Why Sinking Funds Are Important | Budgeting Tips | Aja Dang

Hey everyone! I'm Aja Dang and today, as I pay off a large bi-yearly bill, I will show you why sinking funds are so important! I talk about sinking funds and saving up for future goals a lot on my channel. I think it's easy to focus on paying off debt and saving up for your fully funded emergency fund and future investments, but don't sleep on the sinking fund. Saving up for a sinking fund allows you to put aside money every week or month for a future bill - that way you're not surprised and scrambling to find money once the bill is due.

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[mahoganyiana]

If it wasn’t for you, I wouldn’t even be able to think I could save almost $10k as a senior in college. If you’re motivated, you make it work! Thank you Aja! 😭❤️

[TinaLeder]

Creating a sinking fund for my dental implant was the *BEST CHOICE EVER* 💖💖💖

[BrettShoemaker]

I love sinking funds. They help me stay motivated to accomplish goals.

[vanessaberg]

You 100% inspired me to start sinking funds at the beginning of this year! I have a category for christmas gifts, weddings/gifts and bachelorette parties and new to the list is MY OWN WEDDING! I got engaged this week and cannot wait to start planning and preparing!!

[SamElle]

this is the first I've heard the term "sinking funds", wow there is A LOT for me to learn

[sanissax]

Just set up my sinking funds and I love how they feel like fun challenges! It makes saving actually enjoyable

[taylorrogers]

Sinking funds is what keeps me away from having to use credit cards for big purchases, they are essential in my budget! Great video!!

[didine]

The white top with your black hair, the red lipstick... you're gorgeous on top of being smart and resourceful 💪👏

[faysmith]

First month of being secure in my job so worked out my budget (first proper month) and set up a separate current account that I can transfer monies to. I have savings for beauty (eyebrows/hair/ facial), cat, e-fund, subscriptions and Christmas. Setting up a standing order for £150.00 and see how we go. I worked out that I will have saved for my hair cut well ahead of the appointment. This is the big win for me knowing I am prepared. I have 2 big car bills to pay for and thus I have set up a fund to avoid this going forward. The preparation appeals to my Virgo nature.
Hope everyone is having a lovely day xxx

[naturalbeauty_abena]

Thanks for sharing. Some Sinking Fund Ideas
Car Maintenance
Car Insurance
Health Insurance (If Self Employed)
Dental
Medical Expense ( Copays and over the counter expense)
Travel
Gift/ Christmas
Birthdays
Home Improvement
Big purchases ( Car, House)
Family Fund
Kids fund
Clothing ( If you are someone that shops once a year Like I do)
Self care/Beauty
Technology ( for phones, iPad etc)
Wedding

[lizetteroni]

Sinking funds are great! If you’re someone like me.. even if I have money readily available, I will still feel guilty for spending money on big purchases for myself. If you dedicate money in a sinking fund, it helps me feel like I deserve it (of course I’m talking about indulging in things and not things like insurance) 😋 Great advice Aja~~

[VMusic]

In the next 2 months I'm going to have a full funded emergency fund and I should also have my sinking fund completed for Christmas! I started my Christmas fund back in February and it's been the best thing ever, I already feel better knowing Christmas will be sorted, especially with my job at risk, I know it's going to be a great end of the year!

[TheEIsFor]

I love this concept💡 people look at me kind of funny when I describe my sinking funds, but has given me such a heightened feeling of financial security. It is so motivating and I would totally recommend it to anyone 🤩

[cainnerojudaslegion]

I like how calm your voice is. makes your videos easier to watch for me (vs other youtubers). :)

[Mah_fb]

I use sinking funds for my vacations and it feels GREAT when it's time to go...fully relaxed, my next big one will be HOA, Taxes and Decor of my new house

[bryanacamillebraxton]

Just started doing sinking funds this year! 💰Thanks to your videos 😊 they are amazing. I did a sinking fund for contact lenses, moving expenses, and now Christmas gifts/travel. I can’t save much to the funds because I’m still paying off debt but it is really nice paying for big expenses without going way over budget.

[PlaninProgress]

Thank you so much for your videos - you were doing your debt free scream when I was just getting into Dave Ramsey. Following along with you as you’ve transitioned from debt to savings has been really cool.

[AV-gwmx]

You really are an inspiration to me Aja!! I never grew up with any kind of financial literacy other than never borrow money LOL. Your journey has helped me so much! Just finished school and am getting ready to pay those student loans! I feel more confident because of you!

[joycallejo]

I didn't even realize it, but I guess I'm doing what is called a sinking fund for grad school! I hope to save $30, 000 in 1.5 years. Wish me luck :)

[leannemichail]

I love rewatching this. It reminds me how easy it is. And me not over complicating things