Remember how I thought we were all sorts of spends in July? And in June before that? Well August takes the cake! While we didn’t have a large car purchase or anything that was THOUSANDS of extra dollars, we had quite a few things that made us bust all the budgets! Let’s see how it all shook out.
Our Personal Finances
Our net worth keeps going up, thank heavens! This is where I also bear my testimony of having a Personal Capital account. It keeps track of all of your assets and liabilities so that at any given time you can easily see your net worth. And while we don’t look at it daily, it is nice to see that our daily decisions that seem so mundane and boring can add up to an exciting future.
For example, we hear of people all the time that are doing day trading or investing with RobinHood, neither of which we do, despite the fact that they can seem really appealing. What do we do? Contribute heavily to my Simple IRA at work, max out Philip’s 401K, invest long term in the stock market, pay extra on our mortgage to reduce the principal. All of these things aren’t sexy and we aren’t looking to get rich quick. But when we look at our overall net worth and see our total numbers continuing upwards, it really validates our mundane consistency. So with those consistent contributions it kept our savings rate at 40.1%. (Cutting it close with our 40% goal! 😂)
Oh geez, we were over budget. IN EVERY CATEGORY! Well, maybe only 80% of our categories. But still. It was ridiculous. We definitely spent more than we had deposited into our checking account.
I mentioned that our garage door broke at the beginning of the month which immediately put us over our anticipated budget for that category. Oh and then our vacuum broke too. Cool cool cool. And on top of that, we still needed to buy paint, a paint sprayer and cribs for the nursery! And I grabbed some used baby gear from a Facebook consignment group. Add to that our normal summer expenses, which includes spending a small fortune on pool chemicals since we use it a lot and the insane heat burns them off so quickly! Anyway, it was just all the little things that added up!
On top of that, we had a birthday that made us a little heavy in the gift category. We had to renew our auto insurance and had forgotten to factor that premium into the budget, whoops! And food was astronomical as we try to load up on freezer options before babies, stock up on protein drinks while on sale at Costco, and also try to go a little heavier on the produce during the summer months when it is in season. Not to mention, we like to eat delicious, not home-cooked food sometimes.
This category is quick this month! As I was wrapping up work and was trying to do some nesting of sorts, I very clearly neglected our blog. We even have posts written that I just need to polish up and post! But I just couldn’t seem to find the time. So what does that mean for blog income? It was slim! We had 72 cents (WOO!!) come in from Amazon affiliate links, for which we are always so grateful. But we (mainly I) just need to be consistent and we will be able to see consistent progress in that area.
September will be the kick off to our financial life on one income. I told Philip to prepare himself to see our savings rate go down, especially since $1800 of my income that was going straight into an IRA is now going away.
We still have a handful more things to buy for the babies (mainly room decor and random stuff) that could make expenses go up. And if I’m being completely honest, I would love to have these babies at the end of the month! So that might increase our medical costs, but we will see!
The past three months as we have had things break, the need for new vehicles, and trying to stock up on things while they were on sale, our expenses have obviously been higher. But I’m not mad about it. I’m just so grateful for the months that we had prior to this where our savings rate was so much higher because we were making the very conscious decision to be as frugal as we possibly could. And now as I stay home from work for a while, I feel like my “job” is finding ways to cut back and save even more. (Hence the 72 pounds of strawberries that I’ve bought in the past two weeks to freeze. I might have a problem. 😂)
So here’s to a new adventure in September and for the next year or so as I try life as a stay at home mom!