Ok, so a few days ago I posted my $20 challenge to save money.   This is my personal way that I save money through out the year for big ticket items and our emergency fund, as disclosed in my recent blog post Don’t Budget Your Money, “Bucket” Your Money.   I challenge you to do the same.

On the same note, I wanted to showcase another challenge if the $20 challenge wasn’t aggressive enough for you.   You don’t want to run the 5k, your a marathon runner.   Ok well let’s take it up a notch.   How about we save the same amount of money as you were doing in the $20 challenge, but let’s do it in half the time with this fun little exercise!

Instead of 52 weeks to save $1000, we will do the same thing in 26 weeks and here is how.

We will start by depositing $26 into an account in week one.   For each following week, we will add a whopping $1 to the deposit amount each week until we reach our 26 week mark.   At 26 weeks, you will have collected over $1000.   Pretty amazing huh?

This is a fun way to up your game each week as you progress to your goal at week 26 of $1001.    It’s just another way to keep things fun and interesting as you make it to your goal.[Read More…]

According to the latest United States Department of Agriculture in their latest release last month of “The Cost of Raising a Child'”, they note that it will cost on average between $12,350 – $13,900 a year to raise a child born in 2015.   When you add that up, it’s a whopping $233,610 from birth to 17 years of age.  If you are in a higher income bracket, that cost might sky rocket to $372,210 per child.  If you have kids, did I clear up why it’s so hard to save for retirement?

We have three kids and my oldest is 13.  Over those 13 years it’s been both a battle of paying off debt, properly raising our children and taking our best crack at putting away some money into a retirement fund, but it hasn’t been easy.  Then after you raise your children, then there is college which is expensive and then they get married which is expensive as well.   How will we ever pay for it all?  The way to start paying for it is to plan for it now.

Here are our steps for paying for it all:

“Bucket” our Money

Take a look at how we “bucket” our money to see one aspect of what we do.  Every month we automatically put away a certain amount for weddings because we know we have 2 girls and a boy who will eventually find Mr. or Mrs. Right.   You may say Drew, your crazy…  It’s going to be another decade before any of your children think about getting married.   I will tell you I know and that’s the point.   I won’t have to take a loan or dip into our retirement to fund this grand celebration, the money will just be there to support it.   No stress!

If I save $75 out of every paycheck (Twice a month) into a interest bearing account, I will have well over $18,000 ready to go before my oldest even thinks about taking that first step into marriage.   Or I can just wait and figure out how to get almost $19well ,000 10 years from now.   Which way would you go?[Read More…]

I admit it, I have done some silly things in our attempt to get out of debt.  Things that sound so logical at the time, but with further studying and common sense you can escape these ideas that are not only silly, they can be forever damaging to your financial future.   They sound on the surface to be great ideas, perhaps even a short term fix that brings down the stress level that debt seems to cause.

Here are my 5 money myths that I am about to debunk

Myth #1 – Pay off your mortgage ASAP

You are determined to pay off your home.  I mean you are paying thousands of dollars in interest per year and that can’t possibly be good right.   I mean it’s impressive to see someone paying extra money each month on their mortgage or perhaps paying an additional principal payment each year.   That’s great, but here are some things to consider before you go all in on paying extra on your mortgage.[Read More…]