Sample issue

Hi there,

This issue's jar: the car

Insurance every six months, registration once a year, tires every few years, and the repair nobody planned. Add up last year's car costs that weren't monthly and divide by 12. That's your car jar's monthly amount. When the bill comes, it's already paid for.

Work out every jar at once with the sinking fund calculator, or read The car jar.

This issue's tip

If you're paid every two weeks, two months a year have three paychecks. Send the third one to your jars, and you'll be ahead for the rest of the year. See Matching jars to your paychecks.

Reader question

"Isn't a sinking fund just an emergency fund?" Not quite. A sinking fund is for costs you know are coming, like insurance or holidays. An emergency fund is for true surprises, like losing a job. Keeping them separate protects your safety net. See Sinking fund vs. emergency fund.

Keep those jars full,
Clever Coin Jar