2024 Budget Review Request
Hi all, My husband and I are looking to get some help reviewing our budget for the next year. We are looking for some easy areas we can cut back and save a bit more. We also pay an extra $300 per month on the mortgage because we are trying to reach 20% equity by the time we refinance. We live in a MCOL city in the US. We have a a bit under 30k in student loans at about 4% and about 285k on the house at 6.25%. We have an emergency fund saved up in a HYSA which covers about 3 months of expenses. Feel free to ask any questions or leave any feedback. Thanks!
As you prepare your budget for 2024, it's essential to consider various financial aspects that can help you save more while managing existing debts effectively. One approach is to evaluate your spending habits and identify areas where you can cut back. For instance, review your grocery expenses and explore meal planning to reduce costs. Additionally, focusing on your mortgage payments can significantly impact your equity. Since you're aiming for 20% equity, ensure that your extra payments align with your long-term financial goals. When it comes to student loans, explore options such as refinancing or income-driven repayment plans to lower monthly payments if possible. Keeping your emergency fund in a high-yield savings account (HYSA) is an excellent way to ensure liquidity while earning interest. It's also vital to revisit your budget regularly and adjust as necessary based on changes in income or expenses. Incorporating these strategies can lead to a more robust financial position as you enter 2024.