HOW SINKING FUNDS WORK IN YOUR BUDGET

Sinking funds are an amazing addition to anyone's budget! Saving for something big with a sinking fund makes the large purchase so much more doable! Here are how sinking funds work in your budget, sinking funds you should implement, and where you should keep the money in your sinking funds!

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The Budgeting Wife
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[finurra]

I have a whole MBA and never thought of my various savings accounts as a sinking fund, lol..ahh I love your channel! Thank you for this video, I'm on a journey to budget like a queen!

[ashleyranaye]

Yay for sinking funds!! We have a vacation, house improvement, car repair, and our “allowance” funds that we use for play money (1 percent of our income for each person in the family). Every month I get excited to transfer 🤓 so fun to see it grow and build interest!

We don’t have a Christmas fund as we front load our retirement savings the first 10 months to ensure we meet all our goals. Then we have excess money for Christmas at the end of the year :) works well for us!

[jenniferward]

I was hoping you’d do a video about this, thank you

[Practice_Kindness-st]

Property taxes, pet care, oil change/registration/gasoline fund. I love the envelope system!

[amberking]

So if you are working in Dave’s baby steps do you automatically count sinking funds as part of your budget or do you wait until you have paid all of your debt to utilize that money for the sinking funds? We just got done with FPU and me and my husband are def starting a back to school sinking fund and a Christmas sinking fund January 1st!

[littlestalkers]

We have 5 sinkingfunds, including 1 for our pets (food, vet etc.),

[QuesttoFIRE]

No sinking funds for me- I personally don’t like the thought of a large amount of cash sitting around, not earning me returns in the market! Even high yield savings accounts seem like a bit of a waste when the market averages 7% returns. 🤷🏻‍♀️So, I tend to cash flow expenses as they come up. And once I’m out of debt I’ll still only keep a smallish emergency fund in a high yield savings account for liquidity. Any extra money I’ll put towards investing. 💪🏻

[NoDebtButLove]

Great spin on financial principles in putting your own spin on it.😃

[April-zhvm]

Pet vax sinking fund and car insurance