I hope everyone enjoys Canada Day!
If i could manage, I would not want to stop putting money away into savings - however; it would be significantly less (expect my house fund, I beleive I mentioned before that's non-negotiable for me at this point).
I would have about $300/month or $75/week for food, personal & other. Could be doable.
I think it would be alright to survive on that because I know that Jordan would help out wherever he could.
Do you have an EI budget? Do you think mine is realisitc?
I didn’t realize when I started writing that this post was so long.
So to be eligible for regular benefits (EI) I must show that:
Okay, so what is the required number of insurable hours. Apparently, in Canada, this depends on what ‘economic region’ I am in.
When you show that you have at least 490 hours related to employment in the labour force during the labour force attachment period (the year prior to the qualifying period) you will need between 420 and 700 insurable hours (depending on my economic region – see below) to qualify for regular benefits. Otherwise, you will need a minimum of 910 hours to qualify regular benefits.
The Required number of hours for my region if I have worked at least 490 hours related to employment during the labour force attachment period is 665 hours.
Now, thankfully, in my case, I have worked full time for the last 52 weeks – which means I have about 1900 of employment hours. If I were to lose my job at this point – I wouldn’t have to worry about the labour force attachment period. That said; I would probably meet the minimum hours requirement of the labour force attachment period – although I was a student so it could be sketchy.
Okay – so I’ve learned that If I lose my job, I need to be unemployed and without pay for 7 consecutive days, and I know that I have worked enough hours to qualify for EI.
Next thing I learned was that:
What that means is that you have to wait about a month to SEE ANY MONEY, and it will only be about two weeks worth of pay as you lose the first two weeks in the unpaid waiting period.
So I would have to have one month’s expenses (at a minimum) to hold me over. Which I do! That’s great ($1000 in my E-fund currently).
But how much money would I get and for how long? Well you can receive EI in my economic region for 20 to 43 weeks!
They have a weekly benefit rate, which have a lot of different rules if you are low income or have children. For me the following would apply:
The basic benefit rate is 55% of your average GROSS insured earnings up to a yearly maximum insurable amount of $42,300. This means you can receive a maximum payment of $447 per week. Your EI payment is a taxable income, meaning federal and provincial or territorial, if it applies, taxes will be deducted.
This is how the payout is calculated *Note they always use the gross amounts*
Using my after tax income this is my calculation:
1. Total GROSS earnings in last 26 weeks = $22,500
2. Number of weeks worked in the last 26 weeks = 26
3. Current minimum divisor that applies (see above image of a spreadsheet) = 21
4. Determine average weekly insured earnings
a. $22,500/26 = $865.38
5. $865.38 X 55% = $475.96
So on the surface, my weekly benefit would be $475.96 However, I’ve already said that there is a maximum benefit of $447/week. So that’s what I would have to budget with.
Weekly Benefit = $447 (less taxes)
Which according to an online calculator would be about $380 after tax/week.
Do you know if you would qualify for EI Benefits, how much would you get?
I got most of this information from the Service Canada website.
I then looked at the items that I was saving towards and saw that I was putting away $135/bi-weekly. I decided that I would combine my emergency fund as well as my annual savings fund (too many accounts is stressing me out). Because of that, I increased the amount I was putting away to $50 b/w. I decreased my RRSP’s to $10 b/w and increased my Christmas fund to 75 b/w.
*oh - on a side note, I didn't include my increased share purchase fund, because this is actually done through my pay.
IF I follow through with this and don’t touch it, the following will happen:
That will mean that I will have an additional $250 b/w for the last 6 pay periods of this year. With this $1500. I will be able to bring my Emergency/Annual Fund to $3211 by the end of December!
Come January I will review my goals and decide how much money I will need to put into my RRSP’s (this will depend heavily on if I can convince my employer to let me start my pension in October of this year, rather then October of next year) & how much I will need to put into my Emergency/Annual Fund – to keep up with annual expenses (right now I’m guessing about $25/b-w)
To summarize, this is what I did:
Step 1. Figured out my time line
Step 2. Determined my non-negotiables?
Step 3. Determined how much I had left bi-weekly to play with.
Step 4.Made a plan
Step 5. Sticking with it - (this is always hardest for me and only time will tell)
Phew! So, what do you think?
Woohoo! Tomorrow is pay day, and I’ve got my pay stub.
I would like to offer a re-cap of the last two weeks. What I have attempted to do, is track my budget on a bi-weekly basis, rather then a monthly.
I spent about $300 on food, life and other variables using my debit – so this is okay! I also spent about $400 on my credit card (big sad face) this was on things from groceries, books, the pub, fun stuff – etc.
So, I figure that I owe myself.
With that in mind, below is a picture for the next two weeks. On the left column I have my fixed expenses, including an extra Visa payment. The top of this column are my fixed expenses during each pay period. Below the extra visa payment is a list of this pay periods fixed expenses. So this includes the house utility bills.
Given that I owe myself a little more than $400 – I have about $130 for my variables over the next two weeks. This has to cover groceries (probably not much), as well as a trip to my hometown for father’s day weekend.
I will do my best, but I am already anticipating that I will have to break out my credit card to cover the trip. I could not go – but that’s not going to happen. It’s not only father’s day, it’s also my Great Uncle’s memorial, plus I haven’t seen my family in what feels like forever.
In light of this anticipation – I’m not prepared to cut up my credit card (yet!), but I did create a ‘sleeve’ for it. It’s wrapped & taped in paper hid in the depths of my wallet. If I want to use it, I’ll have to read the messages I left for myself reminding me about how much I want to pay it off.
So – here we go, second set of bi-weekly budgeting.
Above, you can see what my annual costs are. To make this effective, I called up AMA and asked what my renewal dates were. From there I figured how many pay periods I had to save for each item.
Basically. If I had started saving for each item one year prior to having to pay for it, I would need to put away $78.57 bi-weekly. I didn't do this (namely because I didn't think of it). To accomplish this goal now, I would need to put away $229.82/bi-weekly.
Sigh. I don't have a spore $230/biweekly.
1. I can just start saving the $78.57 now, and make up the rest from my e-fund
2. I could suck it up and get another job
3. I could use my credit card (boo!)
4. I could plan to save for, and pay for, the three lowest cost expenses which would be $33.60/bi-weekly (without car insurance.). With this plan, I would pay for car insurance monthly again next year, but start saving on the renewal date (or sooner), that way I would have 26 pay periods to save for it rather than 9.
What do you think?
Are there any other annual costs that I may be forgetting? Does anyone else plan for expenses this way?
To explain that, i recently cashed in some of my airmiles points and received 3 'night out' coupons for the movie theater (includes admission for two, pop, and popcorn). I've received $250 worth of gift cards (from volunteering at work) for a fantastic camping store. I have a $25 gift card for a drug store (from points).
So the actual amount of money I have freed up is $37/month. However; I beleive with doing the other things I mentioned, I will end up saving quite a bit more. This is the *hope*.
We have recently been receiving a lot of promotional offers from Shaw, wanting to provide our TV services. We have an HD TV, and quite frankly - Bell still offers the best in HD TV, so I don't particularly want to cancel with them.
I called Express Vu and managed to get a $21.63/month savings on our bill. What services did i lose you ask? - None! We will keep the exact same services for about 23% less!!
Here's what I did:
I've done this before with Shaw and received credits when new promotions come out for phone and internet services as well.
Does anyone else do this?