Great Video! I also use Capital One for my sinking funds. You can save hundreds on insurance premiums by switching to annual payments instead of monthly...so set up those sinking funds to save throughout the year and then pay those premiums annually!!
I just started my sinking funds two paychecks ago and it’s amazing how much of a weight has been lifted. Instead of dwelling on what’s coming up to be paid I’m putting away each check. Even though I’m saving only 10 here, 15 there, or even as low as 4, it feels different in my mind that a little is being saved for until my bills are due.
I decided to do two checking accounts. I divided the amount by paychecks until it’s due and I just transfer the amount and it’ll stay in one account until it’s due at which time I’ll transfer it back. I keep a list of what each dollar is for in that second account.
That's great!! It is amazing that they can relieve so much stress and pressure so quickly. It might only be a small amount but it definitely adds up and removes stress. Proud of you!
My husband & I are currently saving up to buy a home so we really do not have money to spare for sinking funds but, once we do this in 8 months that $1100+ a month that can go towards 15 sinking funds that I’ve already thought of 😳. Thank you so much for explaining this. I have awful anxiety when it comes to money & planning out our budget really eases it!
+Q Makes It Happen Thats the goal! I’ve had so many people ask me to explain Sinking Funds so I wanted to have a video I could reference back to when the questions come up.
Yes! I use cash envelopes for groceries and such but I find it too cumbersome for savings. My Capital One 360 accounts work great, are easy to access, and they make me a little money too!
I'm so glad you found my channel because now I've found you! I'm binge watching all of your videos lol I needed this video so badly! I'm going to be planning my sinking funds for 2020 and needed this guidance so much. Thank you!!!!🎄❤☃️
I completely agree about sinking funds becoming a game changer! I have one account and keep a spreadsheet with each category. Once a month I'll go into the account just to be sure the banks total coincides with mine. Easy-peasy! Great video!
I recently found out about sinking funds and I wish I used them in my budget sooner. My heart breaks whenever I get hit with an expensive and unexpected charge!
+Kirin Nguyen - Personal Finance Blogger 100%! I think everyone wishes they’d used them sooner once they figure it out. They make things so much easier.
So glad to hear that! I know they can be super confusing at first and lots of people refer to them so I wanted to make it simple because they are soooo amazing once you understand and start using them. Thanks for watching and letting me know it helped! :)
It is 100% because of you and this video I originally started my capital one accounts. I love them. Having multiple savings for different things and a secondary checking account has been so nice. As of right now they are mostly empty but they are so nice to have when I have money to play with
I set up accounts at Capital One, started my sinking funds....then took out all my money and invested it in the stock market! 🙄 Now I am reevaluating my method and named all my sinking funds again, because it's really hard to sell a well performing stock to fund a car repair 😣 or go on vacation. Thanks for the excellent video and inspiration to fund my accounts once again!
Thanks so much for this video. This convinced me to switch to capital one 360 for my sinking funds instead of keeping so much cash at home! And now I'm earning interest on it too!!
Very valuable content Mary. 💜 Thanks for putting this together & sharing. "Savings account with a purpose" 💜 Money set aside for security, peace of mind & no stress 💜 Wish we had Capital One 360 here, so organised. Yay for this helping you.
Omg awesome video. Thank you so much. I never comment on videos but I had to on this. Ive been looking for a good explanation on sinking funds. And this was it. Opening my accounts next payday. You definitely have a new subscriber here!
Such an informative video! I love Capital One! They also have great customer service from my experience. Keep large amounts of cash at home can be scary so having electronic Sinking funds is definitely helpful
Interesting concept. Honestly haven't heard of this but due to my low expenses, I don't see a need for it for me. Any unexpected expense will go on a credit card which gives me a month to save the money. I could see this being useful for people who have trouble naturally avoiding spending money.
When we originally started our emergency fund it was through ING Direct that was later bought out by Capital One. My wife currently uses Capital One for her "Mad Money" and we also have a kid's account through them. Mad Money is like the allowance that me and my wife have that is ours to use freely and it's automatically deposited into separate accounts. Our emergency fund was then later moved to Discover (they have the best customer service) where we were getting a higher interest rate. Sometime last year I moved it again to Wealthfront. But with the current interest rates, looks like I'll be moving it back to Discover.
