Sunday, November 9, 2008


So now that the wife and I have been married for a little while we have decided it is time to sit down and do some budgeting for our future. It is not the most fun thing to do but it needs to be done i guess. We are finally in the position where the last of our wedding expenses are being paid off. We picked up our wedding album yesterday. It looked good. We got 40 8x10's for us and 18 5x7's for each set of parents. At first they wanted to charge us $350 for an album. We polietly told them no way and so they offered us a display model of the exact same album for $50. We also had to pay them an extra $150 to get cd's containing all of the raw files. I am glad to have this taken care of because i know people who are paying off their wedding years into their marriage.

I already participate in the employee share program at work where the Bank matches half of what i contribute to my RRSP. I also contribute monthly to a RRSP plan at scotia. Overall I put just under 11% of my income into retirement savings. At some point in the future i would like to be able to put in the max value (18%) but for now that is not financially feasible. What we are working on building up now is our emergency fund and our house fund. We have money saved but its not in a liquid state right now. Meaning it would be hard to get at in a moments notice. We going are to be setting up some automatic deposits into some high interest ING accounts for the purposes of building a house fund and an emergency fund. Once we are satisfied with the size of our emergency fund then everything can go into the house fund. We have also examined some of our monthly expenses to see if there is any fat to trim. We are fairly responsible so there was not really anything to remove.

So that's it.

Next week ... Fantasy Sports


Renee said...

Just a note you can take out an interest free loan against our RRSP's to buy your house. You then just have to put the money back into your RRSP. I did that to get the deposit for my home and it didn't take me long to pay back.

Nads said...

I hope that we wont have to touch our retirement funds until we retire. Taking money out of our rrsps will just set us back. The premise of having money saved over the long run for retirement is you gain the benefits of compound interest over a long period. Also, according to my favourite money guru, David Bach, we should be saving the first hour of every day that we work = 12.5% a month. We are both close but still below this threshold. When you think about it, you owe it to yourself to save at least 1 hour that you earn in a day. I mean we work so hard we should have something substantial to show for it.

JAW said...

Depends on your philosophy. If you don't mind putting 50% of your income away at 50-65 you are pretty much free to spend on your house. Look at it this way. At 50 you will have no kids and making four times as much. Although people at 50 complain what else are they going to spend their money on?