The 5 Dollar Challenge
June 02, 2020
Have you heard about the $5 dollar challenge? The challenge is about saving up every single $5 note you get, without counting how much you have in the jar...
So last week, I decided to dig out my jar and counted the $5 that I had accumulated the past one year or so.
How disciplined was I for this challenge?
SUPER. If I only had two $5 notes in my wallet, I would rather PayNow my friends to get cash from them, than to spend those notes. I only missed out saving perhaps two $5 in the past year when I was in a rush and didn’t have time for the ATM (and didn’t have friends around me)Do take note that I use my credit card most of the times so the cash that I can save may be different from yours.
THE FINAL AMOUNT I SAVED WAS $445!
Well, it isn’t that much but it is an extra amount of monies that you get to save without feeling any pinch in your wallet or bank account. Please take note that this shouldn’t be your only source of savings! On top of this,
- I set aside 40% of my income to set aside to save in the bank every month (I then use these monies to go into fixed deposits, single premium savings/investment plans, or buy stocks as and when I feel the time is right)
- Short Term Financial Goal: Clear off our mortgage before age 35
- I set aside another 30% of my income to buy into regular investment plans and savings plans (because I realise that I tend to be more tempted to withdraw monies from platforms that are too flexible, so these are like my disciplined wealth accumulation haha)
- Long Term Financial Goal: Build up my retirement funds and have a passive income by the time I reach 55
So technically, I only have 30% of my income for day-to-day expenses, allowances, mortgage (we pay for ours in cash), travels (I’m saving a lot on this category this year lol) and also my insurance premiums whatnot. How about you? How do you budget your day to day finances? 😊
Anyways, I can buy durians this season without feeling any pinch now hehe! Or rather, I’d only start feeling the pinch after I finish spending that $445 😂 #durianaddict
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