Oh thank you so much! I appreciate you doing that. Don't be nervous, there really isn't anything you can mess up and the benefits of using sinking funds are amazing!
First of all, you look SO cute on this video! Great video & topic. I have CapitalOne360 and cannot agree more with your method. It definitely alleviates stress. Quick question, because I didn't see exactly how you did it... HOW EXACTLY did you re-order the accounts? I've always wanted to do this!!! Where did you click?
Thank you!! I think I might have messed up the edit there! - Go to settings - Scroll to bottom of Capital One Accounts area - click “Reorder Accounts” link You can also do it from the app. Press and hold on an account in the main screen and it will pop up and allow you to drag and reorder.
So lets say one of my sinking funds is “gifts”. Someones bday is coming up so I want to use 20$ from that sinking fund...would I transfer 20$ from that savings acct to my checking account so i can spend it or how does that work ? LOVE the video 💕
It gets talked about a lot in the budgeting community but I know it’s a new concept when people first start learning how to budget so I wanted to make it easier to understand.
I have created savings accounts like this before but in the years that I've been involved in personal finance, having never found anyone using the term of sinking funds.
I’m sorry if I missed this in the video. I was taking notes! Lol. It seems the best way to go about this is to have at least one checking account to transfer the money to/from the savings. Do you get a checking bank card and can transfer the money from that savings account when needed and put the rest back if you don’t need it? Are those transfers instant? I’m debating too if I should just make capital one checking my only bank and closing my current bank. I would imagine it takes a while from a different banking institution to capital one? Sorry for all the questions but trying to understand all this before opening! Thank you in advance!
I have a 360 account and actually never new they had this ability. I also have an account at ally bank and they have a similar concept called buckets that i much prefer. You don't have to sign up for a new account you just create buckets to split your money apart . So you don't have the hassle with opening/closing accounts (being curious i wonder how much it is a hassle to close an account). With buckets you just delete the bucket then your done and it will go into your core holdings. The rate only ally is marginally less (.05%) but not enough that will make much of a difference.
Great video! Question, if you want to use the sinking fund for whichever category, how do you use it? Do you have to transfer the money from a particular sinking account to your checking then use your card to make a purchase or is there a separate card?
A couple of questions. 1. Do you have your work check direct deposited into the Cap One account or do you deposit the money some other way. 2. When its time to make a payment from one of the savings accounts, lets say a car repair, do you move the money from the car repair savings account to the checking account and make the payment?
1. I do direct deposit! 2. I move money from car repair savings to checking and make the payment with my debit card. let me know if you have other questions!
Thank you!! I think I might have messed up the edit there! - Go to settings - Scroll to bottom of Capital One Accounts area - click “Reorder Accounts” link, it’s listed after all of your accounts You can also do it from the app. Press and hold on an account in the main screen and it will pop up and allow you to drag and reorder.
@@PenniesNotPerfection Thank you so much! New subbie here! I think I've watched your "Mortgage monthly statement and balance" video at least 10 times already :). Another great video with valuable information. Keep up the good work!
OK, so I just opened up a few accounts, my question is what is the turn around time when you need to access the money in the sinking funds? Will it be instantly if transferring the sinking (savings) to the main cap1 checking account?
Great video so much great info! The one question I have is that how do you get the money from the sinking fund (360 saving acct) when you ned to make the payment? Can you move the debit card to that fund or do you have to move the money back to the checking acount? Thanks again! So many great details I have actually watched the video many times
I think it will! It really was a game changer for us and has relieved sooo much stress from our monthly budgeting. I’m going to try to be better about doing videos tracking / showing it but it’s been the best budgeting thing we started doing.
Thank you so much for very thoroughly going over what sinking funds are, how to use them and how to set them up! I’ve been looking into High Yield Savings account but stuck on choosing which bank to go with. Some like Betterment and Ally have what they call “buckets” essentially sinking funds but within one big account. What made you decide on capital one 360 versus other savings account that have a similar APY?
