Annual expense planner
Add up yearly costs that arrive in lumps and see how much to save each month.
How it works
Add your yearly costs and divide by 12 for the monthly amount to save. Setting that money aside in a separate account, often called a sinking fund, turns big bills into small predictable ones.
Use last year’s statements for realistic numbers, and add a margin for price increases.
Example
With the sample inputs shown above (Insurance premiums ($) = 1200; Property and vehicle taxes ($) = 1800; Car maintenance and repairs ($) = 600; Gifts and holidays ($) = 800; Travel ($) = 1500; Annual subscriptions ($) = 300; Other yearly costs ($) = 500), the calculator returns: Yearly total: $6,700; Save per month: $558 (In a separate account); Per biweekly paycheck: $258.
Things to know
Look back at the past year of statements to find irregular costs such as insurance premiums, car repairs, gifts, and travel. Set the monthly amount aside in a separate savings account so the money is there when the bill arrives.