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Discussion Starter · #1 ·
So I'm saving for the EF..

And trying to pay extra on the house loan now in the beginning while it matters the most.

Putting change in my change jar.

And trying to stockpile.

How do you prioritize all this??
 

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Good question...I can't wait to hear some answers.
 
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I dont try to do all those things at once. Priority for me is paying back debts, the most expensive credit cards and loans first. We have 2 credit cards, one with a small balance that will be paid off tomorrow, and one with a larger balance that we will concentrate on next.

After that, we will save an emergency fund, then start making mortgage overpayments. If any extra money comes in (I am due a small amount of cashback) this will be put in the EF.

Throughout all this I am also stockpiling. I have changed the way I shop and the foods we eat which means we are spending less on our food budget so I use the rest for stockpiling.
 

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I used to think I needed to do it all at the same time, but when I read Dave Ramsey's Book Total Money Makeover, he suggests you save you EF, then make sure you are saving 15% of your income toward retirement, THEN take what you can to put toward paying off the house.
 
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Just a little at a time. You can't tackle all them at once, you will not make much progress at any and will give up. Take the baby steps in order and the cash system is a great thing. A bonus with the cash system is that the change jar fills up way faster than when you use a debit or credit card.
 
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Discussion Starter · #6 ·
I'm putting a lot of the money that I otherwise would have put into CDs or invested into the house right now.

The way I look at it, savings rates BLOW right now
(2.5% APY), and the mortgage is 6% a year over 38 years so...$1000 towards principle "earns" me a little over $8400 in interest over the life of the loan which is more than I would make by saving it. Not to mention knocking time off the loan period.

It's my new mantra...producing future cash liquidity...
 

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So I'm saving for the EF..

And trying to pay extra on the house loan now in the beginning while it matters the most.

Putting change in my change jar.

And trying to stockpile.

How do you prioritize all this??
EF, you look like you are making headway on saving towards your EF. Keep doing what your doing and add more to it as you are able.

When we first bought our house back in 1986 I tripled the principle payments every single month for the first 3 years of the loan. After the 3rd year I sent in an extra $25 each month...when we got dh's settlement we paid off the house in 2001. Many people thought we were nuts to pay off the house, but we felt that at least if something drastic happened we owned our house and nobody would be able to take it away from us.

The change in your jar is just a given if you have change. What you do with the change after you save it up is what you need to figure out. I generally put mine into my savings account (ING) a couple of times a year or when the jars get full...which ever happens first. Some people use it towards their holiday shopping, others use it to take a vacation. Others use it to pay off debt. What do you want to do with the change you save?

Stockpiling just comes along with grocery shopping and how the sales run. I've been stockpiling for so many years that most of the things I bring home automatically go into the stockpile.
 
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Discussion Starter · #8 ·
I have to say..I'm having so much fun putting money into my "change jar" that I guess I never even thought about it aside from having it accumulate.

If it's full I think I could pay a years principle on the house..It's a 5 gallon wine carboy so it's HUGE. (That's right..I dream BIG) There's $100 in it and it's only an inch or so full.
 

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As the others shared, you don't ALWAYS do everything all at once; and you're always looking for ways to save money or make more.

1. I have a set budget for food and with that amount I filled the food in storage (6-12-months of most foods, and more of some foods) as well as the pantry foods. It didn't get filled overnight - especially on $50/week budget. I DO purchase as many whole foods, not processed foods, which tend to be less expensive. I buy wheat, not flour, and mill my own flour. I freeze and dehydrate garden food and free-for-the-picking fruit. I purchase ingredients with which to make food, not pre-packaged processed foods.

When meat prices went up, I continued to try to stick to $2/pound purchases OR no more than 1/5 of my food budget (which is $10 at the most paid for meat per week). I added another vegetarian meal to the week's menus (non-meat using meat substitutes), instead of just one, and two low-meat meals (like a stir-fry) instead of one. We only consume 2 servings of meat or meat-substitute per day.

I keep a Price Book so I know what the real prices of regularly-purchased foods are.

2. We save dollar bills instead of change. They add up much faster. We have always managed to contribute anywhere from $600-$1,000 to our Christmas/Emergency Fund by saving dollars. But we also use budgeted amounts of cash, not plastic, for purchases.

I also cut my own hair and pay myself the budgeted $20. That also gets put with the dollar fund and deposited once a month in the savings account. So that's an additional $240/year that goes into savings.

Any "found" money also gets placed in the savings account (gifts, rebates, collecting aluminum cans, garage sale, etc.)

3. Look at everything that you pay for with a critical eye...

As Amy Dacyczyn wrote in her first book, The Tightwad Gazette:

1. Buy it cheaper
2. Make it last longer
3. Use it less

- How to instantly save on nearly anything - use it like it's the last one. Most people use 2-3 times more toothpaste on their brush than is necessary. For an instant savings - use the least amount possible to get the job done. There are many household items we can use less of, use a less expensive alternative, or eliminate completely, if we look carefully at things.
 

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I only give myself one or two goals at a time. At the beginning of the year, it was to refi my house (done) and sell the rental. The rental is not getting any bites, so now I am thinking about renting it out until the real estate market improves. I feel you shouldn't over goal it (at least it does not work well for me)
 

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Discussion Starter · #11 ·
I have the most wonderful hubby ever! He went to the bank and got me 7 rolls of quarters.

He said it's because he couldn't think of what to do now that I made him stop buying me flowers.

God Bless 'im..That boy is getting "cuddled" tonight!
 

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The surest way to finish nothing is to try to do everything.

Tackle one or two goals at a time. It appears you have no debt but the house based on your signature, so.. When you make your budget, figure out what you need to build your stockpile, then put all the extra into your emergency fund. Let the house payment be at the minimum for a little bit while you save up the 9k goal. Then focus on the house.
 
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