Emergency Fund Challenge for 2016

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Jens_Cats
Posts: 465
Joined: Sun Aug 30, 2015 1:41 pm
Location: Jefferson County, WV

Re: Emergency Fund Challenge for 2016

Post by Jens_Cats »

Thanks, ladies.

As an adult, it's been rare that I've been ABLE to save very much, save a tax refund here and there. This house is much bigger than my house in MD and has more that can go wrong. Plus, the taxes--don't even get me started! So now that I have the opportunity, I'm taking advantage. My savings account even earns me a TINY amount of interest--we're talking 12-15 cents a month--but every little bit helps!

Jen M.
Sage Alley: My green/simple living blog:
http://sagealley.blogspot.com
Dgflorida
Posts: 4381
Joined: Wed Oct 07, 2015 8:10 pm

Re: Emergency Fund Challenge for 2016

Post by Dgflorida »

I had not thought about an emergency fund for a while. Thanks for the subject. I did a bit of research and the traditional idea is to put aside enough to cover normal expenses for 3-6 months. To determine the amount suggests a good budget. I thought hubs could handle the budget making process since he is intense on entering expenses into the computer. That was a mistake. A budget does not automatically flow from entering data, I found out.

So how do you determine how much should be an emergency fund. Budget, guess, something else?
Jens_Cats
Posts: 465
Joined: Sun Aug 30, 2015 1:41 pm
Location: Jefferson County, WV

Re: Emergency Fund Challenge for 2016

Post by Jens_Cats »

I think it largely comes down to knowing your own budget and your own tolerance for belt tightening.

This week, I acutally SAVED about $72 on sales and coupons, but I did not have that much to put into savings. I got my $60 paycheck on Saturday, and I put that into savings instead. :) Even though money DOES come out to help cover bills, I'm feeling good about my savings rate this year. :)

Jen M, WV
Sage Alley: My green/simple living blog:
http://sagealley.blogspot.com
dlrcpa
Posts: 1546
Joined: Fri Aug 28, 2015 8:45 am

Re: Emergency Fund Challenge for 2016

Post by dlrcpa »

Building a draft budget for 6 months should be manageable. If you start tracking now, in 6 months you will have some idea. We pay real estate taxes and house & car insurance bills twice yearly. Track utilities and groceries and doctor bills/co-pays. In an emergency you would cut back on non-essentials like gifts and clothing purchase. So just track the essentials. I have been tracking expenditures since 2010 or 2011. Each year's budget is a copy of the prior year with modifications for things coming up that I know about.
blondeinbuffalo
Posts: 939
Joined: Fri Aug 28, 2015 5:37 am

Re: Emergency Fund Challenge for 2016

Post by blondeinbuffalo »

I have to step this up now! I just read the simple dollar and they had some nice ideas (nothing new) to help focus on money saving goals or any goals really. this being said I do have 5K saved for the built in generator, dh feels it is a waste of money. so I am now on the fence about it. cj
Jens_Cats
Posts: 465
Joined: Sun Aug 30, 2015 1:41 pm
Location: Jefferson County, WV

Re: Emergency Fund Challenge for 2016

Post by Jens_Cats »

I took $5k from savings today to cover my taxes and the replacement of the roof on my house in MD, as well as for this month's bills; however, that is not stopping me: I'm putting $73 back in: $13 in coupon/store savings, and my paycheck from last week ($60.) On the face of it, it might seem silly, but I feel that putting something back is better than making no effort at all.

Jen M, WV
Sage Alley: My green/simple living blog:
http://sagealley.blogspot.com
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