Practice English Speaking&Listening with: How We Save More Than 56% Of Our Income - Financial Independence

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hey friends we're gonna freedom in a budget I'm Kelly and today we're gonna

talk about how my husband and I are receiving 56% of our income how we're

trying to grow that and how we're trying to reach financial independence I'm

gonna give you some tips and tricks what we're doing what we're doing in efforts

to grow it to increase our savings rate and what we are saving for but before we

get into that if you're new welcome it to freedom in a budget I'm Kelly and I

make videos three times a week on how a budget can give you freedom how a budget

doesn't have to be constricting and hold you back from the things that you want

but how it really gives you freedom and helps you to achieve your goals I

absolutely love budgeting and I can talk about it all day long so be sure to

subscribe if you are new be sure to hit that Bell icon so they get notifications

every time that I upload also check out my blog at freedom in a budget calm I

will have a blog article for this video where I share even more tips and tricks

and dig deeper into how I'm able to save fifty six percent of our income and just

kind of dig in a little bit deeper so be sure you check that out freedom in a

budget comm so like I said we're saving at fifty six percent of our income and

we are trying to save for our house right now there's been different times

in our life where we were saving for a wedding and cash flowing our wedding and

then after that we started saving for a new car for me and bought my dream car

which is the Jeep and paid for that in cash and now we are saving for our first

home we are renting currently and ready to buy our house a lot of people when we

first got married was pushing buying a house and even when I was in my mid-20s

they were pushing for me to buy a house and I was like you know what I'm just

not ready I didn't have that emergency funds which now we do I didn't have you

know just the life skills of owning a house and I just I feel like I wasn't

financially ready so many people are just pushing buying a house but I'm

really big I'm not doing it until you are ready and it can be very smart

financially to rent and for us it was but now we are at the point where buying

a house just makes more sense for us and is the the better financial decision of

force so we are currently saving for a house we currently have forty thousand

dollars saved in or me saving another thousand dollars before we start that

process and we are going to be needing like I said $60,000 for closing costs

down payment and then we want to have like ten to twenty thousand of upgrades

if we need to do the floor so we need to upgrade a kitchen depending on that

we're not sure you know what type of house we are gonna be buying I'd prefer

not to do a fixer-upper at least right now a fixer-upper would be so much fun

long run but right now we just want to move into something that's a little bit

more move-in ready but be prepared if we do need to make some upgrades so that is

where we're at alright so first thing that makes us have a really high savings

rate is we don't have kids we are Dinks or dual income no kids so my husband and

I both have full-time jobs and I had this YouTube business as well so we

really have three revenue streams and we are able to bring in all that income and

