Comments on: Back to the Frugal Basics: Creating a Plan

By: Kristy @ Master Your

Kristy @ Master Your — Fri, 27 Mar 2009 02:37:41 +0000

Love this article Kelly! It'll be in my roundup this week!

Making a plan is so important and it's the one step a lot of people skip. When I first started out on my debt-free journey, I didn't have a plan. I had a vague idea, but nothing written down and concrete. I quickly learned I needed to write it down. The only debt I have now is my car – will be paid off in a few months – and student loans. I'm pretty excited about that because I'm almost completely debt free.

So my plans have shifted since debt isn't so much an issue anymore.

1.) Increase my emergency fund from 6 months to 8 months. I really liked the concept of having enough to cover the unemployment rate when in an economic downturn and it makes sense. So, I'm stocking a little more in there to build that up.

2.) $5k in my travel fund. I was a military brat growing up and moved every 3 months. I loved that. I feel extremely restless being stuck in Texas. I want to be able to travel and have fun, so I've decided the best way to do that is to have a travel fund.

3.) Save for a house. I'm not in any great hurry to do this, so this goal is not one I focus on the most. I do eventually want a house though, so I will be focusing on this goal a bit more this year.

Kristy @ Master Your Card´s last blog post..Too Fat To Work? Let the Government Pay Your Way!

By: Gizimmick

Gizimmick — Thu, 26 Mar 2009 14:46:00 +0000

Great article. The plan should also include a "daily expense log'. This will make the effort of- opening your wallet, pulling out cash, handing it over, putting you wallet away- all the more painful. It must be painful to spend to become ultrafrugal and financially independant. Gizimmick´s last blog post..I'm not Payn!

By: Amanda

Amanda — Wed, 25 Mar 2009 22:45:11 +0000

Great post! Identifying your goals are key. It's not always a straight line, but every little step helps us reach that goal. Amanda´s last blog post..Debt

By: Craig

Craig — Wed, 25 Mar 2009 14:59:34 +0000

Everyone always says creating a plan is the first step in anything. Based off the new I will teach you to be Rich book, he says the same. As long as you begin a plan, you are ahead of most.

By: Kika

Kika — Wed, 25 Mar 2009 14:54:49 +0000

I want my house paid off in the next 7 to 15 years; to save money for a newer vehicle; to take one big trip with all my kids before they leave home or even spend a sabbatical year overseas (debt-free); to help our kids pass through post-secondary studies without debt… mostly to live in a manner that allows our family’s needs to be met without anxiety but also to be a blessing to others.

By: Amanda

Amanda — Wed, 25 Mar 2009 12:22:11 +0000

Very good article. I totally agree on breaking down your goals. Working towards one goal at the time will be less likely to cause you to feel overwhelmed and just throw in the towel. Right now we are working toward paying off our truck. Then we plan to work towards paying off our house. Once we reach those goals, we'll be completely out of debt. I can't wait! Amanda´s last blog post..Provoke Your Kids - To Laughter

By: Miko's Girl

Miko's Girl — Wed, 25 Mar 2009 11:30:39 +0000

Nice article. We have friends who used to make an annual plan that included their goals and their budget for the year. This year, I had the same pit in my stomach as you did so I followed my friend’s lead. I looked at our expenses over the past two years to determine trends, made a budget, and identified specific actions we would have to take to reach these goals. We are not perfect at following this plan as it is uncharted water for us – but it’s nice to know we have a plan to bring us back to center.