The month of May was an expensive month at the Amber Tree house. And at the same time, it is the first month that we see the impact of the new rules for the Saving Rate. All in all, I am happy with results and the way our budgeting system lets us navigate through months like this.
In May, we had a part of our holiday allowance that was paid. Usually this means that we see a nice peak in the Saving Rate. This year however, we decided to boost our travel fund. As we know we will spend this money in the future on travel, we do not consider this a saving, we account it as an expense. Going forward, when we plan a big trip, we can do this guilt free as the “pain” of the expense is already taken before!
We also had a 2,5K house repair and drying machine replacement. Ouch, that hurts. Thanks to our living now fund, we do not need to use or May income to pay for this and we can keep other accounts intact as well. As such, this rather high expense does not affect our savings rate. We use money labelled for this in prior months.
All things considered, we came in well below our targets. The YTD results are still on track to reach what we want. As from July, this will change as I start to earn less.
We also had great fun in May. There was a long weekend at the beach. Not only did we have friends over for a barbecue, we also had a lot of fun with the girls on the various beaches we visited. The main attraction for them was running around in a city fountain. They loved it. Will do again. I was happy to get some photography time as well. We also decided to join the FIWE week in Budapest. All paid for with our fun money! And some free entertainment including planting potatoes in bags. I hope to get a lot of garden dividend this year!
May has been an interesting month on the stock market. My main tracker had a nice increase. You have to let the markets do what they do best… be unpredictable in their way up!
At the end of May, we happen to touch again the target line! We are now officially on track!
How is your net worth doing?