not spend it on kids now that's not an excuse for people that do have kids when

we do we plan on making really smart financial decisions with our kids as

well and not only in the frugal ways that we're gonna be raising them but

also the money knowledge that were teaching them and things like doing kids

Commission vs. allowance teaching them the importance of having a job when

they're mid early teenagers I started working when I was 14 and I didn't get a

cellphone until I was able to pay for a hundred percent in full I wasn't getting

money to go out with my friends like some of my friends would their parents

be like yeah here's 20 bucks scalia's some food and have some fun yeah that

wasn't me I was working and so I had to pay for my own clothes my own food

everything like that when I crude as an eating out and not like food as in

groceries but food as an eating out you know the time my parents would buy me

clothes was Christmas or my birth so everything like that back-to-school

shopping I always had to do for myself at 14 on and so just teaching those

money decisions I'm so thankful that I had that and not just my parents credit

card that I could rack up bills and do that so all I know we are taking

advantage of not having kids right now and trying to save as much as possible

in that time frame number two is we're honor written

budget and doing that tracking all of our spending it really puts the spending

that we're doing in the forefront or mind so for instance shopping I love

shopping as much as every other girl and my husband wholly loves shopping more

than I do but that's beside the point so for us what we do is we put clothing

into our budget we have a line item for clothing so that we can go out and spend

money we can go out and buy the cute tops that we want to and not feel guilty

before we started doing this every time that we'd go to Target or Marshalls or

to buy shirts like that we would feel guilty and it'd be like whole crap we

could have put that money to something else but no at the beginning of the

month that money is set aside and we can go and we can spend freely as long as

it's within the constraints of what we have allocated in our budget you're

interested I do have my Excel budget on my Etsy shop for $5.00 this is the

budget that got me out of debt cash on my wedding cash on my Jeep and now

saving for a house I've used this budget for several several years and have

tweaked it and got it I think pretty much perfect I absolutely love this

budget it is a game changer so go check out my Etsy shop if you want it $5 on

there it'll be linked down below in the description box next up compound

interest is your best friend when you are at it debt when you're in debt it is

your worst enemy oh my gosh compound interest my student loans they

grew probably $10,000 from interest and compound interest and deferring my loans

and that was terrible absolutely terrible and I hated interest

I hated compound interest it just drove me nuts I think my student loans were

six and a quarter percent interest which is just terrible so now that we are

debt-free any interest that we get I love interest has been a total game

changer in shifting our mindset because now that we're debt-free any interest

that we see it's a hundred percent in our favor and compound interest is

working for us it's working for us in our investments it's working for us and

our sinking funds it's working for us in our savings accounts we keep all of our

sinking funds and everything like that in our Capital One 360 account so that

we can see it grow and to have that money working for us we're currently

keeping our downpayment fund in that a Capital One 360 account so that we can

get interest on it that interest build every single month

which is so cool when we were in debt oh the interest it

killed me absolutely killed me the next reason we were able to save so much for

our income is we pay cash for used cars and it is a game-changer in just the

depreciation that we are not paying that depreciation other people are I do not

want to do that I did that one time when I was in college and I had a Ford Focus

that just everything was going wrong with it everything it was the car that

was given to me in high school and the fuel pump went as I was driving from

Massachusetts to Florida and Palm Bay and I had to drive a hundred twenty

miles in a tow truck because it was just dinner work and then after that more and

more things cept I'm braking and I didn't want to invest money so I said I

don't want to buy a used car I don't want to inherit someone else's problems

I want brand new so rather than talking me out of it and explaining how I could

get like a two-year-old three-year-old five year old car and still have it be

really new and not get those and I was like no I want brand new car when anyone

else's problem so I brought a brand new Nissan Versa and spent a lot of money on

it and I was the one that was taking that depreciation and yes I drove it for

ten years but still it was a lot of money and I paid way more for it than I

should have so we just bought our Jeep Cherokee with

cash it was a 2016 and honestly everyone every time someone gets in the car

they're like holy cow this is amazing and they feel like it's brand new and

they think it's brand new and I'm like no it's three years old and I absolutely

love it it's it's an incredible car I love that we paid cash for it the

feeling of driving off that dealership not owing a penny to anyone that we

saved that we paid cash was incredible feeling and I will I won't change it for

the world and we will never buy a new car again no absolutely not

next up is we shop at Aldi for our groceries now this one is a little bit

different and some people are hesitant about shopping at Aldi I recently did a

video comparing Aldi to name-brand stores like Publix and I found that Aldi

was about 40% cheaper than Publix which is incredible

and it's a game changer I absolutely love Aldi it does take a little bit to

get used to in the beginning but once you do it is so good and you absolutely

love their products love their mission behind their store and everything like

that if you don't have an Aldi area be sure to check for a discount grocery

store an Amish grocery store anything like that it's really gonna help save

you a lot of money it's going to really increase your savings grocery budgets

are a budget killer so many people spend way too much money on groceries we spent

