Planning for August

August is looming. The one month I will be without income prior to having student loan money come rushing in. Whew, makes you really feel the importance of a liquid emergency fund.

The advice that everyone has given is to arrange and organize your life so that you will have the lowest possible fixed expenses in the months you’re unemployed. Once I get out to California, I am sure things will inevitably readjust to a steady norm, but for that interim phase where I’m just a gal without a job, I’ve decided to plan things out pretty meticulously.

+ Changed my work 401(k) Contribution from 6% to 1%, which will give me another $258 each month (additional $517-$646 total depending on how many paychecks the change is included for)
+ Contact Financial Adviser to suspend Roth and NW Mutual Life Insurance monthly contributions ($450 deduction total beginning in August)
+ Suspend all other savings. ($250-295)
TOTAL: $1217 – $1391 swing in my usual income/expenses, which along with a bit of a cushion from the guy, should be enough to preserve my sanity until I get the loans set up

While I don’t feel great about reducing retirement contributions, I feel fine about it when I put it in perspective. I’ve been contributing a large percentage of my savings to retirement thus far, and it’s just nutty to take on additional debt to maintain my same level of savings. More than anything I think this will help calm me down and prevent me from developing a stomach ulcer. Regaining perspective and control of a messy situation is sort of what this is all about.