BiggerPockets Money Podcast · Friday, September 25, 2026
Kate's money coach, Berkeley, advised her to identify and budget for infrequent but predictable annual expenses like oil changes, haircuts, and memberships. These amounts are then divided by 12 and saved monthly in separate high-yield savings accounts, which Kate uses with Ally Bank's 'bucketing' system.
“So part of Berkeley's system is thinking about those infrequent but yet predictable expenditures. The oil changes, the haircuts, the Costco membership that hits once a year.”
“So once we added up all those annual expenses, we divided by 12 and that was the amount I needed to set aside monthly for each of those things.”
“And I keep all of my things in separate high yield savings accounts with Ally Bank. They have what they call a bucketing system.”