Day 59- Financial Autopilot

Day 50- Financial Autopilot

Does the end of the month fill you with dread? Do you find that bills and rent and everything gives you an overwhelming sense of helplessness? Understandably. But help is on the way! Put your finances on autopilot.

Many financial institutions will allow you to set up automatic spending plans, why not take advantage of it?

The secret to financial strength is to always pay yourself first. I have my ING Account automatically do the savings for me. I have two accounts that are authorized to take a portion of my paycheck out on the days they arrive. That way, it gets there first thing without me having to think about doing it.

Secondly, there are bills to pay. Some bills will always cost the same every month, no matter what--like Cable, Rent, Car Payments, Student Loans, Etc. So why not get your bank to cut them a check every month before the due date? That will make sure your bills are paid accurately and on time every month. Plus, some companies--like student loans--will even lower your interest rate if you pay on time.

Finally, some utilities (which fluctuate every month) will send the "bill" to your checking account instead of you and automatically withdraw that amount.

Automatic finances is great, but it doesn't mean you get to forget about the whole process. Remember to always balance your checkbook. If things look fishy (though probably won't), make sure you have access to those accounts and how they work so that you can appeal any "strange" withdrawals. I also take half of what remains after my automatic bill pay and put that in my highly liquid savings account. This acts as a buffer for when my budget does not quite work out like expected (like when Okkerville River comes into town and my doctor's appointment becomes three).

Competency Moment of Day: Stocked up on cans of delicious fruit for work snacks instead of budgeting for hot dog and coke breaks--thus saving time, money and on empty calories.