69 | 5 Steps to Create a Savings Bucket System (never be stressed about big bills again!) That Is Separate From Emergency Fund + Investments

Snag Our Simplified Budget System! A savings bucket is a savings account with a purpose. Unlike the emergency fund and investments, savings buckets take into account your larger annual expenses and divide the cost so that you can budget for them monthly. This system is when you know you’re next level. Rather than just setting money aside without a plan, we’re going to have a specific plan. This system is so awesome because when a big bill comes, you’re not wondering how you’re going to pay for it or reaching for a credit card. Instead, you’re confident you have the money for it and not stressed at all! Plus, you do not have to go further into debt because you’re so organized! One of our clients recently text us about this system:“Had to get new tires today (they were old but went in for a nail in one, not to replace) and it was really cool to have $800 ready to go in my car maintenance fund!! Even the tire guy seemed a little nervous to tell me I needed tires. I think he's used to people being unprepared. He sounded a tiny bit surprised when I said "sure, go for it!"Here are the steps we’re going over in this episode.Brainstorm every savings bucket you have in a year. These are things you spend a lot of money on each year or can expect to. Use the list below for inspiration.Calculate how much you need for each of those funds.Divide that savings bucket amount by 12 (or the amount of months you have left to save for it).Put those numbers in your monthly budget!Be relieved when you have money for that emergency pet visit or new tires!Examples of savings buckets (also called sinking fund):Car repairsPet expensesChristmasVacationHome repairsTaxesMedical / Dental / Vision expensesPrescriptionsInsurance premiums (life, auto, property)HOA feesAnnual membershipsFurnitureHome remodelBack to school / clothingTuitionCar replacementWeddingMovingNew Baby“When her paychecks go in, they fund the bills account and it all spreads out because they’re out of debt. So, it goes to her kids fund, her home repair fund, it goes to all of her funds. So, all she has to do is pull up her account and look and see exactly how much money she has. There’s no guessing game.”Connect With Us:1️⃣ Facebook Group – Join the community. Our free group is where the real talk happens. Connect with other women who are learning how to budget, save, and finally feel in control, together. ➡︎ budgetbesties.com/facebook2️⃣ Automate Your Budget Masterclass – Watch it now, no waiting. This FREE on-demand training shows you how to set up a budget that matches your lifestyle, without tracking every dollar or feeling restricted. ➡︎ budgetbesties.com/automate3️⃣ Budget – Grab our Simplified Budget System! You don’t need another budget, you need a system that does the math, makes the plan, and gives you permission to spend. ➡︎ budgetbesties.com/budget4️⃣ Private 1-on-1 Coaching – Get a plan and a coach. We’ll build your full budget system together, so you always know what to do and feel confident doing it. ➡︎ budgetbesties.com/coaching5️⃣ Be on the Podcast – Free coaching, real convo. Come chat with us on the show! Get real-time financial coaching and help other women by sharing your story. ➡︎ budgetbesties.com/livecall"I love Shana & Vanessa and this podcast is amazing!" 👈🏻 If that sounds like you, please consider rating and reviewing our show! It helps us to reach more people – just like you – to help them change their financial future. Don’t forget to follow the show so you don’t miss any episodes! And, if you’re feeling really generous, we’d be SO honored if you would share this podcast with someone. Click here to view our privacy policy.This description may contain affiliate links, meaning we may get a commission at no cost to you if you click & purchase!