Results 1 to 7 of 7

Thread: Veeeery Interesting...A Budget Analysis From Last Year

  1. #1
    Senior Member SiouzQ.'s Avatar
    Join Date
    Dec 2010
    Location
    Central-ish New Mexico
    Posts
    1,208

    Veeeery Interesting...A Budget Analysis From Last Year

    I dug out some blank old budget analysis sheets that I got from a financial counselor at my credit union a long time ago and plugged in the numbers from last year from what I tracked in Quicken. It turns out the life I lived last year required me to spend about $1,914.58 per month (and I don't even pay rent or utilities)!

    Yikes! I really had no idea, because I have a good emergency fund cushion and many months I made extra money (sometimes a lot) from my jewelry sales. So much so that for the first time I will actually owe federal taxes. It is good to look at this and regroup a little and pay more attention to things. I have so much more medical debt that I didn't have before; probably close to $300 per month. I pay my monthly health insurance premium, and am also making monthly payments on two different payment plans.

    When I look back on how I lived my life in Michigan and how I live my life out here, it is very different. I was SUCH a TIGHTWAD back there, because I had to be. Plus I was single and could really control everything to do with my money. Now that I am in a relationship with a spendthrift things are a bit different - I am much easier with myself about spending money; I don't agonize about every little purchase, or grabbing a snack while I am in town running errands, or going out for dinner every once in a while. I still buy most of my clothes at the thrift store but I realized last year I spent $852 in clothing! In my defense I did finally buy a really nice (but used) beautiful brown sheepskin winter coat that I absolutely LOVE and is very warm. I really needed a new winter coat because this winter has been so much colder than the previous two, so I don't feel bad spending $200 on it. I also bought a very nice, sturdy pair of lug sole boots, another $200 but also something I really needed for the climate and terrain out here. Both of these items will last for years and years.

    However, my employment stint out here may last just another two years so I feel like I need to be more conscience about how I am spending my money. I never know how much my jewelry business is going to bring in so I always count that as "extra" and not something I can totally count on from month-to-month. There are just a lot of little things I can do to not spend so much, like making more meals from scratch (doing pretty good on that front) and taking snacks with me when I go to town to run errands. I could spend less on booze too. That's a hard one in this town. I have been a hermit this winter with the two surgeries so I haven't been going out nearly as much but when the weather gets warm, that's when it gets hard. It is so much fun to hang out and listen to music on the outdoor deck at the bar. Even just two drinks three or four times a week sure adds up...what I need to do is start playing my guitar for tips and get some gigs; the money I make doing that is my "fun" money.

    So, I need to start making some adjustments in my day-to-day life. I also want to come up with a savings goal for this year - I want to add several thousand dollars to my savings/emergency fund account for the year. I also should have the accountant take out a little more in taxes from my day job so I don't have to pay the feds next year.

    Plus, my car is getting old. I have a paid-for 2003 Honda Accord and it has around 150,000 miles on it. Other than a weird little glitch in the transmission that is too expensive to get fixed on a car that old, it is doing pretty good. I always keep it well-maintained, but it's not going to last forever...I hope to get at least another two to four years out of it.
    Last edited by SiouzQ.; 2-12-19 at 12:25pm.

  2. #2
    Senior Member razz's Avatar
    Join Date
    Dec 2010
    Location
    Ontario, Canada
    Posts
    5,266
    Good analysis and important to do. This is something that I am now also considering doing because I let it a slide for the past few years. Thanks for the reminder to get going.
    Gandhi: Happiness is when what you think, what you say and what you do are in harmony .

  3. #3
    Senior Member
    Join Date
    Dec 2013
    Location
    Nevada
    Posts
    6,794
    Are the owners selling the business in a few years?

  4. #4
    Senior Member SiouzQ.'s Avatar
    Join Date
    Dec 2010
    Location
    Central-ish New Mexico
    Posts
    1,208
    No, the idea was that they would be able to retire and run the business themselves. At the time of starting my employment back in August 2016, they had said a period of time from three to five years, but more likely five. This August will be my third year in, already! My, how time flies. So much has happened to me lately...

  5. #5
    Senior Member catherine's Avatar
    Join Date
    Jan 2011
    Location
    VT/NJ
    Posts
    9,085
    SiouzQ, it has been fun going on this journey with you. I remember when you went through the decision-making process--I can't believe it's been 3 years already! You were so brave to sell everything, pick up and go!

    I know how budgets go when your SO is a spendthrift--that's been the story of my life. But it sounds like these little splurges are contributing to your quality of life. Maybe track your spending for a couple of months and see how much is going towards restaurants vs drinks on the patio and other discretionary spending and recalibrate your spending if necessary.

    Do you think you'll stay in the area when the owners retire? Do you see any opportunity for other employment in town? Sounds like you'll have more decisions to make over the next couple of years.
    "Do any human beings ever realize life while they live it--every, every minute?" Emily Webb, Our Town
    www.silententry.wordpress.com

  6. #6
    Senior Member
    Join Date
    Dec 2013
    Location
    Nevada
    Posts
    6,794
    Wow I cannot believe it’s been that long already.

  7. #7
    Senior Member SiouzQ.'s Avatar
    Join Date
    Dec 2010
    Location
    Central-ish New Mexico
    Posts
    1,208
    I also realize that I had a lot of one time expenses last year due to my daughter's death - flights back and forth, a share of the funeral home expenses and other miscellaneous stuff tied in. I am lucky in that both my parents helped out with that. It was still $1115, and didn't include the two flights.

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •