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Archive for July, 2019

Savings Percentage Calculation

July 8th, 2019 at 09:33 am

I am having trouble coming up with meaningful ways of looking at how we're doing with savings.

Spending is easier. We have net take home pay, and we spend a certain percentage of it. I can track this every month.

But savings is different. Our take home pay is affected by pre-tax savings. My husband takes 15% out of his paycheck for his 401-k-like-thing and I set aside money from my business for my SEP that never is calculated into my gross at all. But this is a big part of our savings! If he didn't take out the 15% or if I didn't set aside the SEP money our net wages would be higher. So if I just ignore those sums, then it doesn't look like we're saving as much as we are.

(We also put the max in our Roths each month, but that is post-tax).

So is there a formula for figuring out your savings percentage?

I worked out our savings percentage is 20.7% of our net (but that only includes our Roths and some other misc. savings).

Our savings percentage of gross was calculated like this:
(Savings from net + 401k + SEP) divided by (gross salary + SEP). This assumes that the SEP would be salary if it weren't being saved.

That percentage is 26.3 which is more accurate I think.

Do you have a method for this?

Some Incoming Money, Volunteering, Summer!

July 5th, 2019 at 07:13 pm

The past few days have been good for both finances and decluttering.

I am working steadily on the garage. Some things posting on our local Buy Nothing group, and I'm selling others. I've made $65 in the past week, and got rid of even more by giving it away.

I got paid by one of the gyms I work for. This is a side job, and I get gym memberships to both gyms I work for. It's nice that I also get paid. At gym #1 I made $162 for March/April (they pay kind of late, but it's ok with me). At gym #2 I made $140 in June. The best part is I would be working out anyway. I love teaching this resistance training class; I am super attached to my participants. I taught yesterday on July 4th and everyone was appreciative, but honestly I wanted to work out, too.

I am also doing the NHS Couch to 5k podcast program. You do each level for three days, and this morning I did day 2 of the second level. I am not a good runner. But I do recommend the podcast if you want to start running and work up gradually to a 5k. And it's free!!

I also got an email from a new potential client today, so that's good news.

And F and I went down to the Plaza because she is doing her school's summer writing challenge, and one of the prompts was to observe someone on the Plaza and write a short story from their point of view. I just relaxed and people-watched. Lots of tourists this time of year! And next week there will be even more...

... because it's Folk Art Market time! F and I signed up to volunteer together. So if you are coming (and if you aren't, you should be!) come by the Lower water booth! Volunteering is a good way to feel like you are contributing and be part of things, and you also get a free ticket. Not an earlybird ticket, but our goal is to soak up the atmosphere rather than buy anything.