Any of those are good choices! My favs are Ally and Capital One. I actually didn’t pick capital one I was a member of ING Direct who originally came up with the concept and they were bought out by Cap One but kept all the good features so I stayed. I’ve actually been considering trying Ally too.0
Pennies Not Perfection oh wow. 😯 Then there’s Barclays & Fidelity I believe. There’s so many, it is hard to choose. Does opening multiple savings accounts within a bank mean that each individual account will gain the full APY or is it better to have it under one main account and then have “buckets” sub accounts for each goal to take advantage of the high APY?
Do you get a debit card for the sinking funds? For example, if I have a tire blow out on a weekend and I need to go to the tire shop, how would I get the money from that specific fund?
You get a debit card for your checking account. You can transfer money over from the sinking fund to the main account then use the card. In the case you are talking about I personally just use my phone to transfer money over as soon as I know the total then swipe my debit card. It’s like a 1 minute process.
What happen if you do not have enough money for all the sinking funds you planned? Do you have cards with the 360 account or its just an online banking? The
I’m doing some sinking funds now while paying off debt because having debt doesn’t stop certain expenses from happening. I’ll add more after the debt is done.
@@VeggieEveryDay I definitely recommend it for certain categories that you can't delay like car repairs or Christmas or whatever fits your life. Things like clothing as an example could be pushed til after debt freedom!
Over 21k views as at 28.12.21 👏 😊 🌲 Thought of a sinking fund to start that would help as a step towards stopping living paycheck to paycheck or living beyond your means. Say an overdraft of 200 is used every month, save up the 200 in a sinking fund then it's there to use instead of an overdraft. Could call it something like "Grow the gap". Just a thought! 🤔😆
When you are ready to use a sinking fund, do you have to transfer the money to your checking account to be able to pay for it with the debit card? Im wondering how that works, when you swipe the card it only deducts from the checking right?
Yep. Since sinking funds aren’t daily spending you just transfer the money to checking whenever the bill comes or the irregular expense happens and use the debit card. That’s how we do it.
Thanks for the Video Mary, With multiple checking accounts open, did Capital ONE send you multiple debit cards for each account? or did you opt out of receiving them?
You get just one. The way we do ours is we transfer money from our main joint account to the checking accounts with our debit cards. When we transfer we leave a note with what it’s for which gives us another simple tracking method. It’s just what works for us. I believe you can change which checking account your card pulls from but don’t quote me.
I want to do this but can’t figure out how to connect my debit card to all those accounts and how can I switch between them when I do get it connected??
Great Video! Just started this this year for the first time. But still confused a little. When I reach my goal in a category and didn’t use all the money. What do you do with it then? Do you just continue to save it or move it somewhere else. Thanks
It's up to you and depends on what is left. If you know you will eventually spend it then I'd keep it in the category and continue to save. If not I'd move it to another goal.
There is no lower limit. I sometimes have 0.00 in them if I have to empty it. You can also open them with no funding and start at 0.00. One reason why I like Capital One 360 is because there aren’t penalties like other banks. I only recommend starting with $250 if you use my link because that’s how you get the bonus. But you don’t have to!
Thanks for the info! I am looking into this and plan to use your referral if we sign up. Was there a amount of transfers per month limit? I looked on the website and it mentions six per month, but I didn't know if I read that correctly. Can you confirm if you are able to move money across your checking/savings accounts more than six times per month?
Yes it is 6! Per account. We have multiple accounts and have never gone over 6. If you think you would you could just leave money in checking. 6 transfers from a savings account is not a Capital One limit, it is a federal law. You can google it. "Federal law limits the number of withdrawals or transfers you can make from a savings or money market account at a bank or credit union to six a month. "
You would open new accounts. The checking and savings at Capital One is different than a credit card though I know you can see your card and accounts in the same place when we had venture cards.
Where I keep my sinking funds: Capital One 360 ($25 BONUS for you with my referral link) ➝ capital.one/2JIEqQV
You did an excellent job explaining the sinking funds!!! I renamed every account too
Thank you! Renaming accounts is super fun. I’m practical about it but people can get very creative!
