Never Spend Your Emergency Fund Again

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Today I want to talk about what it might look like if you use a little bit of a tactic in the software I don't talk about the software per se very often but I wanted to give you a little tip today a lot of times when people are following wine ebbers specific where fallen rule to. Their embracing their true expenses it means that they're looking ahead and they're trying to find those larger less frequent expenses and they're breaking them up into manageable monthly amounts. So Christmas if you're gonNA spend twelve, hundred dollars a year easy math. You would take the twelve hundred dollars you divided by twelve, and then you would give yourself a one hundred dollar monthly bill. You could do the same thing for an HVAC repair. You could do the same thing for your Bosh Dryer not recommended and replace that thing so. You're always looking ahead to those larger amounts and then you're saying, okay, what would I need to save or set aside these are traditionally called sinking funds and put him right into wine APP and it's your category where you build up that money over time. Clear. What a lot of the time traditional advice would be. You have an emergency fund and that also makes good sense. Right? We're living in a bit of an emergency year. So you would say, well, I'm going to have three to six months of expenses saved for an emergency. What happens is you have wine numbers that. Don't have emergencies anymore, and the reason is because they're falling in to they're looking ahead and they're thinking about those expenses will come up their true expenses and they are embracing them with love affection and money because you need that third thing. More than any other so. When you are not having emergencies anymore do you still need an emergency fund? You may call that fun now. Something like. Something that really really caught us off guard that we did not see coming and the next time we'll see coming. That's a little bit along category name, but the idea is something happens and it really does catch you guard and it wasn't part of your rule to true expenses. You don't have a sinking fund setup that's when you could use an emergency fund. What I want you to do in the software is never spent directly from that blanket kind of grove. Emergency, Fund category. Instead I want you to make sure that you're always moving money to where that money actually will be used. So if you didn't foresee HVAC going out. How how I do not know but you don't foresee that. And is not covered under warranty. So you're going to have to get rid of actual cash. You could set up a category called home appliances repair something like that or more specifically HVAC I don't think it should be that specific but home appliances, maintenance and repair. And then you would move the money from your emergency fund that little pile of money used for things that you didn't actually budget for and you move the money to the home appliance repair category, and then you would spend that unfortunate large dollar amount from that category. Why? This is what gives you data for going forward. So you will not be caught on your hills again. So you never spent directly if you have an emergency fund category in Why am because you've just got cash set aside I don't know what will happen. This is truly for emergencies not because my car tires wore out, that's not an emergency that. Happens, but you have an actual emergency that takes emergency money. You would then move it to a category for the actual spending. So then you have the historical data to point back to and say, Oh, next time next time that will not catch us off guard

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