One of my minor bad habits over the years has been occasionally acquiring small amounts of money — typically anything under $100 — and immediately putting it in my slush fund, where it inevitably gets spent within a month. It might just as well never have come into my life at all!
During the last five years’ worth of financial education I’ve had periodic crackdowns on this habit. For a little while I was putting all “extra” money in my Roth IRA, but I haven’t been seriously contributing to that for several years while I built up my giant Life Fund instead. (I’m starting in on the Roth again next month after my last 403(b) contribution is made.)
I’m going to have another go, though, in this season of freelancing/volunteering. Actually, I’ve already started! This month I cashed in $94 in credit card rewards and got a $60 reward from Saverlife. Transferred them both immediately to my emergency fund. (Side note: Saverlife is worth doing! You have to link a bank account and it has to end each month for six months $20 higher than it was at the start of the month, but then you get a $60 payout. I mean, I’m not retiring early here, but $60 for ten minutes of setting up the account and autotransfer and then waiting around doing nothing for six months is just fine.)
In August, I’ll get about $85 from Ebates and intend to do the same thing. (Side note: that’s a big Ebates payout for me; some of it is from buying contact lenses, some of it is from godaddy for setting up my professional editing site, and some of it is a referral fee from the blog: thank you, person who clicked the referral link, for helping keep the lights on at The Single Dollar!)
Capturing all the extra money is much less significant than making a higher salary would be. But given that I am where I am, capturing this kind of money is better than not capturing it, right?