School is finally underway, this is the first day of September and two-thirds of 2020 is over. The plan we made at the beginning of the year has changed because of the pandemic. Because of careful budgeting and planning, we are good, but we need to chart a new course and take a different path. The destination will be the same, we’re just taking a bit of a detour.
The Pandemic Plan
We have been staying home and safe, saving more money cooking at home and going out less. It’s been healthier overall plus I feel like we have more time together since we aren’t out and about so much. This has given us more time to consider what we really want out of life and where we want to go. We have been fortunate and we need to make the most of the time we are given.
As a family we have always considered our spending together. I appreciate that you don’t ask for unnecessary items and stick to our budget. These lessons will be important when you go to college and are on your own. We have made mistakes in the past, but we learn and have worked to correct them over the years. We want to pass some of these lessons on to you.
I wish I never got a student loan.
It is a hefty burden that continues to linger. We will be working on finding the best options for your education without student loans.
Be careful of credit cards.
Credit cards are not bad as long as you know how to use them correctly. They can be great for rewards and other benefits as long as you plan to pay the balance in full each month. Plus they are a great way to build credit history when you want to buy something bigger like a car or a house.In the event you need it for an emergency, you will want a card that has a low interest rate and keep your balance to 30% of your limit.
Keep track of your money with a budgeting app.
Automate payments as much as possible and do a 5-minute check-in on your money every day. Revisit your budget often and cut down/out anything that you really don’t need.
Automate your savings.
Even $5 a week will accumulate in those times of emergency.
Make money now.
This is the time when you can experiment safely. There’s no risk since we’ve got your back with home expenses. The important part is finding what works best to still allow you time for studying and fun. We are not just balancing budgets, but time for living. If you can earn money now, you can improve and do it again.