Curbing my spending makes me spend more
If you asked a hundred investors, how do you plan out your investments, you would get a hundred different answers. All of us have different strategies based around varying understanding of the nature of investments, the market, experiences, influences, available funds, market-knowledge and success or failure in the past; There'd probably be one hundred different outcomes too.
I have my own strategies, most of which will remain private between my wife and trusted advisors as they can be quite complex, and besides, who wants to put all their personal information out on the interwebs anyway. However with Silver I'm happy to talk about it as my strategy is quite simple.
In 2018 I spent 6% of my net income on silver. In 2019 it was 7% and in 2020 the goal is 8%. I won't say the actual figure as you don't need to know what I earn, however this target is broken down into the 12 months of the year and in each month I simply purchase that amount in silver, or gold sometimes. It's a simple concept.
In addition to this set-strategy I work to reduce excess [excessive] non-essential spending and the saved funds get spent on silver also...In 2019 this added an additional 0.5% of my annual net income in silver to my hoard. Pretty cool huh? Just go without some stuff and there's more available to buy silver. So I guess you could say that curbing my spending makes me spend more - On those things that appreciate in value, not depreciate in value.
I track my goals regularly, including my silver purchasing. In this way I am able to know if I will hit my end-target, when to pull back or push on...You will also see that I add one percent each year to my silver-goal. This aligns with greater income each year and better saving techniques. Having a spreadsheeted-budget means we can see what expenses rise or fall and allows us to adjust and allocate savings elsewhere. It's a simply thing, but one which works very effectively.
I've managed to stack a small amount of silver away over the last two years (2018/2019) by doing exactly what you see above. In the two preceding years I stacked a little too, but it was random and so the amount stacked was much less over the year; This way though, I know what to spend and when, and what the result is going to be come the end of the year - It's more strategic and controlled. I can also work around the fluctuating market a little better too.
I invest across multiple investment markets preferring to split my liability however I have to say that stacking silver is one of the more enjoyable ones as I get to touch and feel my investment. You can see one of my bars here and yes, you can be assured that it has been touched and felt more than once.
Do any of you have similar strategies or do you simply buy what you can when you can? I'm interested to hear from the stackers, and investors in general, about what works for them.
Design and create your ideal life, don't live it by default*
