I’m a big fan of giving jobs to different income streams. In the past I’ve blogged about how:
I’ve also talked about collecting small amounts of money and using them to make extra debt payments. And since it’s been awhile since I’ve done a debt snowflake/found money update, I thought it was time to revisit it.
What is Found Money?
Found money is anything that comes your way that isn’t part of your primary income sources of salary or business income. Usually these are really small amounts. So small, in fact, that you don’t give much thought to them and probably just deposit them in your bank account or wallet, where they get spent on who knows what.
The small amounts of money I collected from June through August have been especially varied. Here’s the list:
|Sold Book on Amazon||$8.44|
|PerkStreet Cash Back||$50.00|
|Choir Refund from School||$20.00|
|Netflix Refund for Cancelled Subscription*||$15.21|
|Sold Book on Amazon||$12.69|
|Medical Insurance Reimbursement||$100.00|
|Unclaimed Money from KS||$55.53|
|Jury Duty Pay ***||$62.44|
* I have an on again/off again relationship with Netflix.
** Get the title now?
*** Too boring and complicated to explain.
What to Do With Found Money
The key to making found money work for you is to give it a job. We have one non-mortgage debt we are paying on so that is where our found money is going at the moment. When that debt is paid off (yay!) we’ll get to have the fun discussion about where to direct any found money that comes our way. The two most likely sources are the emergency fund or car replacement fund.
But for now I took the $548.43 that the above amounts totaled, rounded up, and sent $550 to the home equity loan we’d like to get rid of once and for all.
Do you direct small amounts of money to debt repayment or savings goals? Where do you find these little snowflakes of money?