As part of buying the house, we completely imploded our 2017 financial plans. And, as you lovely readers know, I'm a planner. Not having a plan for 2017 (and beyond) is unsettling (to say the least) for me. Although this plan may not be perfect, it's a must for me to start roughing out our remaining expenses in 2017 & the next 12 months, plans to pay for them, and other larger scale planning for our lives & budget.
Background: we typically use our paychecks to cover all standard expenses, and either bonuses or stock from the previous year to cover what I'll describe as "yearly expenses". Yearly expenses are things like: travel, summer camps, home repairs, taxes, etc. Because we wiped out our entire savings for our down payment, this year will be trickier & require much more cash flow management.
Here are the known expenses for the remainder of the year:
- A new cash flow/slush fund
- Yearly expenses for the remainder of the year
- A small 401K loan that I took out to cover a few house projects before we moved in
- Our trip to Hawaii
And, the available sources of funds:
- Stock grants (typically monthly, but our vesting schedule is varied)
- Bonuses (these are actually paid in January, so it's fudging the 2017 numbers a bit to include them. However, I'm trying to plan the next 12 months, so in that case, it makes sense to include.)
The good news is that I now have a plan for all of the known expenses, and have around $30K left. That's critical, as I'm confident there are other house expenses lurking.
We will tweak the budget as needed based on M's new role, when the transition process is completed. I feel so good once I have a plan for all of the expenses, the money, and a match between the two columns on my spreadsheets. ;-) What about you? How far in advance do you plan?