Uncle Sam Got His Share. How Will I Come Back?

This week the tax man came by to reward my great year. 2024 I made the most money I ever had before. I saved more money than I have done before, and now, a new record. I have to pay taxes. Not a fun feeling having my money taken away but that’s life. I can’t just have amazing month after amazing month, sometimes you have to be knocked on your butt and the start of 2025 did just that.

I almost had to pay $2,000 in taxes which on top of my car insurance will basically finalize the fact I’m going into the negative this month. A mistake I made in finance being I just didn’t know taxes were going to hit me so hard.  I could have saved that amount over the next couple months as I did my taxes early to get that debt from hanging over me, I could have taken more time. Unfortunately, it is done, and the IRS accepted the amount of money. The first year without a return suck, but it also means I had a great year in 2024. My best financial year yet. 2025 seems to not be repeating that trend as it is showcasing itself to be the most expensive year. It also has been a busy year, but I believe most yearly expenses are about to be made. Where I can get back to my goal of at least $700 saved a month.

I need money. I can take it out of my emergency fund, it will be thinner for the time being, but I can make that up. It is unfortunate that I just couldn’t make enough to pay for my life this month.

I can tighten up the spending more, I have had a few extra unplanned expenses that hit so I can tighten up other areas. I have definitely been more open to spending more which needs to be reeled back QUICK while I get back on my feet. Uncle Sam punched me in the gut but as Rocky said it isn’t about how hard you get hit, it’s about how hard you get hit and keep moving forward.

I did several credit card and bank account sign ups last year for the rewards offer for some extra income and I can definitely use that this year as well. I was able to secure about $1,500 extra dollars last year to use on vacations and even fill up my retirement accounts. It isn’t too difficult, just mental gymnastics but easy money, I signed up for one of the rewards offer accounts and should be seeing the extra cash in a month.

I can also earn a few more dollars as a travel agent, drumming up new business. I know July will be a big month for me. August is a three-paycheck month so these should be where I can save a bulk of my yearly total.

My finances got hit hard. In a way that I didn’t see coming either. I can work my way back though.