I had a few car expenses come up this month that put me over the budget for the month. I had the money to pay for everything because I have a Car Fund as part of my zero based budget. I put in a set amount of money into a sub account every single month and that amount builds up in a little emergency fund until I should ever need to use it.
Unfortunately this month that time came and I had to use a good chunk of money from the car emergency fund to pay for car repairs and maintenance.
While the amount for the car budget is over the total for the month I do have a one year running budget which spreads out the cost of all expenses and all income over a twelve month period. This means that the money spent this month will simply be averaged out and hopefully I should be under the amount allocated for the year.
I must say that in the past I would have been extremely stressed out over having car repairs but due to having a budget I can breathe a little easier.
I will still have to rebuild the car emergency fund on a monthly basis but it is better than having to go into debt to repair the car because I did not have the cash to pay up front.
By the way that is NOT my car in the image….but it is my dream car so I just thought I would throw it out to the universe!
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