My savings plan

Barbara

In a previous post, I told you I was going to try to save for my unexpected expenses. A goal everyone should have. Update time!

In my quest for that cushion of savings, there was a change in my plans—a 46% pay increase. Exciting, huh? I've been bumped up from being an Intern with Wells Fargo to Communications Associate. My business cards are on their way!

Obviously this helps my savings goals ... a lot. Living on my previous salary, I did just fine paying my living expenses—rent, utilities, food, etc. So I don't really need the extra money to support my standard of living. That means we're talking about 46% of my previous salary that is mine to save—or spend. But I know better! :)

With all that extra money coming in, I'm thinking even further into savings. I have two savings goals: one for my unexpected emergencies and (big breath before my big girl goal) one for my future home . Yes, I'm opening a second savings account to save money for purchasing a house.

To help me set, plan for and monitor my goals I used a free online tool. First, I checked out the different considerations for my savings goals. For my emergency money savings, my goal is $5,000. And for my home purchase savings, I'm settling on $30,000 to start (based on the average home price  in Sioux Falls, S.D.).

I set up my plan, and now, I can automatically track my progress each time I sign on to view my accounts (BTW, I'm 4% of the way there on my emergency money!). And to make it even easier, I'm going to use direct deposit of my paycheck and automatic transfers from my checking account, to make sure that 46% doesn't beg to be spent on shoes.

What goals do you want to save for?