Great Video! I also use Capital One for my sinking funds. You can save hundreds on insurance premiums by switching to annual payments instead of monthly...so set up those sinking funds to save throughout the year and then pay those premiums annually!!
Exactly what we did and saved a ton! Sinking funds have been so useful to us in saving money and just making budgeting easier. Thanks for sharing!
I just started my sinking funds two paychecks ago and it’s amazing how much of a weight has been lifted. Instead of dwelling on what’s coming up to be paid I’m putting away each check. Even though I’m saving only 10 here, 15 there, or even as low as 4, it feels different in my mind that a little is being saved for until my bills are due.
I decided to do two checking accounts. I divided the amount by paychecks until it’s due and I just transfer the amount and it’ll stay in one account until it’s due at which time I’ll transfer it back. I keep a list of what each dollar is for in that second account.
That's great!! It is amazing that they can relieve so much stress and pressure so quickly. It might only be a small amount but it definitely adds up and removes stress. Proud of you!
I like how you explained what it is, a savings with a purpose
That’s my favorite way to think of them. 😊
Thank you for provideing such a detail video on how to create additional sinking funds. It is the first one i have seen after many searches.
Great video. You explained sinking funds so well. You finding my channel helped me find yours as well. Can’t wait to watch more of your videos.
I've had Capital One for 30 years and had no idea this was a benefit. Thank you.
My husband & I are currently saving up to buy a home so we really do not have money to spare for sinking funds but, once we do this in 8 months that $1100+ a month that can go towards 15 sinking funds that I’ve already thought of 😳.
Thank you so much for explaining this. I have awful anxiety when it comes to money & planning out our budget really eases it!
This was everything!!! Very solid Mary, this video will be referenced for years to come! 💪
+Q Makes It Happen Thats the goal! I’ve had so many people ask me to explain Sinking Funds so I wanted to have a video I could reference back to when the questions come up.
What a great video! I never thought to calculate by number of paychecks. Also thanks for showing how to create the new accounts in 360. 🤗
Glad it helped! I think doing it by paychecks helps a lot for most people rather than doing it Monthly!
Nice! I didn't know I already had my own sinking funds. Thanks for explaining this! 👍
Yesss! Go Tom! I know some people use the method without the same name. It’s effective whatever you call it!
I love having Capital One 360 accts it makes it so much easier than using envelopes!
Yes! I use cash envelopes for groceries and such but I find it too cumbersome for savings. My Capital One 360 accounts work great, are easy to access, and they make me a little money too!
I did have a question does the 360 accts have penalties when transfering $ to pay off lets say a car repair from the “sink fund” acct.
Nope no penalty. They do limit the number of transfers out but it’s something like 5-6 a month so it’s enough for us.
I'm so glad you found my channel because now I've found you! I'm binge watching all of your videos lol I needed this video so badly! I'm going to be planning my sinking funds for 2020 and needed this guidance so much. Thank you!!!!🎄❤☃️
Huh, hadn't heard of sinking funds until now. Thanks for sharing.
I think they are pretty useful!
loved how detailed this video is. even included the math behind the sinking funds🔥🔥 i just started my categories cant wait to see how it works for me🌟
Yay! I know it will be great for you! Sinking funds eliminated sooo much stress for us!
Awesome! Now, where were you when I was trying to figure this out. LOL!
Hahah right? I’m hoping I can help newbies cause I get A LOT of questions about sinking funds.
I’ve been wanting to try the capital one 360!! Thank you so much for explaining how EASY it is! I had thought it was much more complicated 😅.
I’m so glad! It’s legit one of the best online banks and super duper easy.
This was great!! We have two Capital One 360 accounts and now I want to do sinking funds!! We have not used these accounts in years!
Do it! They really are great and you’ve already got the infrastructure in place!
I completely agree about sinking funds becoming a game changer! I have one account and keep a spreadsheet with each category. Once a month I'll go into the account just to be sure the banks total coincides with mine. Easy-peasy! Great video!
