3 minute read
Saving for An Emergency Fund
Hello, beautiful people from across the lands! Today is just a quick update on where I am in the progress for saving for my emergency fund. In last week’s post How I Plan to Tackle my $91,370.18 Mountain, I shared a detailed plan on ways to pay off debt and what strategies I’m personally going to put in place. Step 1 is to save $1000 for an emergency fund. The idea is to acquire this money as quickly as possible and the average timeline is 30 days or less. Before I can begin this step there is a pre-step that needs to happen that I didn’t mention.
Dave Ramsey encourages that you get current on ALL your bills first before you start the process of Step 1. This does not include bills that are in collections those will be part of the debt snowball in Step 2. Bills like utilities, car payments, insurances, housing (rent/mortgage), cell phone, internet or cable etc. The idea is to balance everything out so you’re not adding debt while trying to pay it off. So, I am currently in this “pre-step” catching up on a few bills of mine.
I am giving myself 3 full pay periods to get caught up. I’ve started a new job and landed on the second week of their pay period, so I will not count my first check as one of three for my timeline. I am currently exploring a few side hustles to add additional income and will be sharing those as the results come in. My budget is currently going through refinement and will be shared very soon.
I hope you are on this journey with me and would love to hear your progress and plans you’ve put in place.
What step are you on in your debt freedom journey? Comment below!
Until next time dream, believe and achieve.
