Day12-automate-savings

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Week 2: Implementation & Automation

Today’s Easy Financial Task: Automate the savings that goes into your Money Bucket.

How to Rock this Task:

 

So far this week, you’ve had a no-spend day, created a budget, found savings by negotiating with your service providers, and restructured your debt. Today we’re talking automation.

 

Automation = The New Discipline

You’re 100% more likely to stick to your savings goals when money is automatically transferred into your savings account. Let’s face it: humans can be pretty unreliable. Automated transfers however are completely reliable.

Your task today is to set up automatic transfers to your Money Bucket. Where will the money come from? Glad you asked!

 

Did you call your service providers and save money during Day 10’s task, “Find Money”? If yes, AWESOME! You just need to save the money you’ll now have from reducing your bills.

 

Here’s how:

1) List the service providers that agreed to lower your payments.

2) List the due dates of the recurring payments of each service provider who agreed to lower your bill on your Money List.

3) Instead of paying the full amount to your providers, transfer the amount that you’re saving to your Money Bucket. Make the two payments on the same day you normally pay the service provider.

4) Automate both payments, part of it to the service provider and part of it to your Money Bucket.

 

For example: Your phone bill was $300/month and you negotiated it down to $200/month, a savings of $100. Instead of spending the discount on new shoes, you decide to save it. Your cable bill is due on the 10th of every month. You pay $300/month on the 10th: $200 goes to cable and $100 goes to your Money Bucket with both payments automated.

 

You can also find other savings to put into your Money Bucket. Try committing to an “essential spending only” day one day each the week. On Day 8: Essential Spending, your task was to: Kick non-essential spending to the curb. How much did you save that day? Transfer that money to your Money Bucket.

Have you found savings on your other monthly expenses like groceries, personal care, or transportation? Add up how much you can comfortably save monthly and set up another automatic transfer to your Money Bucket.

 

Still need help? I’ve found and personally use an awesome free resource that will analyze your income and spending and find small amounts of money it can safely set aside for you. Yup! You can actually have something save for you without you having to think about it. You can learn more about it and sign-up by clicking HERE.

 

No more excuses, my friend.

You have all the tools you need to reduce your spending in order to save money automatically. Next week, we’re going to discuss ways to make more money for your savings goals and passions. Get excited!

 

Remember to support your accountability partner. This is a team effort! Has your partner taken the time to automate their saving? It literally will only take a few minutes. Have you and your partner checked out and signed-up for the awesome free resource I suggested for savings? It’s time for the both of you to, “set it and forget it”. Make sure to check-in and hold them accountable!

 

I’d loooove to know how much you will be automating to your Money Bucket each month. Tell me in the comments vs. emailing me. Share your amount in our Dream Catcher forum too. No amount is too small. It’s important to share “out-loud”. It holds you accountable and inspires others to take the leap.

 

Share what you’re doing today by using the social media buttons and share with your twitter friends:

Today I'm automating my savings into my Money Bucket Day 12: #LiveRicherChallenge Click To Tweet

 

Remember, you can find me here:

Twitter: @thebudgetnista

Instagram: @thebudgetnista

Facebook: The Budgetnista

Forum: Dream Catchers  (if you’re not already a member.)


Live richer,

Tiffany “The Budgetnista” Aliche


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  • Nicole Williams-Hall

    Day 12 Automate your savings- I have been thinking ahead. I automated my savings to go into my money bucket every time I get paid. I did this on day 8 maybe…trying to be proactive. I WILL LIVE RICHER!

    • Proactive indeed, that’s the way to live richer @nicolewilliamshall:disqus!!!

  • Harris

    I automated my part time job check to be placed in savings during our day 8 challenge! It exceeds the 10 I saved from the cable company and the 14 on the essentials only day!

    • That’s great @disqus_0iucrpKWxu:disqus, I’m so excited that you have been saving before the task came! Live richer!

  • Tonya

    I started my automated saving on Day 8. I signed IP with Digit and had a savings account opened in my Dad’s name who lives in a different state and to help I did not add my name to the account. I do not want to touch it for a yr. I will have the extra money saved from my phone bill (cutting contract to go to prepaid and have my daughter pay her own bill, a savings of about $70 per month). I’m still working on cutting costs on other things like my credit card interest.

    • @disqus_uMXDmJRuTN:disqus, this is great!!! Keep at it! Living richer is a lifestyle!

  • Michelle Sutton

    I have signed up for Digit, and I automatically am putting 10 dollars in my capital one 360 savings account automatically every time I get paid.

    • That’s great @disqus_XU0W1KK9eh:disqus! Thanks for sharing!!!