Yesss! One account and a spreadsheet is great! However people decide to do it, sinking funds really do change the game.
I recently found out about sinking funds and I wish I used them in my budget sooner. My heart breaks whenever I get hit with an expensive and unexpected charge!
+Kirin Nguyen - Personal Finance Blogger 100%! I think everyone wishes they’d used them sooner once they figure it out. They make things so much easier.
I've never ever heard of sinking funds. I've been following personal finance for a long time. Thanks for the explanation.
This was a great video! I feel like I'm only going to have 3 sinking funds for now since im just in the beginning of paying off debt.
I only have 4 because I'm trying to pay debt as well. Good luck 👍
@@LaToyaPlansLife thanks you too+
That’s totally fine! 3-4 is a great number to start to cover those big expenses that could send you back into debt.
This is the best explanation I have ever heard about sinking funds. I understand finally lollllll..thank you so much.
So glad to hear that! I know they can be super confusing at first and lots of people refer to them so I wanted to make it simple because they are soooo amazing once you understand and start using them. Thanks for watching and letting me know it helped! :)
I don't even want to think about trying to budget without my sinking funds! Crucial for all of your non-monthly events!
It is 100% because of you and this video I originally started my capital one accounts. I love them. Having multiple savings for different things and a secondary checking account has been so nice. As of right now they are mostly empty but they are so nice to have when I have money to play with
I love this!
I set up accounts at Capital One, started my sinking funds....then took out all my money and invested it in the stock market! 🙄 Now I am reevaluating my method and named all my sinking funds again, because it's really hard to sell a well performing stock to fund a car repair 😣 or go on vacation. Thanks for the excellent video and inspiration to fund my accounts once again!
Thank You young lady for even more precise applications of the Sinking Funds. I applied some of your information. Thanks ❤️
Incredible video, nearly at 10K subs, helping you try to get there!
Thank you! Getting close!
Thanks so much for this video. This convinced me to switch to capital one 360 for my sinking funds instead of keeping so much cash at home! And now I'm earning interest on it too!!
Thank you! 🤗
this is so easy to follow! especially for someone like me who is not familiar with sinking funds
Thank you I’ve been trying to figure this out for so long and didn’t want to mess this up!
Yay! I’m so glad it helped you! Let me know if you have any other questions.
I’m so glad I came across your channel, I’m a new subbie and I only have one regret;not finding you sooner!! Thank you. I now have hope!
Thank you and welcome!
Very valuable content Mary. 💜 Thanks for putting this together & sharing. "Savings account with a purpose" 💜 Money set aside for security, peace of mind & no stress 💜 Wish we had Capital One 360 here, so organised. Yay for this helping you.
Thank you! I’m all for any money tips and methods that lower stress!
Omg awesome video. Thank you so much. I never comment on videos but I had to on this. Ive been looking for a good explanation on sinking funds. And this was it. Opening my accounts next payday. You definitely have a new subscriber here!
I’m so glad!
Love your look in this vid girl! So pretty! Okay, gonna watch now:)
Blushing! ☺️ Thanks Kate!
Such an informative video! I love Capital One! They also have great customer service from my experience. Keep large amounts of cash at home can be scary so having electronic Sinking funds is definitely helpful
Definitely! We actually just had a home burglary so I was very happy all our sinking funds were safe and happy at the bank!
Looks Beautiful! Like your earrings! Super informative! Thanks for sharing!
Thank you. The earrings are from Noonday!
Great video and great explanation of everything sinking funds!
Thanks Aly!
I have an obsession with your channel!! This video is so professional :)
OMG Thank you!!!
Interesting concept. Honestly haven't heard of this but due to my low expenses, I don't see a need for it for me. Any unexpected expense will go on a credit card which gives me a month to save the money. I could see this being useful for people who have trouble naturally avoiding spending money.
LOVE the way you explained this!
Thank you!
Thank you so much for explaining this so clearly. I've always wondered what sinking funds are but found a lot of budgeting terms confusing.
Thanks! 😊I'm so glad I could be helpful! It confused me at first but it has been a game changer for us.
Thank you for taking your time to make this video. Very helpful.