$200 a month for my husband and I and it's it's amazing how we are able to

keep our grocery cost so low eat really good quality products so many of their

products are organic or gluten-free they have so many amazing brands and really

really good high quality foods do some research in your area and find a

discount grocery store or an Aldi take some time go when you have a lot of time

to poke around in the store don't be rushed and I think it's gonna get

game-changer for your budget the next way we are able to save 56 percent of

our income is all of our raises or bonuses they all go towards savings

Jamie just got a $10,000 raise at his job so proud of him and all of it went

to our savings we didn't increase our lifestyle anymore we didn't increase

grocery we didn't increase eating out or personal spending money no everything

stayed the same and then any extra money it's going right to our sinking funds

right to our savings to our downpayment fund so anytime we get a bonus anytime

you get anything and increase your savings rate make sure that you're

upping your retirement contributions upping your sinking funds don't increase

your lifestyle every time you get a raise next is use dish towels and

washcloths to clean up messes we do not use paper towels we have we do have

paper towels in the house I will admit we do and I use them primarily for

cooking it for like plotting grease in ground beef or ground turkey but one

roll of paper towels will last is about six months it's crazy how much we can

save on paper towels by just using dish towels if we're cleaning up a mess we

use a dish towel we have a stack in our cabinet that we just keep them there

it's so convenient so easy and it saves so much money on paper products we're

not having to spend so cloth napkins washcloths

dish towels all of that is so easy for cleaning the next way we were able to

save so much money of our income is we shop through places like Ebates guys if

you don't know Ebates I'll have a link down below where you can get ten dollars

and for it for signing up but Ebates is incredible they give you cash back I've

made over $1,100 on Ebates and every time that we have a purchase to make

we'll go on eBay it's Jamie we'll want to just find him like no no no we we

have to go on Ebates and he's like okay and I will price compare so say we're

shopping for I don't know a TV until I look to see if it's cheaper at Target or

Amazon and sometimes it may be a little bit cheaper at Amazon but when you

factor in the five percent off on target when you use your red card then I'll be

like oh that's three dollars cheaper and those little bits and pieces really add

up and then chopping with Ebates every time that you're shopping you're getting

cash back in a cheque that they give out quarterly those checks they add up quick

minor you typically a few hundred dollars and hey I'll take the few

hundred dollars to go towards my sinking funds lastly was shopping around for car

insurance guys guys I know what the chore I'm actually currently going

through it right now of shopping around we just got our renewal for our car

insurance and it went up significantly and I called and asked what that

increase was and they said it because of all the hurricanes in Florida we've had

I live in South Florida we had Emma we had Matthew and all these other

hurricanes that it went up across the board and so I said okay not gonna renew

right yet I'm going to shop around so I did I called a bunch of places shop

around and I found a other company that was able to save us $800 a year $800 and

it took me 20 minutes and that is a game changer guys $800 so I recommend

shopping around every six months or so also be sure to ask your insurance

company if they offer a discount if you pay every six months I said progressive

and if you pay your balance in full for six months we saved about three hundred

dollars and that was huge now it is a little upfront when you have to pay that

big chunk of money in the beginning but if you create a sinking fund and then

putting in those couple hundred dollars each month then it's

but you just pull it from your sinking fund so that is huge now even a way that

progressives discount of paying it full it was still cheaper to go to the other

company so we are switching we are leaving progressive but that is huge so

shopping around for insurance and I always thought that the one that we had

was the cheapest and you know with that six month policy discount but no it

wasn't and so make sure that you shop around you may think that you had the

better deal but others may may beat them out so every few months shop around and

it is so easy it's really not hard and they are so willing to answer any

questions that you may have all right guys thank you so much for watching

please let me know down below in the comments what are some tips and tricks

that you guys use to increase your savings rate I would love to hear from

you it love to learn from you please let me know down below in the comments be

sure to check out all the other comments and don't just leave a comment but read

the other ones learn from this community you guys are incredible that you teach

me so much every single time thank you so much for watching if you enjoyed this

video please like it and if you'd like to see more videos like this please

subscribe and hit the bell notification I upload three times a week here my

social media handles and blog a big shoutout goes to it Sharon C Sharon

thank you so much for watching and I will see you guys next time

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