Welcome to the latest series on JosephSangl.com – 10 Random Questions To Ask Yourself About Money
These are 10 questions that have personally challenged me in my finances, and I know they can help you too!
Question 7 If I were laid off of work today, how many months could my household operate without severe financial troubles?
It is so easy to spend every dime that we earn. There is a lot of shiny stuff that “speaks” to us and says, “Buy me. Buy me.” However, if there is anything that The Great Recession has taught us it is this – “Down turns happen.” and “Lay-offs happen.”
This is why it is so vitally important to make saving a top priority. A good target for an emergency fund is to have six month’s worth of expenses saved. This can seem impossible, but with an intense focus, it can be accomplished by most people within 6 to 24 months.
ACTION: MAKE SAVING A PRIORITY and make it automatic! I personally have a savings account at Capital One 360 Bank. This on-line savings account pays higher interest than my local “bricks & mortar” bank, and it has a great feature that allows me to set up “automatic savings withdrawals” from my bill pay account. This automation provides the discipline necessary for me, a spender, to save.