,

Saving For KUEs

,

There are three things we should ALWAYS be saving for. 

  1. Emergencies

  2. Known Upcoming Non-Monthly Expenses

  3. Dreams 

Of these three, our focus today is on KUE’s - the known upcoming non-monthly expenses. This savings bucket can tend to be difficult and can create budget issues.

Here’s why:

  1. They are non-monthly  Because of this, we tend to forget about them until they show up

  2. They are usually larger expenses  Property taxes, insurance premiums, Christmas, vacation, car maintenance, and repairs, and insurance deductibles usually have larger price tags than typical monthly expenses

  3. We don’t save for the expenses monthly  We wait until the bill arrives and then we are forced to scramble in an attempt to pay for it

If not saved for probably these known expenses can become budget-crushing expenses!

Here’s a step-by-step way for you to eliminate “Budget Crushing Expenses” from your life:

  1. Download our free “Known Upcoming Expenses Calculator” tool HERE.

  2. Enter all your “Known Upcoming Expenses” into the tool – include the annual expense of each line item.

  3. Enter your “# of Pay Periods Per Year” into the tool – enter “12” if paid monthly, “26” if paid every 2 weeks, “52” if paid weekly, and “24” if paid twice each month.

  4. You have now calculated the amount you need to save out of each paycheck to ensure all of your Known Upcoming Non-Monthly Expenses are covered.