The Benefits of Starting Sinking Funds

What is a sinking fund? A sinking fund is an account containing money set aside to pay off a debt or help you not get into debt. That is why I am going to talk to you about The Benefits of Starting Sinking Funds.

What is a sinking fund? A sinking fund is an account containing money set aside to pay off a debt or help you not get into debt. That is why I am going to talk to you about The Benefits of Starting Sinking Funds.

They help you to be specific about what you are saving for.

Assist you with not going into debt to buy that birthday cake, present, or whatever is needed in advance.

Sinking funds are for short or long-term goals you have for yourself and your family.

You are in control of setting the timeline and how much you want to save. Remember it’s about the journey, not the destination.

I have benefited from starting sink funds after I have been trapped in the cycle of debt to the point of not having a good night’s sleep.

You become more international with your money than not knowing where your hard-earned money went.

My journey of sinking funds was not without any failure but after discovering why I wanted to learn about financial literacy skills that were a game changer for me.

I became more aware of what I was spending my income on and I am still a student when it comes to financing.

Learned to say no often and also assisted in the journey I am.

The tools that helped me with this journey include listening to and watching lots of finance content online.

Your tax bracket makes no difference in how you save and prepare for future events and bills. Every little bit adds up just find what works for you and go from there.

This is why I find sinking funds beneficial in my finances and life.