Another money post…. seems fitting given that I am working on the budget / forecast for this year. With all the things going up apart from much movement in income, I’m looking at rejigging a few things to try and make the most out of our $$s even more.
This year I’m going to start putting our big annual bills (house and car insurance) money into the redraw. Two reasons. Firstly because it makes sense to have it sit on the mortgage for the time rather than in a savings account. Even the highest rate savings account isn’t going to be better interest wise than the mortgage. Secondly, I hate redrawing money from the mortgage so I definitely won’t be tempted to “borrow it” and think I’ll repay it later. I could also put our quarterly bills in the redraw, but even though that will save a little in interest as well, it’s not really going to be enough to make the process worth it for me. Also I don’t want to get used to withdrawing money from there.
I’ll do pretty much every thing else the same as I have been although I might find it a bit harder to put money into our “sinking funds” as last year as I am working less, but on the other hand I should be paying less in therapy and chocolate!
*sigh* I wrote all that at the beginning of the year and then forgot to post it. How “ADHD” of me. Ah well.
We had a big financial outlay this year as I decided to upgrade my car. Mainly I wanted something where I was sitting a bit higher up than my Hyundai i30, and I was also sick of manual gears and no cruise control. I was going to go second hand because of budget, but then saw a couple of Chery Tiggo 4’s pass me on the highway and thought they looked good. I figured they’d be out of my price range but looked them up and they were amazingly priced, and I was even able to get a Hybrid without stretching the budget too much.
Best bit was that I was able to pay out of the redraw so no finance needed 😁 That made me very happy. Now to funnel as much money back into the redraw to make sure we get the mortgage paid off when we want it to be.
Bayside Homestead 