Great explanation on sinking funds.😃
Thank you! I hope it helps people!
It would be great if you show how to actually create those sinking account and how to name them. Thanks!
I also live off bi-weekly paychecks. You did a great job explaining how to budget this type of income.
Really cool and thoughtful video! Thanks for teaching me about Sinking funds!
So great! Keep up the great work!! 🥳🥰
Thank you!
Thank you for sharing your experience..
Wow very detailed.. thank you for sharing xx
I’ve had so many sinking fund questions on past videos that I wanted to cover them all!
When we originally started our emergency fund it was through ING Direct that was later bought out by Capital One. My wife currently uses Capital One for her "Mad Money" and we also have a kid's account through them. Mad Money is like the allowance that me and my wife have that is ours to use freely and it's automatically deposited into separate accounts.
Our emergency fund was then later moved to Discover (they have the best customer service) where we were getting a higher interest rate. Sometime last year I moved it again to Wealthfront. But with the current interest rates, looks like I'll be moving it back to Discover.
Thanks for sharing, I'm trying to get my life in order.
Just opened my accounts using your referral link! Nervous but excited to get started on my sinking funds! 😬
Oh thank you so much! I appreciate you doing that. Don't be nervous, there really isn't anything you can mess up and the benefits of using sinking funds are amazing!
First of all, you look SO cute on this video! Great video & topic. I have CapitalOne360 and cannot agree more with your method. It definitely alleviates stress. Quick question, because I didn't see exactly how you did it... HOW EXACTLY did you re-order the accounts? I've always wanted to do this!!! Where did you click?
Thank you!! I think I might have messed up the edit there!
- Go to settings
- Scroll to bottom of Capital One Accounts area
- click “Reorder Accounts” link
You can also do it from the app. Press and hold on an account in the main screen and it will pop up and allow you to drag and reorder.
So lets say one of my sinking funds is “gifts”. Someones bday is coming up so I want to use 20$ from that sinking fund...would I transfer 20$ from that savings acct to my checking account so i can spend it or how does that work ? LOVE the video 💕
Yep that's how I do it!
Great vid! Thanks so much for the time stamps
Wow! This is very informative.thanks for the tips.i love this video.thanks for sharing.i support
+Mariela Dalida Thanks!
Ah, ok that's what a sinking fund is. I hear this getting thrown around a lot
It gets talked about a lot in the budgeting community but I know it’s a new concept when people first start learning how to budget so I wanted to make it easier to understand.
Nice! Never heard of sinking funds but makes sense!
+Investing with Jason They make big expenses much easier!
I have created savings accounts like this before but in the years that I've been involved in personal finance, having never found anyone using the term of sinking funds.
so glad I came across this video. Great tips!
I’m sorry if I missed this in the video. I was taking notes! Lol. It seems the best way to go about this is to have at least one checking account to transfer the money to/from the savings. Do you get a checking bank card and can transfer the money from that savings account when needed and put the rest back if you don’t need it? Are those transfers instant? I’m debating too if I should just make capital one checking my only bank and closing my current bank. I would imagine it takes a while from a different banking institution to capital one? Sorry for all the questions but trying to understand all this before opening! Thank you in advance!
Thank you for this and I definitely used your link!
Awesome! Thank you!
Awesome Video & about to go to link.. TFS & I am new Sub 😘
this is so helpful!! thank you 😊
I’m so glad!! ❤️
I have a 360 account and actually never new they had this ability. I also have an account at ally bank and they have a similar concept called buckets that i much prefer. You don't have to sign up for a new account you just create buckets to split your money apart . So you don't have the hassle with opening/closing accounts (being curious i wonder how much it is a hassle to close an account). With buckets you just delete the bucket then your done and it will go into your core holdings. The rate only ally is marginally less (.05%) but not enough that will make much of a difference.
Yep, I also recommend Ally. :) Some credit unions also have this option!
Great video! Question, if you want to use the sinking fund for whichever category, how do you use it? Do you have to transfer the money from a particular sinking account to your checking then use your card to make a purchase or is there a separate card?
