Saturday, January 5, 2013

The Penny Heiress - New Year, New Budget

Let's Talk Money

Money, budgets, savings.
Theses are subjects so very important to me.  More important then most really know.
In this series, I talk about budget setting, saving goals and ways to save - and not all very conventional ways to do it!
This maybe interesting or helpful to some.  While others may have a sound budget plan and can skip overs today's post.
Either way, if you stuck around great.....lets talk money!!
I like money. :)

This year's saving goal -   a small hobby farm

A New Year, A New Budget

At the beginning of each new year, I look at a lot of factors when I set out to budget my $$.
This year is all about saving.

Determine your Goal

As most of you know I am in the market for a new home.  I am hoping for a sweet farmette, a few acres of land, a few horses and a couple of chickens.
So with this task, I need to do some major and I mean major savings.
This is what goes through my brain as I set out to do this task.

Getting Started

I look at all my revenue:

- Secure monthly, yearly income
- Projected income
Bonus money

I then brake it down, separate it into two sections. 

Section 1. Secure monthly income
 My monthly rent from my tenants.  
All monies coming in from the Canadian Govt., that being the $$ rebates we get (depending on your income of course), the GST rebates, the Ontario Trillium rebates and Baby Bonus.  
And lastly, projected income from my wedding business.

Section 2. Bonus money
I then look at all the extra bonus monies.  Money that sometimes comes in, but not to be planned on. 
  Found money, whatever you want to call it.  This being money I earned from my Etsy shop, my Kijiji ads and all or any other monies along the way. 

Teacup and Sugar Bowl -   Etsy

 Separate Your Money

I then separate my pool of money into two sections.

1.  The important stuff.  They get paid every month.
The mortgage and property taxes.  Utilities bills.   Food, fuel.
All other yearly expenses I pay in full as the bills come in.  Expenses such as life insurance, house insurance, auto insurance.
All boring expenses, but ones that have to be addressed each and every month.
These expenses come from section 1 above.

2.  The fun money. 
 This is the stuff in which savings are made of!
You might think that once all the serious expenses are paid, you might not have any $$ left over. 
However, there always is a little $$ left over and after a while it starts to add up.  
Patience.  Discipline This is the secret to saving.....the Queen bee.
This money comes from section 2 above.

I take my money very seriously
 Sometimes my budget does go off course, but if I am lucky I have the "fun money/savings" to fall back on. 

I do not have credit cards, if I need to pay for something that way, for example an Etsy, Ebay purchase, or NetFlicks then I purchase a Visa or Mastercard from either WalMart, Shoppers Drug Mart.....where ever they are sold. 

Even thinking of selling my summer trailer, maybe make $8000....that is decent savings!

Make a budget, stick with it.  There are so many ways of saving money out there.  

I am a good saver, but sometimes I break down.  Buy something totally frivolous.....but that's okay, sometimes you just have to be silly with your money! 

Like I said above, I have a concrete goal in mind and am only too happy this year to be saving my money seriously.
And like I also said above, this may not be a conventional way of saving money...but it works for me.


 Hope it helped, any questions ask away!



 I will be linking up with these parties
Saturday Nite Special at Funky Junk Interiors 


  1. Good plans, we do use credit cards, but pay the full balance evy month.....we mostly do it to earn rewards and will be using one of those rewards towards my very much needed new car!

    Hope you find that far,.....but sell the summer trailer? That makes me sad!

  2. It's the only way to put enough aside for a big project - save and save some more. My mum always reminded us to 'take care of the pennies and the dollars will follow' and I believe it's true. Good luck!

  3. It sounds like you have a good plan Diane. I hope you can save and get your little homestead this year. Have a great week!

  4. It is such a secure feeling to be in charge of your money.
    Those who use credit constantly and have to buy, buy, buy are never satisfied.
    Selling things we don't need or even use is a great way to save some money and to free your mind as well.

  5. This is great advice !! I already budget my money like this. I ALWAYS go off track at Christmas, and it takes a while to get off living the (slightly) high life to get back to saving again, but boy is it worth it. Thanks from one saver to another for sharing your advice :-)

  6. Hi,
    Loved the picture of your maybe-house.
    I used to always want a red brick home but once I came back to London and saw all the great yellow brick homes I fell in love.