In the Future Forward post, I referenced what I tentatively called the Ten Forward Savings Fund. I am going to go ahead and make that an actual thing.
The Ten Forward Savings Fund or TFSF for short is a savings account for the Ten Forward project that is in essence what is usually referred to as a “rainy day” fund.
How does it work?
I have created a new savings account at Wealthsimple, a different financial institution than what I normally use for my day-to-day finances. This account will be used for the purposes of the TFSF.
Every month this is the flow:
- Donations come in and are transferred to my personal account
- Expenses are paid using said donations
- Any surplus is transferred to the TFSF account
- An accounting of the balance of the TFSF account is provided every month
I expect the first deposit into this account to be made in June 2023.
This particular account type also comes with a 1.5% interest rate. I’ll quote the relevant bits from Wealthsimple’s documentation here.
Interest is paid on the 5th business day of each month. It is calculated daily and paid monthly. For example, let’s say you deposit $1,000 into a Save account and leave it there for 365 days. You’ll receive around $15.00 for the year (1.5%*1000). Since interest is calculated daily and paid out monthly, you’ll receive around $1.25 each month. Each month you will receive slightly more interest, thanks to the monthly compounding.Learn about the Wealthsimple Save interest rate
So when I disclose the balance of the TFSF account every month, I am also including any accrued interest. Just something to keep in mind.
What is it for?
This fund will be used to cover shortfalls between expenses and donations income. It will also be used if any “large” or unexpected purchases need to be made for the Ten Forward project.
I do not expect to withdraw from this fund for personal reasons unless absolutely necessary.
In every case where a withdrawal is made from the TFSF account, it will be noted in our monthly accounting post with details on what it was used for.
How can you help?
The best and easiest way to contribute to the TFSF as a community member is to sign up for a donations subscription here. As I mentioned earlier, any donations surplus is transferred to the TFSF account. So the more donations we have, the more surplus we have, the more goes into the TFSF.
If you wish to make a one-time large contribution (CAD$250 or larger) to the fund, please reach out to me through the fediverse or via email and we can work the details out. Such a contribution can also be optionally be individually thanked in the next month’s income & expenses report.
Any other questions about the TFSF can also be directed to the above contact methods. Thank you everyone for your support!