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Old 07-30-2006, 11:21 PM
lrjohnson lrjohnson is offline
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Default Re: Easy help setting up a Freedom Account

Quote:
Originally Posted by Kris10Leigh
Thank you all for your help. Here is what I decided to do:

For simplicity sake, I'm keeping my savings account as is for now.

The account will pay for the following yearly expenses:

Christmas: $1785
Birthdays: $595
Amusement park: $350
Childcare: 4140
Lawn care: 600
School expenses: 200

$320 per pay will go into this account for these purposes.
One negative side affect of these accounts is that it does not always encourage maximum cost savings. I think they are a good idea, don't get me wrong, I believe in budgeting for non monthly expenses. However, when Christmas comes along, remember that you do not need to spend $1785. Even if you have it to spend, you shouldn't always spend it. You still want to look for ways to make an excellent Christmas for $1600, or $1400, or less. You get the idea. Leftover is GOOD in these categories; you can put it to another use (debt, retirement, other long term items-mortgage, college funds, etc.)
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