund in place. Make sure you're still having a bit of fun though.If money is too tight, it is easier to fall off the budget wagon.

  9. I say put that extra money to the E-fund or student loans. Not quite as fun as entertainment, but you'll have a lot more stress-free fun when both those items are paid for. ;)

  10. I say put it toward your Emergency Fund or your student loans. Like MyPrettyPennies said, it's not as fun as entertainment, but good to have those two items taken care of.

    Another option is maybe start a travel or vacation fund for any trips you may want take? And then of course, if you run into an emergency and really need the money, it's sitting there available to you.

  11. Going by your progress bars I'd say the bulk (not ALL) should go to your e-fund - that first $1000 is the hardest!


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