Today's topic is automatic savings. Besides paying off your debt - credit card, mortgage, and student loans being the top 3 forms - automating your saving is one of the easier ways to build a bundle without having to stress about it. At the moment, Bri and I have several going on:
10% extra to the mortgage (the invest it in the stock market argument has been debunked by...the stock market)
A few bucks to the Duke Energy Corp Direct Investment Plan (DRIP)
A few bucks to Vanguard Wellington fund (60/40 stock-bonds)
A few bucks to North Carolina's 529 plan
Every month, our dollars transfer automatically from our bank account to these above. The monthly amount is relatively small, but a few years of this = hefty cash put away that we didn't have to think about.
I am thinking about this today because while the economy and the stock market are both in the ***er at the moment, it isn't the end of the world just yet for most of us. (Ponzi dupee's might be bagging groceries).
The stress test results are supposed to be released next Monday (5.4), it should be interesting to see if there is a bunch of inside selling in the banking sector this week.
Looking forward to St Anthonys tomorrow, it is going to be warm but it's always good to see our Florida posse.