A frugal bonus. . . .

'Tis the season. . . for tax preparation! I'm one of those people who waits impatiently at the mailbox (and the email inbox) for my W2's and other assorted tax documents, so I can get my grubby little hands on my refund. I don't waste any time filling out my forms online, and often create a 'fake' 1040 in late January so I know roughly how much to expect in my refund check.

Although (according to my tentative calculations) I won't walk away with much of a refund this year (due to the income from my second job), in the process of creating an 'estimated' 1040 form, I have discovered a new passive source of income that I've never had before!

It's called INTEREST! As in, interest on my savings accounts! I'm stunned to report that my measly savings (the majority of which is held in my emergency fund) brought in almost $70 dollars last year!

This is what the wealthy (or even just financially secure) people mean when they say that their money works for them, not the other way around. Although $70 is not that much money, I think it represents a huge step for me. I've never before been able to keep enough money in a savings account to actually earn interest. In fact, just getting the money from my checking account to a savings account has been a challenge; it's generally been spent before I've even gotten my paycheck.

This past November I finally paid off my credit cards, leaving just my student loan debt to deal with---that has been my entire focus. Even when I created my emergency fund (as Dave Ramsey suggests in Total Money Makeover), it just never occurred to me that some day that account---as well as the other sub accounts I created---would benefit me in such a tangible way.

Though I have miles to go to reach total financial independence and security, I have to say: the journey so far has been incredibly fulfilling. I love my new frugal lifestyle!