2015 Spending Plan

I can’t make a savings or investments plan for 2015 yet since I don’t know what the new job’s benefits look like exactly, but I can plan on what my spending will look like!

Housing

My mortgage payment will continue along at the same amount, about $12,300 for the year. My boyfriend is going to pay the HOA dues, which will save me about $3,900 for the year! There is a small assessment though that we are splitting. My assessed value has gone up 20% for the 2015 tax year, so I’m estimating that property taxes will go up 20% from the 2014 amount. At least that means I can deduct more on my taxes, right? My portion of the internet bill is down to $400/year, which is about what I was paying before I increased the speed at the beginning of 2014 for much more internet since my boyfriend is paying half. My Ting referral credits have been conveniently paying my cell phone bill for quite a while now, so I’m budgeting $0 for my cell phone in 2015. I’ve estimated our 2015 electricity costs at $354 for my half, which is down $370 from 2014 since my boyfriend is paying half. (I did estimate the usage will go down a bit, which is partially offset by the increased rates.) Lastly, there is condo insurance and then household goods like toilet paper and cleaning supplies.

Total estimated housing costs for the year: $17,600

Transportation – This covers car insurance, umbrella insurance, vehicle tab renewal, renewing my driver’s license, fuel for my car, and car maintenance (oil changes and replacing the windshield wipers). My estimate for these costs in 2015 is: $2,500

Entertainment – This covers hanging out with friends and date nights with my boyfriend, as well as my LastPass and Pandora subscriptions. I switched from Dropbox to OneDrive, which should save me $99/year. Estimate: $2,200

Food – This includes lazy eating out, groceries, and work lunches. Estimate: $4,300 I’m targetting work lunches for a reduction in spending as a) its the sixth largest line item on my 2015 budget after: mortgage, travel, property taxes, groceries, and entertainment and b) it doesn’t provide much value in my life. Once I start the new job, my goal is to eat in the cafeteria every day for lunch and see how much that costs, then re-evaluate this line item.

Personal care – Monthly eyebrow waxes, toiletries, the occasional spa visit, and my annual hair cut. Estimate: $800.00

Recreation – In 2014, I spent about $1,000 in this category. I’m estimating $600 thanks to work benefits.

Shopping – There will also probably be some furniture purchases with my boyfriend moving in, though I have no idea how much those will add up to. I’m estimating $500.

Clothing – I’m never very good at predicting how much I’ll spend on clothing or holding myself to a dollar amount. I’m going to estimate this at $900.

Gifts and Donations – I will continue to donate 1% of my gross income. Once the mortgage is paid off, I plan to increase this amount to 2%. I will also continue to be generous with my immediate family’s Christmas presents and give nice presents for friends’ weddings. This should amount to around $2,300 in 2015.

Travel – Save the best for last, right? Between an overseas trip in Q1, two weddings to attend, Christmas flights, and renewing my passport, I’ve budgeted $7,100 for 2015, my largest line item after the mortgage.

Total estimate: $38,800

If you take out the mortgage and travel, my spending for 2015 would only be $19,400. That’s pretty good! My goal is to get my spending under $24,000 per year without the mortgage at some point. I’m about estimating to be about 10% above that in 2015, which is much better than previous years. *cough* 39% over that in 2014 *cough* We’ll see how this goes though considering that I forecasted spending $38,500 in 2014 and wound up spending $45,700, a 19% increase. Woops!

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11 thoughts on “2015 Spending Plan

  1. Seems like a good plan! We’ve been talking about our spending plan for next year and Mr PoP wants to cut our non-kitchen renovation spending by 10%. I think it’s going to be a stretch goal, but we’ll see!

  2. This motivated me to sit down and estimate what my 2015 spending would be; $11531. A slight difference, but I think the difference in our location makes up a lot of that
    All the best,
    The Stoic

    • Location definitely makes a huge difference, as well as the spending habits of your friends. There are definitely some friends that I don’t see that often anymore because they want to do spendier things than I do. If you take out all of the location-induced items on my spending plan, it can come down to much closer to your number.

  3. Your spending plan seems plenty solid! I’ve been trying to figure out about how much I’m planning to spend next year, but every time I turn my brain toward the idea I remember 2015 is going to be Year Of The Condo, Run While You Still Can and I just blank out and order take-out because these might be the last few days I can still afford it.

      • Well I mean really I probably will be able to afford take-out and still maintain a healthy savings rate. It’s mostly that my knee-jerk reaction to “Oh my god housing is so expensive” is “Maybe if I sit in this corner very still-like I’ll stop using up any more money.”

  4. I found that living with someone somewhat increases your cost of living (slightly) because there are just those times that you are going to splurge here and there. In particular under the entertainment section if your budget.

    • We’ve been unofficially living together for about six months now. We’ve been talking about our entertainment spending a bit lately and I’m not sure exactly how it’ll play out in 2015, but I figured I’ll start out with this year’s budget for now and then see how it goes.

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