Week 5 Bank Run


Photo Credit: Worth1000.com

Took $3.50 to the bank in my Bank Run Challenge. I've been off of this for awhile as all of the remodeling and snow and ice has slowed me down.

01/07 .00 total (autodrafted 42.00)
02/07 3.50 MTD + 42.00 autodraft

Bank Run Challenge
2006 Total $32.98 (after joing SA.com)
2007 YTD $3.50
Cumulative Total $36.48

This extra (different than the $20 Challenge) is in addition to my regular retirement allocation and goes towards investments outside of the traditional retirement investment vehicles.

Right now this money sits in Emigrant piling up - when I get to the $1000 mark it will go out further into the world in some investment or another...depends upon the financial signs of the times prevelant at that moment.

For you newbies, this is money saved out of my spending allowance. Money I was able to conserve by having those No Spend Days. The thing is to have it available to spend if I need it, but if not, then off it goes towards my future. It's usually taken to the bank on Saturday and then moved immediately to an online bank where it can earn higher interest.

To Work, My Pretty Slaves!!

(edited to add): I am updating the Bank Run Challenge portion over on the right as it never did reflect truly how the Bank Run works out for me. I've been doing this since April of 2005 long before joining the Saving Advice.com community. At some point during the game I decided to add automatic drafts for a portion of this and that is the monies that wasn't being reflected here on the site.)

What I would like newbies to pay attention to is the number in the middle -- the interest being earned while we sleep. It keeps growing/compounding because it is compouding upon itself. No, these aren't any big numbers YET, but you'll notice that they do get bigger each month. All together that is $28.60 that Hubster and I did not have to earn by working.

Exceptions to it increasing are when I took money out for a good cause (stop the paycheck to paycheck cylce w/You Need A Budget.com) and when interest rates dropped back a bit.

Little bits added to more little bits does begin to take off! This money is above and beyond what the house budget contributes towards me having a decent old age and was previously being frittered away!