My 2022 Sinking Funds | Saving Tips

Here are my 2022 Sinking Funds!

A sinking fund is a strategic way to save a little bit every month to pay for large expenses that are planned.

When you add sinking funds to your budget, you can:

Save for ANYTHING and be prepared with cash. When I say anything, I mean it! Don't be afraid to get specific and make a list of everything you need and want.

Have fun without feeling guilty. Take that trip you've been dreaming about for years. Add that home gym to your spare bedroom and cut out your gym membership. Put that hot tub on the back deck to enjoy with family and friends. Make room for fun in your budget by telling your money where to go every month.

Ditch the guilt of spending. Plan ahead (with your spouse or partner, if you have one) and decide what you want to save for, and figure out how much you need to set aside every month. When it comes time to spend your sinking fund, you don't need to worry about where the money is coming from, and you can spend without regret.

Plan for the unexpected. We all know that life can throw us curve balls. You never know when what, or how things will break or fall apart – but you know they will, eventually. Saving a small amount over time for unexpected curve balls (like a new roof, a new washer and dryer, and new tires) will make those circumstances and purchases a lot less stressful.

CHAPTERS:
00:00 Introduction
01:00 What is a sinking fund?
02:40 Commonly asked questions
09:40 My 2022 sinking funds
12:20 How I calculate my sinking funds
14:40 What is an ongoing sinking fund?
18:20 Tracking my progress
23:00 The benefits of sinking funds

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[Raymondjohn]

Protecting your capital is much more important than making money. Basically because if you lose your capital, making money is much harder. ''Missing the train'' vs. ''losing your money''. There are a lot of trains, but if your money is gone, it's over.

[heatherkandel]

You are a good teacher. This would be so valuable in high schools to get people started on the right track!

[mar-fb]

RAUL I AM SO GRATEFUL, MY SCORE JUST MOVED TO 820 FROM 450 WITHIN 3 WEEKS

[adelesmith]

Thank you my good friend Raul for getting my bad score to 830 within few weeks!

[mj]

I'm happy to say that last night I paid off 5 credit cards and have one more to go. 💜🤗 plus I've been buying everything with cash including my boys Xmas presents this year. NO more swiping my credit cards. Can't wait to finally say that I'm debt free.
I will also be putting my boys binder together with ur 2022 savings challenge, I purchased it already I just need to print and have them make the envelopes. 😊

[michaeloladele]

THANK YOU RAUL FOR GETTING MY SCORE TO 820! I AM SO HAPPY

[michaelfordham]

i created my wealth through credit repair, after getting my score fixed then i got a big loan and started business, i am proud to be a millionaire.

[Maylis]

I love sinking funds, even if I'm spending money, it doesn't feel like it's coming from my paycheck. It's more comfortable to spend money because you are prepared.

[DearDebt]

Sinking funds are a life saver! It has taken me awhile to figure out exactly what sinking funds work for us. Some things we prefer to cash flow, some things we like having a sinking fund for. My advice is don’t give up! Sinking funds take awhile, just like your budget, to figure out what works for you. It’s different for everyone!

[candy]

I love having sinking funds. I went through my envelopes and revamped some categories and adding them to my budget. One thing I saw another YouTuber do is break down sinking fund categories by subcategories.. for example: instead of just adding money to a Vacation fund in general I have subcategories such as flights, hotel, transportation, tips, activities, food, etc.. this makes it easier for me to put money into specific subcategories instead of mixing my money all at once and making sure I have the right amount of funds for each thing. Hope that makes sense

[latashiagady]

From one single mom to another single mom. I have always wanted to start a sinking fund, but I didn't know how to start until now You have motivated me to start so that I can have the set aside funding source to plan ahead . Although I'm not debt free (a mortgate and one low credit card that I payoff monthly) I'm pretty good with handling my money. I'm approaching retirement in 7 months which means leaving from biweekly paychecks to a once a month paycheck....yikes!!! With that said, I need to stay focus on my spending. Oh btw, my son is now 26 and I'm grateful of the wonderful relationship that we share. Keep it up Budget Mom, the reward is wonderful and I look forward to seeing more.

[jordierose]

I've been doing this for about 5 years now and life is grand. I'm comfortable, bills are paid, credit is jus there if I need it, I'm able to live calmly and collectively while styll being able to enjoy the things I find joy in life .. even through covid and recession. What a blessing! Whoever is thinking about making this financial change, research and act on it. You will not regret it and your future self will thank you

[sarahhouk]

I love this video. So helpful. Last year was the first year I was able to save $600 for
Christmas with my sinking fund!

[bethypines]

Amazing. I am so financially illiterate 😓 .. single mom .. 3 boys .. will be losing my job end of Feb and scared. Somehow I came across your channel just the right time ❤️ You brought tears to my eyes at the end .. 🙏🏻 thank you.

[crystalgale]

My 2022 budget and sinking funds will be different because I have just started my 1 yr maternity leave and my income is cut in half. I am doing the 2022 savings challenges as well to motivate myself even more.

Wishing everyone a good 2022! May all our financial goals be reached 💙

[patriciamartin]

Many years ago, I got tired of being anxious each time a large bill like property taxes or house insurance came due so I started dividing up how much I needed to save each month and put it in a savings account. Anything that was due every 6 months or yearly was included in this. I documented it all on a spreadsheet and each time money was added to that particular item, it was listed as addition or subtraction on the spreadsheet. Any extra that we had was put in the savings account and listed as just savings. That way we drew interest off of the sinking funds, although we did not have a name for them back then. Not only did I have the money to pay these bills but also made a little off of them during the time they were in the account. When it came time to pay the bill, I drew the money out of the savings and deposited it into the bank account. Solved the anxiety problem and made extra money too

[dwtbb]

This video is very resourceful. When I started saving about two years ago, I started with 5 categories. I’m now up to 22-23. I live on a fixed income and it’s saved me from massive stress and anxiety. I can now pay for things and not use a cc and seeing that I may have money leftover makes me feel good.

[tammytarry]

Awesome video!!! I am 60 yrs old, and have never heard of a sinking fund! I have heard about the envelope method. You have such a wealth of great information you are sharing here! It makes so much sense, and I am going to start my own sinking funds. Thank you, thank you, thank you!

[khaleesiy.]

I love that. You don’t stop living because you have debt.

[tyresseferguson]

So happy that I found a balance between saving, investing, spending, and paying off debt. This balance has allowed me to live a comfortable live without stressing over my finances.