Before our move, we struggled for a long time with the question: "Can you put a price on a good night's sleep?". I think I have found the right price tag. After sleeping years on hand-me-downs, I believed it was about time to get something decent as we approach life with 3. But the prices brought me nightmares instead of blissful dreams.
Last Updated on July 12, 2020 by Mr. FightToFIRE
As eluded to last month, May was a life-changing month. I even received a little surprise windfall at the end thanks to my grandmother’s inheritance. With all of the preparations done in April, May was relatively calm in terms of expenses. This further improved my Savings Rate and pushed it to an all-time high.
May’s income has three sources this month, with one far outweighing the other:
- My grandmother’s inheritance at 27,913.49 EUR (of which roughly 600 EUR goes to taxes).
- My salary at 3,246.44 EUR
- Of which about 700 EUR is a marriage bonus.
This gives me a total income of 31,159.93 EUR for May. Obviously a one-time thing but it’s not hard to see how a +90% Savings Rate is achieved.
P.S.: I also received some dividends:
- Home Invest Belgium (HOMI): 8.80 EUR
- Sofina (SOF): 14.50 EUR
But as long as I use them for investing, I don’t count them as monthly income. Interestingly enough, this is a lot lower than May last year. Probably because of COVID but I need to check why else because not all companies are as impacted by the pandemic.
An interesting unforeseen expense this month was in electronics. My Logitech G500 mouse broke down after 8 years of service. At first, I tried to fix it myself using a tutorial online but it proved to be very cumbersome and I ended up completely breaking it. I could have fixed it if I had a soldering iron for electronics and the right components. Purchasing that would be overkill, so I decided to lay my loyal rodent to rest and get a new companion. My new mouse is a Logi G502 Lightspeed and my first wireless gaming mouse. It’s also the first more expensive “want” I bought in a while.
Besides the new gear, there wasn’t anything special. I had my subscriptions at 12.25 EUR. Oh, I did pay for my yearly travel insurance (56.10 EUR). Though, I was more than happy to pay for it as it has given me back a whole lot more than it cost me.
The total luxury expenses were 181.24 EUR.
All the expenses
As planned, May didn’t have any exceptional expenses. Well, nothing compared to the last month. I can even be bold and say it’s the first month in over half a year where nothing happened expense-wise (well besides corona obviously). My other expenses were fairly basic and it all together brings me to a firm 2,021.43 EUR in expenses.
New savings account(s)
So what will I do with the remaining +90% in cash? Well, after talking about how I would budget the windfall I received, I opened two savings accounts:
- 10,000 EUR went into MeDirect Fidelity Saving:
- Fidelity: 0.35%
- Interest: 0.05%
- 5,000 EUR in MeDirect Monthly Max:
- Fidelity: 0.50%
- Interest: 0.05%
It’s a bit different than what I wrote originally, but since the limit of the max account is 5,000 EUR I figured I could go for that. In the end, it boils down to putting 15,000 EUR in savings.
8. My monthly Savings Rate report: May 2020