Personal Finances: A New Approach

I've mentioned before I am working on my personal finances. Though I have never been a big spender, I am much more of a saver, I have been watching what I buy even more carefully and am working on new ways of managing of my money. In this particular part of my life, I feel like I am making a new tower of marble works like I did when I was a kid. There were all these pieces you could put together in different ways that guided the marbles through things like pegs, wheels, grooves, slides, all kinds of things. I would make it really tall and then dump a lot of marbles in at once to see them all go down. It was dreadfully noisy, one of my favorite toys.

I am now back with all those pieces in my hands, learning about them, trying them out in different combinations, preparing the tower bit by bit, level by level. So far, I've talked to both banks I have accounts at and learned exactly what those accounts are and the limits that go along with them. Between business and personal, I have eight accounts in all so the discussions were lengthy. After school is out, I am going back to both banks to discuss investments with their financial advisers. That is a step I am taking down the road but hopefully pretty soon.

One of the first steps I am taking now is to put most of my smaller purchases on my credit card every month. This includes gas, if I go out to eat (which is not that often), groceries if they take credit cards, and my recent airline ticket purchase to Milwaukee. Then, at some point in the month, usually just a few weeks, I go online and transfer the money from my checking to the credit card balance. I really don't like having that balance out there so I always have it back to 0 well before they send any bill. At first reading, I bet you're shouting at me to stop doing this immediately, to not rack up credit card debt. First, I would like to say it is a system I am trying out. Secondly, I am so adverse to owing anybody money, including credit card debt, that I am in no way concerned I will not pay it off even before the money is due. It is precisely my practice of saving up for something before I buy it that I am using my credit card. I've only had them for two years. I got them so I could build up a credit history which is why I am using them now, so there is history of me paying things off if I ever want an auto loan or mortgage. The other reason I've been using this method is to make it easier for me to keep track of how much is in my checking account. I haven't been good about keeping track of that for years so this way, I have less to keep track of at first. It's a good step. I would NOT advise anyone who does not completely trust themselves with a credit card to use this method. But even just in the short time I've been using it, it's been working for me. I just need to get on a regular schedule of checking it and paying it off every month.

After I get a better idea of what I do spend money on, I am going to create a new budget and use some form of the envelope method. I am still figuring all this out. So far, I am taking it piece by piece, adding a bit here and there, thinking about my immediate and long term goals. Some systems works for me and some I have found just haven't. Or maybe the system is a good idea but needs to be implemented differently. These are the things I am working on.

(Thanks go to Adria and the U-Turn Challenge participants for giving me the example of posting about your personal finances on a blog. )

365-09 #144

A Library of Peace

Working at the library today was like that night I spent at the pool late last summer. For those who have started reading this blog since then, it was a warm night and I was by the pool writing in my journal when I decided to go swimming fully clothed. Under an orange moon, it was so restful, soothing, and peace-giving. You can read the post here. I like being there and I like being around Adria and getting to help her Kim with the books. (And you know I love books). It was also really nice to catch up with each other, a lot has been going on in both our lives. It helped take a step back, look more at the larger view of things, sense how I've grown, where I still struggle, and it gives me some peace. I've been going so fast at home, it was nice to have a quieter day. She would tell you it was busy, but for me, it was calmer and I could just be.

After I get back from the editorial board meeting which I have been working on all night, I am going to take a serious look at my personal and business finances. Emily has already agreed to talk with me about it as a first step in deciding what I want to do. What I am amazed at is that Adria and her husband are part of the U-Turn Challenge program at a regional credit union where they work closely with financial advisers for a year and you can follow their progress and the progress of the other three families participating. You can be sure I will be on that blog listening and learning, looking at the resources for this is something I too, need to learn. I am hoping it all rubs off. God's timing is truly amazing. Thank you God!

365-09 #99