Things start to smooth out again. One full month off working again under the belt. Interim at the moment and the weekly payments are a bit annoying for the budgeting (there is some delay). But this should sort itself out over time. And I still have around 2.000 euro in day trading profits to smooth things out.
Personal account:
Income: 2 090,59 euro
Expenses: 1 145,99 euro
Savings: 944,60 euro or 45,2%
Since my contract started on 2 may (1 may being an official holiday) I got 52.86 euro of unemployment. This will be the last payment and as of next week I will be officially full time employed in the eyes of the government.
Day trading was almost non existing as I just do not feel like it after work. Just did it one evening for a grand total of 20 USD! More on that in my special circumstance investing post.
The high savings rate is because payments to the joint bank account were low: only 750 euro this month so the last of the big tax refund is used up. I did spend 60 euro to go swimming, 58 euro on a really, really heavy duty lock for the Vespa (using the to go the train station now and do not want it to get stolen. The lock will probably survive me and any of your grandchildren as it is top quality) and 20 euro on a diet/eath healthy eating book as I am feeling motivated to tackle my weight. The girlfriend is going to a music festival in Portugal this week so dieting will start after that (I really need to do a health post). All other spending was pretty normal.
The joint bank account
Income: 1 500 euro
Expenses: 2 344 euro
Savings: – 844 euro
As stated above, we only contributed 750 euro each so the last of the big tax refund was used up in May. As of next month contributions will return to their normal 1.100 a 1.200 euro level.
Expenses are pretty normal. We did get our water bill which lands only every three months (143 euro), there was the vet visit for our cat and the insurance for the Vespa. 93 euro for a full year of insurance is pretty cheap. So I had no financial reason whatsoever to drive around on the Vespa uninsured for almost 2 months, just me being lazy …
Anyway, subtracting my half of this overspending in the joint bank account form my savings and I end up with a savings rate of 25%. Not bad!
This is also the first month I could transfer money from my checking account to my savings account. Victory! You see, I used to feel comfortable having 2.000 euro in my checking account and 10.000 euro in the savings account. I managed to keep those numbers for most of our home renovations and then we did the kitchen and bathroom renovation last year and when all was said and done I was left with only 300 euro in cash on my checking account and 0 on the savings account (talk about being asset rich and cash poor). I was close to transferring something to the savings account when I decided to buy the Vespa. So I am glad I could transfer 500 euro this month and that I am back around the 2.000 euro mark on the checking account! I would like to get to 5.000 euro on the savings account (mainly because our car is old) and then we start renovating again …
Good to read that things go the right way again so that the next plans can be executed.
And 25 pct is decent. We hover around 6 pct due to the way we account flows into our holiday fund: an expense already now…
It is ok. And not that important for me, everything saved will eventually be used for home renovations. Most important of keeping track of my expenses is to see if I indeed can live comfortably on 1.500 euro/month on average. It is going to be close.
Holiday was paid for last month so we are good in that category
Making sure the budget is ok for a life long living is probably key. DO you plan to foresee some spare room in the budget?
The buffer is more in the earning department. Using the tax free amount of 7.400 euro at present but with the mortgage my tax free limit is closer to 9.500 euro so that is an additional 2.000 euro I can earn (and with the current job I would hit that in three months so depending on the exit plan I end up with I probably will earn more than the 7.400 budgeted at the moment).
Another buffer is that it is current spending with the mortgage. But when pulling the plug We will only have 8 years left on the mortgage, once that is gone I have an extra 450 euro per month to spend.
There is a pension fund at my previous employer I do not take into account because it will only be able to access it when I am 65 years old.
And then there is the final buffer in the fact I am an only child. I have been managing my parents investment account for the last 10 years. As far as my parents are concerned this is and has been my account for the last 10 years even if it is still in their name. I hope my parents life a long and happy life (they are only 63) and I have been pushing them to live a bit more since they are financially secure but a live of frugal habits is hard to change. I should do a post about that. I have been fighting my parents tooth and nail to not pay all my remaining home renovations. I always had a strong independent streak but lately I am realizing that 50.000 euro now will have a much larger impact on my life than getting the full inheritance when I will probably be 70 or 75 years. But I am a stubborn man, then again, so are my parents …
Ok, a well thought plan. I look forward to the full view in Utrecht.
And stop being stubborn. Work out the details with the girlfriend and happily accept the money. As you say, one day it will be yours, why not now.
Or get your parents to contact me… ?
I’m with Amber on this one, looking forward to the full view in Utrecht this weekend!
By the way, we also have a “help Team Cheesy through the winter” donation box 😉 In case you parents need help.
I think Team Cheesy will be fine in the winter. Hell, you are going to put us all to shame and pull the plug next year already! Now, if you find yourself with too much free time and want to practice maintaining a large garden, I have a 100 metre hedge that needs trimming …