How we traditionally set up spending plans doesn’t work because we aren’t accounting for the big infrequent expenses in our lives. Yes, there are things we can’t plan for (and that’s why we have our rainy day fund) but most of these expenses are things we know about or even things that happen every single year. 

Why is this a problem? Not only does this way of spending keep us from planning and saving the way we want, it also makes our financial lives much more stressful. If I have to make a big expense in any given month, cash will be really tight and I’ll have to put the expenses on a credit card or pull money from savings. I have to spend the next month recovering (until another expense comes up!). 

The good news is, I am excited to share a tried and true system to stop this spending and saving rollercoaster. Once you take the time to set it up, it will do the work for you and take the stress out of these larger more irregular expenses.

Having renters insurance protects your belongings in the case of theft and fire so you don’t have to pay to repurchase everything yourself. Long story short, it’s worth the investment. And luckily, it’s not too expensive. Here’s everything you need to know before signing up.

In times of uncertainty, our rainy day funds become more important than ever. Why? They provide us with cash in case of an emergency - like a change in income, job loss, or unexpected expenses.

They also give us freedom to make choices, peace of mind, and space for creativity. Think about it. Maybe you lost your job and are looking for your next career opportunity. If you have a rainy day fund, you’re better positioned to pass up on a job that’s not a good fit because you don’t need the cash as urgently.

This can make a huge difference in our career trajectories, future earnings, and our overall happiness and satisfaction at work.