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Mental aspect of multiple large bills in a single month

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    Mental aspect of multiple large bills in a single month

    It seems like the past 30 days we've had some large reoccurring bills come up (Home & Car Insurance, Tuition) along with some other large purchases for the holidays & paying for a vacation. Everything has been budgeted for but just seeing the money being spent for some reason has hit me more than it does typically. I'm thinking seeing the money build in our savings account now to see it going back out is what is causing me to re-think our spending. Anyone else experience this?

    #2
    Originally posted by MooseBucks View Post
    It seems like the past 30 days we've had some large reoccurring bills come up (Home & Car Insurance, Tuition) along with some other large purchases for the holidays & paying for a vacation. Everything has been budgeted for but just seeing the money being spent for some reason has hit me more than it does typically. I'm thinking seeing the money build in our savings account now to see it going back out is what is causing me to re-think our spending. Anyone else experience this?
    Absolutely! I'm the same way. Even though you know those bills are coming and you've prepared and saved for them, when you have a saver's mindset, it's hard to write those big checks or click to send those big payments and see your balance drop.
    Steve

    * Despite the high cost of living, it remains very popular.
    * Why should I pay for my daughter's education when she already knows everything?
    * There are no shortcuts to anywhere worth going.

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      #3
      Just think of the credit card reward points/credit's your getting. Takes a little of the sting out of the purchase!

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        #4
        For those situations I try to pay that bill as soon as I get it. Then I can be back to my reality with savings accounts.

        October
        Home insurance
        new water heater
        windows and pressure washing service

        March
        Taxes (fed and state)
        auto Insurance
        property taxes

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          #5
          I do as well. I paid immediately like stuff like auto insurance $2k for the year, life insurance $1500/year, $1200/year home insurance, and just other big ticket items. We also had some kid activites $2k, ortho $2500, etc. We just tap into our cash flow but it still sucks seeing my nice balance go wayyy down.
          LivingAlmostLarge Blog

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            #6
            Occasionally we all have these times when we have a larger then normal out going of money.
            It can be a big blow mentally. I had a hard time this year when I opened an extra account and since I was splitting my deposits, the savings in the main account seemed to slow down a great deal even though the money was simply in another place, I still felt like something was not working right.
            After one of these times when our outgoing seems high, some of us get back on the savings train and rebuild some people may end up losing ground.
            I knew many a friend or co-worker who gave up trying to save after a bunch of bills that kind of drained their main savings..

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              #7
              Originally posted by Smallsteps View Post
              After one of these times when our outgoing seems high, some of us get back on the savings train and rebuild some people may end up losing ground.
              I knew many a friend or co-worker who gave up trying to save after a bunch of bills that kind of drained their main savings..
              I agree it helps to encourage saving. Even though the large bills/items have been budgeted for Iíve found my wife and I deferring purchases that we can and also we normally get take out 1x a week which we have skipped.

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                #8
                Originally posted by Smallsteps View Post
                I had a hard time this year when I opened an extra account and since I was splitting my deposits, the savings in the main account seemed to slow down a great deal even though the money was simply in another place, I still felt like something was not working right.
                It's funny you say that. We have an Ally savings account and a few weeks ago I opened an Ally CD. I love the fact that when I log into my Ally account, it shows the total balance first, and then breaks it down into savings and CD balances. Had I opened the CD somewhere else, looking at my Ally account would concern me for a second until I remembered that I had moved money.

                Funny how our brains all work. We like to see those big numbers in one place even though it's the exact same amount even if it's spread over multiple accounts.
                Steve

                * Despite the high cost of living, it remains very popular.
                * Why should I pay for my daughter's education when she already knows everything?
                * There are no shortcuts to anywhere worth going.

                Comment


                  #9
                  I think it's natural for savers to feel a little pain when we pay a big bill, or even moreso, pull money from savings to pay a big bill. We just got the property tax bill for our rental house in the mail today, and although mentally I know that we can easily afford it, and that in fact we've got the money for the property taxes saved up & reserved in the rental home account, it still stings a little bit to write a $2500 check & transfer that money out of savings. I think that's partly the why I switched from paying our home/auto insurance from being paid in full to bring paid monthly. Our insurer doesn't charge any extra for doing so, and it's less emotionally painful to pay $200/mo vs $2400 in one fell swoop.
                  "Praestantia per minutus" ... "Acta non verba"

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                    #10
                    Originally posted by Jluke View Post
                    For those situations I try to pay that bill as soon as I get it. Then I can be back to my reality with savings accounts.

                    October
                    Home insurance
                    new water heater
                    windows and pressure washing service

                    March
                    Taxes (fed and state)
                    auto Insurance
                    property taxes
                    You pay your property tax in March? Don't you get a 4% discount if you pay in Nov?

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                      #11
                      Originally posted by Singuy View Post

                      You pay your property tax in March? Don't you get a 4% discount if you pay in Nov?
                      I would imagine due dates and payment terms vary from town to town.

                      We've always escrowed our taxes but I know they are billed quarterly. I don't know if our town offers a discount for payment in full. I'll have to catch up on all of that stuff next year when we pay off the mortgage.
                      Steve

                      * Despite the high cost of living, it remains very popular.
                      * Why should I pay for my daughter's education when she already knows everything?
                      * There are no shortcuts to anywhere worth going.

                      Comment


                        #12
                        Originally posted by Singuy View Post

                        You pay your property tax in March? Don't you get a 4% discount if you pay in Nov?
                        Property tax bill arrives in March and I get a 2% discount by paying early. Iím not even sure when it is really due.

                        School tax bill (another property tax)comes in July and I get a 2% discount by paying early.

                        Combined that is just over 9k per year and always rising. Iím in Pennsylvania.

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                          #13
                          It used to hit me, but it doesn't anymore. Now I start mentally "making" the spends several months in advance, when thinking about cash flow. And I've learned that I need to prepare DH in advance so he doesn't freak out. When I do my year-end NW calculation I'll make a note about the estimated income tax and property tax payments that will come in January, to mentally prepare him for the balance dip. (He used to get agitated when I made the payments, but now he sort of takes it in stride with only minimal grumbling about taxes.)

                          We pay our property tax once a year in January, so that combined with the estimated tax payment makes Jan by far our biggest spend month (roughly 20% of our annual budget gets spent in one month).

                          FWIW, I also start rounding up my age when I'm less than half a year away from my birthday, so by the time the actual date rolls around I've adjusted. Anyone else do that?

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