Prioritized Living

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Here’s Why Your Budget Needs a Sinking Fund

Here's Why Your Budget Needs a Sinking Fund

When it comes to saving, you’ve got your eye on a few different buckets.

There’s your emergency fund, your retirement savings, and maybe even a college savings plan for the kids.

But there’s another type of savings that many people haven’t heard about . . . but it’s one that can dramatically improve your financial life!

It’s the sinking fund.

They’re simple to set up, easy to manage, and oh so important in reaching your financial goals. Here’s how you can use sinking funds to plan your expenses without messing up your budget. [Read more…]

Your HSA is Actually a Retirement Secret Weapon

Your HSA is Actually a Retirement Secret Weapon

Sure, you’ve heard about the traditional tools for retirement planning. IRAs and 401(k) plans offer unique benefits for saving your cash now to enjoy when you’re older.

But what about a Health Savings Account? Most people think an HSA is just a place to keep short-term savings to cover your family’s medical costs this year.

But an HSA is actually an incredible and often-overlooked tool for funding your golden years. And its special treatment by the IRS may get you the most bang for your buck when you include an HSA in your retirement plan. Here’s how: [Read more…]

How to Organize Your Passwords: My LastPass Review

How to Organize Your Passwords - My LastPass Review

Note:  This post contains affiliate links.  Read my policy here.

How many passwords do you have?

Until relatively recently, I didn’t realize just how many login credentials I own — more than 100!

Think about it: You have logins for your E-mail accounts, bank accounts, credit cards, investment accounts, your streaming video accounts, online retailers, travel sites, social media sites, utility providers . . . the list goes on!

And you might think you’ve got it under control by using variations of a few passwords across all these sites . . . uuuuuntil the day that there’s a security breach.

Yeah, that happened to me.

One day, one site was compromised. So my logins at a bunch of sites were suddenly potentially vulnerable. I knew I needed to beef up my passwords and have different passwords for every site I visited. But how on earth would I keep track of them???

The answer is a password manager.

I latched on to one out of necessity, but I will seriously never go back. Here’s why I’m obsessed with LastPass, an awesome password manager. [Read more…]

Estate Planning 101: Protect Your Family with a Trust

Estate Planning 101: Protect Your Family with a Trust

At eight months pregnant, I eased into a chair at a law firm specializing in estate law, and my husband and I signed and initialed a full set of estate documents.

We’d gotten the car seat, the crib, and the onesies. But doing this — ensuring our child and each other were protected — was one of our highest priorities in those last few weeks before our son was born.

Five years later, we just paid our lawyer another visit to make a few updates to our documents. And having those protections in place continues to bring us immense peace of mind.

Of course, my husband and I wanted to ensure that our son was taken care of and our wishes respected in the unlikely event that both of us died. And we wanted to spare our family the time and financial burden of chasing our assets through probate court.

But we were also able to deal with a situation that a basic will just can’t cover — what would happen to us, our son, and our assets in the event that we were temporarily or permanently incapacitated. And that’s where a living revocable trust comes in.

I am a HUGE proponent of setting up trusts for yourself and your spouse! The benefits are enormous. And trusts are not nearly as complicated as you might think.

So what is a living revocable trust? And is a living revocable trust right for you? [Read more…]

6 FIRE Movement Rules That Will Transform Your Money

Note:  This post contains affiliate links.  Read my policy here.

Right now, the FIRE movement is revolutionizing the way that Americans envision retirement.

FIRE — which stands for financial independence, retire early — began with the book Your Money or Your Life, authored by Vicki Robin and Joe Domingez. First published in 1992 and most recently updated in 2018, the book continues to galvanize young adults in particular in pursuing the dream of retirement in their 40s or even 30s.

But retirement for FIRE followers rarely means doing nothing. Instead, it translates to freedom to pursue the kind of work and passions you love instead of working exclusively for the paycheck.

Mr. Money Mustache, a prominent FIRE proponent, states the goal of FIRE as “complete freedom to be the best, most powerful, energetic, happiest, and most generous version of you that you can possibly be.”

