A Twist on the Popular 52-Week Savings Plan

You've probably seen the 52-week savings plan where you put aside money every week and end up with $1,378 upon completion of the plan. The first week you put away $1, the second week, $2, and so on. While the plan is a great method to give someone structure when it comes to saving, there is one pitfall. The first month of the plan, you put away $10. For most people, this is feasible and maybe hardly noticeable. The last month of the plan, however, you put away $202. The month before, $186.

I believe most people start this kind of plan in January. It’s a new beginning, a new year, and resolutions have been made. Maybe saving money was one of those resolutions. That means a person has to set aside $388 total in November and December, the holiday season. Whether it be on holiday gifts or cooking/baking supplies, we as consumers spend more money and have less disposable income during those months. I make several pecan pies during the holidays and pecans are expensive! Let’s not even start on the gifts. Suddenly, the $388 sounds like quite a bit.

My solution? Take the traditional schedule and alternate between the front end of it and the back. Check out the new schedule below to see! The contributions for the last two months now total $212, essentially putting $176 back into your disposable income for that time period AND you’re still on track with the savings plan.

I think the majority of us earn incomes that don’t fluctuate much from month to month. Your savings plan shouldn’t either.