  • Michelle Sutton

    I have signed up for Digit, and I automatically am putting 10 dollars in my capital one 360 savings account automatically every time I get paid.

  • Beanie MzSag

    When I created my online savings account, I quickly went to my payroll dept and filled out a form to automate $100 each pay to go into my savings. Also, I did get my cell phone bill lowered by $10, so I will place that into my savings when my bill is due. #LivingRicherIsTheGoal

    • Nora Grady

      I love this method! Better to transfer it before you even get it.

    • Keisha

      I did the same think when I created my online account! I don’t have to do anything but add extra to go along with my bi-weekly challenge.

    • Wooo Hooo!!! You all are ready and putting in the work! Thanks for sharing @beaniemzsag:disqus!!!

  • Laterra Jones

    MORNING!!! I NOW WILL BE SENDING ADDTL $290 FROM THE MONEY I FOUND AFTER REDUCING MY BUDGET AND EVERY DINE WILL BE AUTOMATICAL SENT TO MY CAPITAL ONE 360 ACCOUNT.

    • That’s the way to save with the new discipline of automation @laterrajones:disqus!!!

  • Nora Grady

    I set up autodraft to my Barclay’s Dream Account (saving for a house down payment!)when I opened the acct. I set the draft to happen right after my paycheck clears every month, so I don’t even have time to think about spending it instead. I also set up an autotransfer from my checking to my savings for my emergency fund at the same time. I still have savings that require me to wait ’til the end of the month to deposit because they’re based on budget surplus. Unfortunately I can’t automate those. I did set reminders in my Google calendar to check my budgets in Mint at the end of every month and transfer the differences. Cheers to savings!

  • Ania Otto

    I am ahead of the the game! I started automating my savings into my money bucket back in November.

  • Tiffany Taggart

    I’m already ahead of today’s challenge. I set up my Barclays and Capital One 360 saving accounts to automatically deduct a certain amount from my paycheck bi-weekly. I have already started placing a few of my bills on autopay so that will definitely help my stay within my budget and guarantee that my bills are paid on time

    • That’s great @tiffanytaggart:disqus!!! You are taking this challenge and #WINNING!

      • Tiffany Taggart

        Thank you

  • veronica lang

    Since I have active duty time in the United States Navy, I qualify for post 911 educational benefites for school. While in school I receive $982 of BAH (money to live off of). I also received grant money for school, so the refund and the extra income i receive will automatically go into my savings bucket. Ive set a budget according to the money my Husband and I make now, so that gives me a goal of saving $5000 by May.

    • @veronica_lang:disqus, thanks for your service! That’s awesome! I’m sure you & your husband will reach your goal!

  • Julie Green

    I’ll set up automation around pay days, twice a month. I already have digit set up.

    • You are living richer @disqus_olu1WBCXwk:disqus, thanks for sharing!

  • Karen Mills

    I had some reserevations..until I realized that if I didn’t automate my savings…I would continue not to have any. I feel hopeful about putting money away and I’ve finally at age 54 realize how this is supposed to work. My parents didn’t teach me and I didn’t teach my kids. I will break this cycle. Thank you!

    • YES!!! I’m so excited for you and your children to live richer lives @disqus_mnvbc23QtV:disqus!!! You are most welcome!

  • Leslie

    I started this years ago. I know have 4 different accounts that I have money automatically deposited into. One thing I can say for myself is that I am a great saver!

  • Marci Washington

    I automated my savings last week. I still have to open a separate savings account. The one place I tried turned out not to be an option. This $50 q/2 has to go somewhere. I have work to do. #DC #LRC

    • You are working well @marciwashington:disqus, thanks for sharing!

  • Charlotte Randolph Yelverton

    I have digit but I also set up a recurring automatic savings amount with ally bank to begin in February.

    • That’s awesome @charlotterandolphyelverton:disqus!!!

    • Vanessa Burns

      I opened account with Ally, but I’m curious about Digit. I’ve seen several posts about it. Can you explain how it works. Thanks all help is appreciated

  • K.Diane

    My savings were already automated but I did increase the amount I have taken out since starting the challenge.

  • Virginia Johnson

    At this time I am still in the negative from my budget list. However I did eliminate 2 fixed expenses, a monitoring service and magazine subscriptions so I set up a small amount for auto transfer to my Barclays savings account ($25/mo). I know I will be able to reduce my expenses even further as I continue on this journey and as my debt decreases I will increase the extra savings to my accounts.

    • Keep working towards it @disqus_Kyj3yDI3LJ:disqus, you’re well on your way!

