Post # 1
I just got a nice raise at work today! Long overdo and still slightly underpaid, BUT extra money coming in is a blessing. So I’m curious, what would you do with an extra $1000 coming in a month? Be honest, nothing frivilous. I’m thinking long-term goals.
FI and I already have a house and it’s well within our means. We have 2 cars, each paid off, still running. Our current bills are also within our means. We are not paying much for our wedding (my parents are covering). I’m thinking of using the next 2 months towards the honeymoon.
Please tell me what you chose and why! Thank you bees!
Post # 3
I would throw as much money towards my private student loans as possible. I would really like them to go away and since it is the only debt I have that would be amazing to watch it disappear.
Post # 4
- Wedding: June 2012 - Franklin Plaza
I would probably up the amount I contribute each month to my savings and retirement and then use the rest toward future vacations since DH and I both love to travel!
Congrats on the raise!
Post # 5
If you don’t already have retirement accounts set up, do that first.
I’d pull some out ($200-300 a month) that goes into an emergency only savings account (like if you lost your job or something)
Then I’d start a general savings fund – honeymoon, vacations, down payments for new cars, improvemnts to the house etc. that way when you need it, it’s there.
Post # 6
Hire a cleaner! It would make SO much difference for us since we both work 50-60 hours per week.
I would save half of the rest, and put the other half of the remainder into a vacation fund.
Post # 7
Pay off the house sooner rather than later… it will change your financial life and give you such incredible lifestyle flexibility in the years to come.
Post # 8
Put it away in savings for hard times, for sure. We’ve had to deal with unemployment twice and it was really tough getting by on just one salary. I’m finally building up our savings again and I feel so much better.
Post # 9
I’d do a combination of paying down debt, retirement, a general savings (for things like vacations, cars, and general big ticket items that you will need in the future), and some towards emergency only savings. With the rainy day fund, I would determine how much you need (for example 6 months salary), and cap it at that.
Post # 10
Combonation: I’d put it into savings, but not for emergencies only.. just for whatever. If we decided to splurge on something I’d use that money, or if I felt the checking account was running a little low I’d put some in.
Post # 11
I would probably use half to pay down debts and half into savings for a wedding/honeymoon/house fund.
Post # 12
We’d put it into savings. We’re saving for a downpayment on a forever home.
Post # 14
Pay off credit cards first. Pay off other debt second. Then I would put some towards savings and extra towards the mortgage each month.
Post # 15
We’d do a combo of 1) increasing our retirement contribution, 2) add to our general savings fund (for cars, vacations, etc), 3) put more towards the house, and 4) add to our investments (in that order).
We already have 6 months of living expenses and are not pre-paying our loans (due to repayment options we’ve already put in place).
Post # 16
So many great suggestions! To help narrow it down… We have zero debt, no student loans, just house loan. We aren’t planning on staying in this house forever, maybe 15 years tops. I already have a retirement plan that I put 10% of my current paychecks into (which is a lot). I also have a regular savings account that has almost 6 months of expenses already in it.
We’ve always been smart with money, hence I don’t want to just throw it away on silly stuff. I’m leaning towards capping my current savings as the emergency fund, starting a new one for children, and possibly a third for all the other stuff (house, cars, vacations). I’ll talk to FI when he gets home from work and see what he thinks, too.
Thanks for all the responses! Keep the ideas coming!