Tips for reducing incidental expenses
and have up to 1000 € more for things you enjoy!
With the use of an account system, you will no longer be surprised by unexpected expenses.
What are unexpected expenses?
Unexpected expenses are, as I mentioned when I identified the free financial resources, expenses that automatically occur sooner or later due to the limited life expectancy of expendable items.
Let’s take z.B. the washing machine, this unfortunately does not last forever. At some point a repair or a new purchase will be necessary. If one has not already regularly formed reserves for this case, one has a problem to be able to afford this necessary expenditure. Then you have the feeling that something is being taken away from you. Although it was already clear when the washing machine was purchased that this time would come at some point. This feeling can be
Counteract by appropriate reserves in the cost system.
But how to determine the necessary back layers?
For this reason it is necessary that one already begins with the acquisition to form reserves for this case. The sooner you start building up reserves for this in your account system, the smaller the amount you will need.
Let’s stay with the washing machine. Determine the useful life, i.e. the time that the washing machine lasts. Then take the purchase price for a new washing machine and divide it by the determined useful life and then divide that again by 12 and you have the amount you need to set aside each month for repairs or a new purchase.
If you don’t know exactly how long the useful life is, count on a shorter useful life rather than a longer one.
What should reserves be set aside for?
Reserves should not only be set aside for everyday items, such as.B. Washing machine, kitchen appliances, consumer electronics or car, form.
If you have oil heating, you know approximately how much heating oil you use per year. Set for it the estimated fuel oil price in the next year a little higher than that from the last fuel oil calculation and divide this then also again by 12 and already have you the monthly reserve for your fuel oil reserve and it does not even hurt.
Pay your insurance premiums annually, too? Then it has certainly already happened to you that you had to use the overdraft facility because of the not included debit of the insurance premiums. Here, too, I use my rounded-up insurance premiums before the previous year to determine the appropriate reserve. Thus I have at the time of the debit always sufficient reserves to provide.
The nice thing about it is when the insurance costs are less than you thought they would be. Then you can either use this in the new year to lower the reserve amount or z.B. transfer to the reserve account for the vacation.
Yes, exactly, I also make a reserve account for vacations. Even this expense is easier to manage if it is divided into monthly amounts.
Should I make a separate account for each reserve?
To avoid inadvertently using reserves that were set aside for other things, it makes sense to set up a corresponding per diem account for each reserve.
The corresponding reserve amounts should then be distributed to the appropriate day-to-day accounts immediately when the salary is received, according to the account system. This means that the reserve amounts are no longer visible on the checking account and there is therefore no longer any danger of being tempted to spend more money than you actually should have.
If you do this through Getmore, or another cashback portal, you still have the opportunity to share in the commissions that banks pay out for this through the cashback distributed. Thus you have by the creation of the account system sogart still additionally incomes obtained.