Of course as expected, we were able to complete Baby Step #1 (Start an emergency fund, by saving $1000), thanks to our tax refund. I recognize that I’m merely getting back what I loaned Unckie Sam in the first place, but the money hit the right spot. IN addition, we have $500 to pay the deductible to have our bumper fixed as a result of a car accident last week, as well as some money set aside designated to fund a trip to Baltimore in April - I realize that vacations are supposed to stop while working the plan, but we will be getting our snowball rolling here quickly. 401k cut back, W4 corrected, and Amy starting working this week watching children in our home…. we might also do a vacation in May at the Outer Banks, with my parents and the rest of our family and a few close friends.
Having the zero-based budget has really helped us to know right where our money is allocated, and implementing the envelope system this week, we recognize how much money we have, and it’s on paper on purpose…. has a name. Next month will be a test…not having the tax refund, and getting caught up and paying our mortgage on the first instead of late after my second check… it’s going to be tight.
