Saving On the Run

I know, I haven't posted in several weeks, but there is an explanation for that. It's called time and raising kids. But I now have a quick moment to pass insight on saving for the future while not having much money or time, so here goes.


Look at your last pay stub from work. What do you see in the gross income line? If you don't know what that is, that is the money you make before taxes at the end of the pay period. Fortunately for some of us, it stays the same as we may be salaried employees; hourly associates can also do the same. You can bank six figures and still be broke (remember ESPN's 30 for 30 documentary Broke?); yet, there are some of us who  can live on 25K and fulfill all of our lives' desires. I worked at Walmart for nearly five years, and while I was able to treat as a second job and a personal workout facility, I was also able to save 8% of my income every check before taxes as a retirement vehicle in addition to the undisclosed amount of dollars toward savings.

Best Ways To Save On the Run
Every situation is different. Whatever works for you, keep it up. Just start saving! There is a example I plan on using, but tweak it to what works for your household. Let's say I make $2,000 per month pretax. Before I even think about rent/mortgage payments, I'll sit at the table to craft out where the money goes. I know not everyone believes in tithing - and personally, it's a bit overrated in the Christian church albeit necessary - but if you set aside ten percent for charitable giving, you eventually won't miss it. Those of us who aren't big on financial gifts toward the church can also donate to the United Way, the YMCA, Easter Seals, or any charity dear to the heart for the same effect. In this case, the ten percent is $200 monthly. Not a significant chunk of change, but if you treat it like a bill, then it becomes automatic.

The next venture means another ten percent. For me, I've always had $200 directly deposited into a savings account for those times you never know about. Car breaks down? You have liquid money that you can walk over and get without penalty. Ditto for broken refrigerator, new computer software for work, or anything that is mandatory for living. I've been doing this for nearly ten years, even from my days at IC Corporation. That amount doesn't have to be another ten percent; try six percent ($30/week, $120/month) and see how that works out.

Lastly, look for the long term. I try to contribute 8% monthly to my IRA account, but life does happen. It's only $40/week, but for the price of a tank of gas, I am putting back for our golden years. I honestly cannot see myself working as a people greeter at the local Walmart nor having to create salad shells at the local Taco Bell at age 75.

This means that we are living on 72 percent of our pretax income. Factor the fact that taxes take a bite out of life (nearly 19%), home should be no more than 28%, you still have 27% to do the rest of life. Note that I am only basing this on my own income; the two-income households still have a significant heaping of coin to do well with providing that we are using our money wisely. The Great Recession should have taught us to save and prioritize; otherwise, my words means nothing.

Good luck saving and please tailor your situation to your lifestyle!