Looking back on the previous year, I was quite disappointed with the amount I saved. I was so focused on getting my loans down that I ended up dwindling quite a bit of my savings to put towards my loans.
This year, my focus will be more on having a balance between paying off my loans and saving money. I was reading an article on Yahoo! Finance about the Payroll Leap Year and in the article it mentions how a financial planner tells her clients to put 50% toward debt, 25% toward savings, and 25% toward fun. She states that the percentages "take the emotional aspect" out saving and paying off debt.
After reading that, I realized it made a lot of sense. I've always had a lot of emotional attachment to my paychecks. I didn't really know how to divvy up my paychecks in a way that felt fair. By doing percentages, you'll have varying amounts depending on how much you worked so it won't be as hard as committing to a whole dollar amount when you have a paycheck that is less than pleasing on the eyes (and wallet).
For us biweekly pay-perioders, we already have our first paycheck in the bank. This means all we have to do is use the magic of Excel to do the divvying for us. All I have to do for the rest of the year is plug-and-chug. The less thinking I have to do (outside of work) the better!
Here's what my spreadsheet looks like:
How are you planning to reach your financial goals this year?
Share your tips and tricks in the comments below. I'd love to hear about them!
Hope everyone's year is coming to a great start!
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