Tool for tracking your personal finance buffers

One of the money practices I have is to create "buffers" for various important savings categories.

You can use this simple spreadsheet to help you track your progress in filling these buffers. To access this tool, do this:

STEP 1: First log into your google drive account: http://drive.google.com

STEP 2: Come back here and click this link:
http://j.mp/1fxgcVj

STEP 3: On that webpage, click "Use this template"

Buffers include:
Taxes
Kid emergency
Pet emergency
Dental emergency
Car emergency
Computer / Tech / Appliances
Vacation
3-Months Living Expenses (ideally 6-months)
For Retirement Account This Year
Business Improvement
Dream Project
For Parents
Charity
Any other savings category that is important to you or your family

Once you've got your own spreadsheet going, here is how to use the tool:

STEP 1: Determine which buffers matter to you. Delete the rest, so you aren't distracted or overwhelmed. You can always add more buffers later, but don't add too many. Just enough is good.

STEP 2: How much to save for each category? Put that number in the "Goal Amount" for each of the buffers.

STEP 3: Each month, first set aside some of your income into the Tax buffer ... depending on your tax bracket. For example, 25% or 30% may be a safe number for US citizens, considering federal and state. I usually save more than I think I need, and always get a tax refund each year. Better to err on the safe side and avoid penalty fees.

STEP 4: And finally, save a little bit towards each buffer. What this means is that each month, you transfer whatever amount you can into your Savings. For that amount you transfer, divide it up into however many buffers you have and add those numbers to this spreadsheet. For example if you have 5 buffers (besides Taxes) and you transfer $500 (besides taxes) into your Savings, then add $100 to each of your 5 buffers on the spreadsheet.

I'm always open to your questions and comments. May this tool help you achieve financial freedom!

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Closed Caption:

hi this is George cal and today I
present you with a simple tool
will help create healthy relationship
with your money
I've been using this tool for at least
five years
problem I I can't remember how long
speed as long as
at least five years and it really has
improved licensed financial security
and and having greater sense if I need
security has given me more creativity
encourage in my business and
I i think it'll really helped you to
have
a I less anxiety and pressure sensors
controls your money as well
so let's get going this tool is free and
all
show you how did get to later so on this
all works best if you have a separate
savings account attacked
I'll the went so first thing you do is
you come into the store
and you fill out your golem else for
whatever categories
on you want to lower so I don't have any
children at this time so I wouldn't put
anything there but I got past
so let's say and the zircon and
emergency so if something happens
and you don't have insurance to cover it
a
you know what what would you like to
have him out there I i hack Pet
lot health insurance but on there's a
deductible and
I think the deductible something like
you know on
five dollars and like that so I just
can't put five dollars
testicle Amell dental emergency
on I E you know depending on
what you think yours might be but I
think let's say on
a thousand dollars be safer that car
emergency so
I don't actually need a car for my work
but if you do
and your car breaks down his dick said
you know do you have money set aside
that it's really nice when you do so
let's just say a class called well
computer tech plans so if you're
computer breaks platform for me for
example my computer is
it incredibly important for my
day-to-day work
and so it might be breaks down I need to
fix it or buy new one
wow I need to have money set aside for
that and so I'm just gonna say
1500 there
vacation it's really important
to take vacations on a regular basis
for your own sanity renewal not burning
are created it's Eric Center
vacations don't have to be expensive on
so I just gonna put in here let's say
ok open in 2010 six months a living
expenses that 10 depending on what your
regular monthly expenditures are you
multiply that by six
it's a good idea to try to say for six
months living
expenses buffer just in case your income
for some reason stops and you need to
live off your buffer for a little while
so I'm just gonna say let's say you're
living expenses each month is
you know four thousand dollars six
months would be
a 24,000 to 24,000 and you can even
start this by saying you know what I'm
just gonna
the make something terrible more doable
now and I was gonna see
see three months is I haven't seen
anything here send you that
for retirement account now this is also
really helpful to continue saving for
retirement and just gonna put and
I to duck business improvement
you know funds so that you can hired as
coach or
investors and some business systems or
whatever I'm just gonna say
2500 okay dream project maybe you have
you want invest in real estate wherever
for parents shrinking is for the charity
and finally the taxes thing is hard to
say what the goal is but basically
every month that you make money you
should set aside 30 percent for taxes
so let's say that past month you made
I'll
same eighty thousand dollars then be set
aside thousand dollars
okay and the current amount is every
month when he transferred money into
your savings account
try to save a little bit for each in
each category so let's say you say
thousand-dollar Lexie say five dollars
and then you receive another
dollars here you know a hundred dollars
here he just
so that this month you know you on you
save:
six hundred fifty dollars transfer that
your to savings account and then
you have this much last that you know
you unique on so just keep updating
on months month to month basis and
I hope hoping that this is helpful for
you too
as you keep updating every month and
transferring more money you seems
Cal eventually you want these numbers in
the goal amounts to get 20
unsecured network goals and that we feel
like cash I have
X I have 30,000 the last message to Cal
and now I know what that's really set
aside for
so I hope that's helpful I'm always open
your questions oh one thing I'm unsure
how to use it is
you first got it have to be logged in to
your Google Drive a cow
good registry I use it every day log in
your Google account and then go ahead
and click on the link
that's in the notes to the studio and
the late will bring you to
this page you then click on used as
template and that will likely to
copy history Sol and the Dr
that yellow cells by the way are
formulas and don't touch those
those are automatically updated you just
fill in everything in the white cells
on these are just for your own comments
you want right knee
there so I hope this is helpful and let
me know if it
it did to it works for you arctic air