Savings Update – August 2018

It’s mid August when I first started drafting this post and it’s still raining heavily here. August has been turbulent and even that would be an understatement.

Expenses

Rent & Bill 16,000
Groceries 3,800
Dining out 1,000
Entertainment 0
Transport 2,000
Phone 40,000
Total 62,000

My phone stopped working and I had to purchase a new device. Over the last five years I barely spent more than INR 15,000 on a new device mostly because I hate spending on gadgets. This time I decided to buy a device with a nicer camera to explore photography more deeply. Now I have a DSLR and a phone with good camera to explore photography.

I purchased OnePlus 6 mainly for its camera. I also had my eyes on Huawei P20 Pro for its Leica Triple camera however, it’s too expensive for my taste and timing of purchase. Huawei’s all three cameras contribute to overall experience whereas OnePlus 6’s two cameras not so much. And I absolutely hate that OP6’s notch. I understand that after Apple introduced it almost everyone wants to follow but there’s no purpose for the notch in OP6 considering that we can still see bezel on the top :/

You might notice that I’ve barely spent anything on dining out and entertainment this month. That’s because of a personal emergency. I am anticipating digging out my entire emergency fund to overcome the situation. Astute readers might notice that my emergency fund consists of a year’s worth of expenses, so that’s a lot of money.

I’ve always had to use my emergency fund every few quarters but never in full amount. I created this full year stash about 4 years and I’m grateful that I don’t have to undergo a lot of stress due to the required funds. That’s a huge relief. I’ve written previously on Emergency fund, if you haven’t created one yet, please go through my previous posts

How to calculate your emergency fund stash

Where to park your emergency fund

Maintaining Emergency fund is important too

The last link is particularly important. Whenever I had to take out funds from my emergency fund, I would make sure to refill it from next month. Since I’m taking out my entire stash this time around, I’ll probably spend the rest of the year filling it up again and just hope that I won’t have any immediate emergencies again. I’ll most likely give preference to Emergency fund than any other types of investments for the rest of the year.

So as you can imagine not only my August but September is going to be expensive! But I’m all prepared.

BaristaFI Goal

Funds required as of

June 2018: 17L
August 2018: 15.5L

I’m 15.5L away from my BaristaFI goal. I might not be able to lower this number for with a significant amount for the rest of the year. However, I still plan to put in 10k per month into my BaristaFI goal for the rest of the year. My main focus would be to rebuild my emergency fund.