How To Setup Sinking Funds, very nice information, i like your channel. A new friend from Indonesia
Thank you!
A couple of questions. 1. Do you have your work check direct deposited into the Cap One account or do you deposit the money some other way. 2. When its time to make a payment from one of the savings accounts, lets say a car repair, do you move the money from the car repair savings account to the checking account and make the payment?
1. I do direct deposit!
2. I move money from car repair savings to checking and make the payment with my debit card.
let me know if you have other questions!
@@PenniesNotPerfection thank you! I'm actually just now finding out about all of this but it sound great.
2020.6.9 One of my favourites 👍
I still refer people to it a lot!
Awesome video!! Great explanation and very thorough! How did you reorder the accounts? I didn't catch that.
Thank you!! I think I might have messed up the edit there!
- Go to settings
- Scroll to bottom of Capital One Accounts area
- click “Reorder Accounts” link, it’s listed after all of your accounts
You can also do it from the app. Press and hold on an account in the main screen and it will pop up and allow you to drag and reorder.
@@PenniesNotPerfection Thank you so much! New subbie here! I think I've watched your "Mortgage monthly statement and balance" video at least 10 times already :). Another great video with valuable information. Keep up the good work!
Oh thank you that means a lot! Let me know if there are any other topics or things you want covered!
Thank you! Great video.
Glad it helped!
OK, so I just opened up a few accounts, my question is what is the turn around time when you need to access the money in the sinking funds? Will it be instantly if transferring the sinking (savings) to the main cap1 checking account?
Yep it’s instant! That’s why I love it!
Great video so much great info! The one question I have is that how do you get the money from the sinking fund (360 saving acct) when you ned to make the payment? Can you move the debit card to that fund or do you have to move the money back to the checking acount? Thanks again! So many great details I have actually watched the video many times
Move the money back to the checking account and use your debit card or withdraw the cash amount. I wish I had included that explanation!
thanks for the answer. i cant wait to open my accounts for my sinking funds. I think this is going to really be a game changer like you told us.
I think it will! It really was a game changer for us and has relieved sooo much stress from our monthly budgeting. I’m going to try to be better about doing videos tracking / showing it but it’s been the best budgeting thing we started doing.
Thanks for explaining
Thank you so much for very thoroughly going over what sinking funds are, how to use them and how to set them up! I’ve been looking into High Yield Savings account but stuck on choosing which bank to go with. Some like Betterment and Ally have what they call “buckets” essentially sinking funds but within one big account. What made you decide on capital one 360 versus other savings account that have a similar APY?
Any of those are good choices! My favs are Ally and Capital One. I actually didn’t pick capital one I was a member of ING Direct who originally came up with the concept and they were bought out by Cap One but kept all the good features so I stayed. I’ve actually been considering trying Ally too.0
Pennies Not Perfection oh wow. 😯 Then there’s Barclays & Fidelity I believe. There’s so many, it is hard to choose. Does opening multiple savings accounts within a bank mean that each individual account will gain the full APY or is it better to have it under one main account and then have “buckets” sub accounts for each goal to take advantage of the high APY?
814 is very impressive 👏🏾👏🏾👏🏾
I hope to learn 😊😊😊
Do you get a debit card for the sinking funds? For example, if I have a tire blow out on a weekend and I need to go to the tire shop, how would I get the money from that specific fund?
You get a debit card for your checking account. You can transfer money over from the sinking fund to the main account then use the card. In the case you are talking about I personally just use my phone to transfer money over as soon as I know the total then swipe my debit card. It’s like a 1 minute process.
What happen if you do not have enough money for all the sinking funds you planned? Do you have cards with the 360 account or its just an online banking? The
You plan ahead but when we don’t have enough we cut off what we don’t feel is a priority. Sometimes you don’t have enough.
How often can you transfer money from savings to checking? Is there a limit? A fee?
6 times a month
Great info! Are you building sinking funds while paying down debt or after?
I’m doing some sinking funds now while paying off debt because having debt doesn’t stop certain expenses from happening. I’ll add more after the debt is done.
@@PenniesNotPerfection That's what I was leaning toward doing too. Thanks!
