Sinking Fund Savings Goals | Saving Tips & Hacks

Here is a look at my 2021 sinking fund goals!

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
Intro: 00:00
What are sinking funds: 00:44
My 2021 sinking funds: 10:18
Conclusion: 18:17

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[aplanefliesabove]

2020 has been challenging & rewarding as well. I paid off $25k of debt, started saving in 7 sinking funds, opened 3 savings accounts, applied and was approved for a new cc, raised my credit score over 100 points... And this is just the beginning of my financal journey!

[paula]

One tip I have for anyone feeling overwhelmed if they have too many sinking funds it that you can always just do a few of them at a time. If you want to save 200 for Christmas, 200 for Birthdays, 200 for back to school, etc, instead of saving 20 for each of them every month for 10 months you can manage one at a time (whichever is coming first) and then move to the next one. You can save 60 for a birthdays in the first 3 months, in the forth you would save the 20 that it's left and the extra 40 you would put in the next one (maybe back to school). Then you save only for back to school until that is done and move on fully to Christmas. If takes a bit of extra math to make sure you gonna reach every single goal on time or before hand, but I highly recommend, this way you only need to handle a couple of savings a month instead of 10.

[MMyers-mhjq]

Just sat down with my husband tonight and made our 2021 year budget/ sinking funds

[yojs_]

I love sinking funds! I have 28 however not all of them are getting funded every month. Some of my sinking funds do not have an end date but I save up every month such as car maintenance, holidays (excluding Christmas), birthdays, clothing, hair care. Honestly, any expenses that is not paid or used every month is a sinking fund for me. So that means whenever I spend money it either comes out from our budget or a sinking fund. Gives peace of mind.

[rachaelv]

Sinking funds are a game changer. Both of my friends live far away, so the vacation sinking fund was the first one I started. Now I have the cash when I go to visit them and that is so reassuring. My general savings account has helped me cash flow so many big expenses this year: a new phone, a lawn mower, a snow blower. 2020 has been a hard year for me in so many different ways, but sinking funds saved me from going into further debt and my goal in 2021 is to rebuild my savings account. Cut expenses, increase income, and pay off debt.

[georgiafremon]

I just paid off my $6K debt in 4 months and the final payment was on Christmas! I can’t wait writing out my sinking funds and goals for 2021!

[Snapwhiz]

Love your overview! Auto repair and car tag sinking funds made my husband a believer earlier this year. We’ve expanded to include gifts, Christmas, sports, travel, etc. I have used your BBP planner sheets and it has been amazing. Thank you for your products and for sharing your journey and techniques with us all.

[DavidEVogel]

The Sinking Fund Savings methodology goes back to post-WWII. I know because I watched my father do it in 1959. Yes I am old. The term "envelope stuffing" is now "sinking fund savings." The principle is still the same.

[DebtFreeDee]

I love what you say about being realistic and taking into account your habits from the past to plan for the future. This is super important! Thanks for highlighting this!

[ezmath]

I have a sinking fund for birthdays with no specific goal. I set aside $20-50 per month for this fund and every time I need to buy a gift for someone I have this to go to.

[alycer.]

Gosh of all your channels. I've got to tell you- your" You tube" channel is my absolute favorite. Just 👍 and there you go the start of a educational library to pull anytime you need reference, knowledge or just a little shove in the right direction.

[Meganwitt]

Thank you for sharing this. I’m starting sinking funds this year! I’ve never done them before. 2021 is going to be an amazing year for me!

[ihilanikali]

I LOVE your explanation of cash flowing birthdays but having sinking funds for the bigger ones 🤩

[love_pets]

Made my first sinking funds starting in April 2020. First year were I could buy everything I wanted/planned without going more in Thanks budgetmom ❤️ Can't wait for my 2021 sinking funds!

[Blumenkatze]

This is how i do it for several years and it's always a really good feeling to be prepared when the bill comes.

[melymel]

I love this, thank you for sharing! I want to start my sinking funds for 2021! 🎄

[MsCavsfanatic]

Short term sinking funds. Long term sinking funds. Savings. Cash envelopes. This video finally got through to me after one year. Plus, I can no longer do a cashless budget. I'm going back to cash in January. I am thankful for this video!

[levelpropertymanagement]

Valentine’s Day SF is done, I’m working on Mother’s Day Father’s Day and paying off debt!💕

[reebudgets]

I set up my sinking funds for the first time in a WHILE and I felt so accomplished!!

[msgenuine]

Thank you for sharing your knowledge in finance. Sinking funds are so important and helpful in our budget.