  • Becca Lafortune

    Did it already…. Every end of the month 10%of my paycheck is going to my saving accounts…

  • Lauren Wilson

    I bank with a credit union and it doesn’t look like they participate. However, I update my direct deposit to put $5 in my money bucket each time I get paid for now. I haven’t had a chance to contact my utility companies to see if I can save. I’ll do that this week…If I can get a savings, I’ll update the amount of direct deposit to incorporate the savings I’ve acheived.

    • fruitbowlk

      Lauren you should be able to set up transfers to other accounts with your credit union account.

      • Lauren Wilson

        Yes that’s true. I have set it up for my credit union to transfer funds to my money bucket account

    • Wonderful @disqus_Cn99pKHR0o:disqus! Do what you can!

  • fruitbowlk

    I always have money automatically deposited in my accounts. This is how i’m able to have a EF, Vacation, Bill money, Child savings. Etc.

  • Sharon Lewis

    I have already set up automatic savings deposit. I opened an Ally account and set up all my bills on autopay so I don’t have to worry about bills being paid on time. This livericherchallenge is awesome. It is making me accountable for my finances and making me take a hard look at how I spend my money…loving it.

  • Sharon Familia

    I’m loving my automated savings. Started that on day 3 or 4 when I setup my acorn and digit accounts so far loving it.

  • Channa Comer

    The money bucket account is great. I set up a bi-monthly transfer tied to my paycheck and haven’t even noticed the money leaving my account.

  • Charvonne Smith Robinson

    I’ve already started my money bucket however completing some of the tasks will increase savings an additional 28.00 each pay period.

  • Angela Fisher

    Wasn’t able to save much because according to most of my lenders I’m already receiving the lowest rate possible but the money i did save I already ha it set to be transferred to my savings account. All my bills are drafted from my account set to pay bills only already and extra money is transferred out..

  • Verlaine Ramirez

    Great idea! I just took off my Netflix, so I’ll just start there and automate that payment into my savings! Each time I find something to change I’ll increase the automated payment! Love it!

  • D. Smith

    I was able to lower my autoinsurance. I set up for the difference to be taken out of my checking and into my savings monthly. I also set up to take out from checking weekly to be put into my other savings account. And I have a goal to start putting money on my credit card and using my credit card to make purchases. I have a great credit score and this is a way to maintain the score.

  • Monica

    I opened my MB with Ally. I will automate my savings from my cable for now that’s 110. Savings from my mortgage each month need to pay some small debts off on my credit report then automate it. That savings is about 280.

  • R. Davis

    I did cancel my gym membership and will now place that money into my savings account. It is $15.

  • Natalie Simms

    With this week’s challenges, I have set up two automated deductions: one to my regular savings and the other to my money bucket with Barclays. The higher amount will go to Barclays since the APY is higher than my savings at the credit union. In total, I am saving an extra $140 after the budgeting exercise and reducing my monthly “non-essential” expenses. This has truly been an eye-opening experience and one I am confident will pay off…literally. Thank you Budgetnista for all the helpful advice, being my “virtual” accountability partner and one of many supporting and keeping me on track. I am very thankful for this group and wish everyone success in their financial journey.

  • Umm Zewalk

    Yesterday I signed up for savings with my capital one 360 to come out automatically. I had signed up for digit so Im wining…. Ya!!!

  • Sabrina

    I already had my Digit savings going and my savings goal #2 automated. At first I did not see where I could automate anything else but using the examples I found a way to do it with a bill I am paying off soon. I automated a transfer of the difference of the lower amount of the last payment and then automated the full amount of the payment going forward. I have 4 more payments on the bill. The last payment is $38.98 so I set up an automatic transfer of $65.80 for the same date of the last payment and then the full 104.78 twice a month as if I was still paying the bill.

  • Dizexhaled

    Starting with my next pay, I will set up a recurring transfer to my savings. After doing my budget & reducing costs, im still about $40 over my monthly pay. But thats better than $450 over like I originally was. I will spend the next month, working on reducing additional costs & trying to live within my budget.

  • Shawndolyn Hampton

    I didn’t get any bills lowered, but I’m lowering them by switching to new providers or cancelling services I don’t need. I’m switching cell phone providers, cancelling cable for a cheaper option, paying auto premium in full for discount, getting rid of my storage unit(by February), all by next month. I also signed up for digit, a savings account similar to a money market, which has a high APY and I will not have a debit card to access. I will set up bi-weekly payments going into this account and as well as into a regular savings account for a rainy day, which I plan to build and keep a minimum of 10K.

  • Vanessa Burns

    Just set up my automatic deposits to my ally account I opened from day 3 (I believe ). $25.00 every 2 weeks. It’s a start

  • Genese Leach

    No more cable bill for me after August – saving $225 a month! Yay!!!