@@VeggieEveryDay I definitely recommend it for certain categories that you can't delay like car repairs or Christmas or whatever fits your life. Things like clothing as an example could be pushed til after debt freedom!
Over 21k views as at 28.12.21 👏 😊 🌲 Thought of a sinking fund to start that would help as a step towards stopping living paycheck to paycheck or living beyond your means. Say an overdraft of 200 is used every month, save up the 200 in a sinking fund then it's there to use instead of an overdraft. Could call it something like "Grow the gap". Just a thought! 🤔😆
Thanks for sharing this
When you are ready to use a sinking fund, do you have to transfer the money to your checking account to be able to pay for it with the debit card? Im wondering how that works, when you swipe the card it only deducts from the checking right?
Yep. Since sinking funds aren’t daily spending you just transfer the money to checking whenever the bill comes or the irregular expense happens and use the debit card. That’s how we do it.
thank you! ive always wondered about that, also i just opened up my new account this week. :) Blessings to you and your family!
No problem! I hope it works for you, saving is awesome!
Thanks for the Video Mary, With multiple checking accounts open, did Capital ONE send you multiple debit cards for each account? or did you opt out of receiving them?
You get just one. The way we do ours is we transfer money from our main joint account to the checking accounts with our debit cards. When we transfer we leave a note with what it’s for which gives us another simple tracking method. It’s just what works for us. I believe you can change which checking account your card pulls from but don’t quote me.
@@PenniesNotPerfection thank you so much for the prompt respond! Definitely starting this with capital one with my wife :)
I want to do this but can’t figure out how to connect my debit card to all those accounts and how can I switch between them when I do get it connected??
You can get transfer the money to checking.
how do you add money to your sinking funds? Do you make a external withdraw?
Yes you can set up to draw from an external account or you can draw from a Capital One checking account.
Great Video! Just started this this year for the first time. But still confused a little. When I reach my goal in a category and didn’t use all the money. What do you do with it then? Do you just continue to save it or move it somewhere else. Thanks
It's up to you and depends on what is left. If you know you will eventually spend it then I'd keep it in the category and continue to save. If not I'd move it to another goal.
Thanks so much for replying! I’m still a little confused on certain things but definitely trying it out. Thanks again
Is there a lower limit you can keep in a 360 account? Is there a penalty for having a 0 balance in one of the accounts?
There is no lower limit. I sometimes have 0.00 in them if I have to empty it. You can also open them with no funding and start at 0.00. One reason why I like Capital One 360 is because there aren’t penalties like other banks. I only recommend starting with $250 if you use my link because that’s how you get the bonus. But you don’t have to!
THANK YOUUUU 🙏🙏🙏
Tried to sign up at Capital One but the referral is not working 😢
They closed their referral program during the pandemic.
Hi
Gud
Thanks for the info! I am looking into this and plan to use your referral if we sign up. Was there a amount of transfers per month limit? I looked on the website and it mentions six per month, but I didn't know if I read that correctly. Can you confirm if you are able to move money across your checking/savings accounts more than six times per month?
Yes it is 6! Per account. We have multiple accounts and have never gone over 6. If you think you would you could just leave money in checking. 6 transfers from a savings account is not a Capital One limit, it is a federal law. You can google it. "Federal law limits the number of withdrawals or transfers you can make from a savings or money market account at a bank or credit union to six a month. "
Pennies Not Perfection ah ok thanks!
How do you access the money when you need to spend the sinking funds? Do I have to have a checking account?
You can open a checking account and get a debit card or transfer to your home bank or credit union.
Can you use this if you only have a credit card with capital one ?
You would open new accounts. The checking and savings at Capital One is different than a credit card though I know you can see your card and accounts in the same place when we had venture cards.
Thank you ! Where did you find your planner ?
Is it easy to transfer money out? I hate the idea of having an emergency and needing to wait three days for it to drop.
It’s the same as any bank. Transfer out to what?
Good video
I tried signing up for multiple Capitol one accounts and they told me they now have a limit of 3
Interesting! That must be a new thing they are doing.