Maybe FIRE is something you’d love to pursue yourself. But, even if early retirement isn’t your plan, you can mine some incredible money principles from the FIRE philosophy — principles that can put you on the path to financial health, help you grow your money, and build a secure financial future! [Read more…]

How to Manage (and Master!) Your Money with a Budget Binder

How to Manage (and Master!) Your Money with a Budget Binder

Money is . . . well, it’s messy! And complicated.

Just think about all the pieces that make up your financial life! You may have multiple sources of income, savings accounts, retirement or investment accounts, bills for your home, bills for your family, expenses that are coming up, and things you want to do with your money!

How on earth do you keep it all straight and get it all done?!

A budget binder, like My Budget Binder from Prioritized Living, is an amazing tool for mastering your finances. It takes the mess and stress of money management out of the equation and gets you moving toward your financial dreams.

CLICK HERE to grab your copy of My Budget Binder from Prioritized Living!

Here are just a few of the many things a budget binder can do for you when you incorporate it into your life: [Read more…]

5 Proven Ways to Tidy Up Your Spending

5 Proven Ways to Tidy Up Your Spending

Overspending has never been easier.

In mere seconds from just about anywhere, you can mindlessly type and swipe your way to a pricey online impulse buy. And, surprisingly, overwhelming living expenses aren’t typically to blame for overdoing it with your wallet.

One NerdWallet study found that one in two Americans overspend not out of necessity but for emotional reasons like stress, excitement, and sadness. And the numbers are even greater for younger generations, with two out of three millennials admitting to emotional overspending.

Self-awareness is the first step in avoiding overspending that’s driving you into debt. And if you’ve already taken the time to tidy up your money mindset, you’re well on your way.

But there’s more you can do.

As you know, countless Americans are currently on a mission to declutter their lives and organize their homes, Marie Kondo style. But what if you could tidy up your spending?

Check out these top tips for cleaning up your spending habits: [Read more…]

How to Save Money on Prescription Medications

How to Save Money on Prescriptions

Sticker shock is alive and well at every pharmacy across the country.

Prescription medication is expensive.

Plenty of people shell out continuously to cover treatment for chronic medical conditions. And, other times, getting a prescription is an unpleasant, pricey surprise. Your kid gets an infection. You’re injured in an accident. Or you face an unexpected diagnosis.

In fact, a recent survey by RxSaver found that the average American adult spends $33 each month — that’s $400 a year! — on prescription medication. And kids’ prescriptions add an additional $341 a year to your budget.

Any way you slice it, it feels like your wallet is completely at the mercy of your pharmacist.

So what can you do? How can you ensure that you have the money you need to cover your essential medical costs?

If you want to know how to save money on prescriptions, try these smart strategies for saving what you need and growing what you already have. [Read more…]

How Much Money Should You Have in an Emergency Fund?

How Much Money Should You Have in an Emergency Fund?

Here’s a personal question: How healthy is your savings account looking these days?

Not so good? You’re not alone: A recent survey from GOBankingRates found that 58% of American adults have less than $1000 in savings. And more than half of that groups has zero dollars saved.

Zero!!!

It’s time to change that statistic and get serious about building an emergency fund.

But just how big should your emergency fund be? How do you know what number you should target in that all-important savings account?

Here’s how you can answer that big question with confidence.

[Read more…]

Ready for Tax Time? My TurboTax 2018 Review

Ready for Tax Time? My TurboTax 2018 Review

Note:  This post contains affiliate links.  Read my policy here.

At heart, I am a die-hard numbers nerd. So it’s a fact that I used to find actual enjoyment in creating spreadsheets to calculate the figures I entered on each year’s tax return.

Then life got more complicated.

I got married. We got a house. Had a kid. Started a business. And more. And my spreadsheet became increasingly complicated until it couldn’t keep up with my complex life and an even more complex tax code.

So, several years ago, I finally abandoned my spreadsheet and bought TurboTax to handle my taxes. And I haven’t looked back since.  [Read more…]