How to Approach Saving 33%

How to Approach Saving 33%

In Part 1 of this post (What are Savings?), we discussed a few principles around saving, including considering why it is important, what it is and is not, as well as how to arrange your savings in different buckets. In this post, we explain how to approach increasing your savings to our recommended target of 33% of your after-tax income. (Learn more in: Creating Your Budget (33/33/33).) Don’t be discouraged If you are currently saving around 5% of

What are Savings?

What are Savings?

We are sure everyone intuitively recognizes the need to keep a portion of their income for various purposes, but we would understand if you struggle to decide how much to save and what it should be used for. The purpose of this post is to discuss a few principles around saving: Part 1 will address why saving is important, what is and is not, and in Part 2, we’ll talk about how you could approach increasing your savings. Learning about saving

Cari$ Rules for Financial Freedom

Cari$ Rules for Financial Freedom

Advice and advisors are plentiful for individuals who have surplus funds—at least in the low hundreds of thousands of dollars—to invest. But it is easy to forget that the majority of the working population would not consider themselves “rich” or “wealthy”. Instead, the majority earn a normal income, have a small or limited savings pool, and face normal money challenges and choices in order to grow their savings. At CariDollarsAndSense, we focus on helping the

Build an Emergency Fund

Build an Emergency Fund

You would have noticed one of the steps to financial freedom is building an Emergency Fund.  Notice it is capitalized.  Why? Because it is important. So, what is it?  Very simply, it is a pool of money saved for a rainy day i.e. an emergency.  And we don’t mean the sudden deep desire for a new phone, tv, or hand bag.  These are all discretionary (avoidable) purchases and not emergencies.  The focus here is an

Financial Plans – A Practical Approach

Financial Plans – A Practical Approach

Let’s try to summarize what are the broad steps you could take to achieve financial freedom. We believe there are two approaches: the “right way” and a practical one. Before continuing, you should remember: A personal financial plan is just that, personal.  Each person’s circumstance is different and will require a different (sometimes radically different) solution.  You should consider if your circumstances require more expert advice i.e. do you need an advisor. This does not mean

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