Emergency Fund

[Imaexpat2]

I keep about a grand in 1's, 5's and 10's split between three different locations plus I normally pay cash for everything and have 3-6 hundred in cash in my wallet at any given time. Here my primary threat is a 3-10 day power outage a few times a year and usually fairly localized making credit cards and ATM cards useless often times. But the Gas Station or mini mart down the street often is quick to accept cash despite a power outage post haste when it occurs! Sometimes they have difficulty making change and small bills means I can say screw it keep the 59 cents change I have coming back to me, they usually remember that and throw me a bone later and discount something to make up for it. So what goes around comes back around often times.

[Montana Rancher]

I keep about a grand in 1's, 5's and 10's split between three different locations plus I normally pay cash for everything and have 3-6 hundred in cash in my wallet at any given time. Here my primary threat is a 3-10 day power outage a few times a year and usually fairly localized making credit cards and ATM cards useless often times. But the Gas Station or mini mart down the street often is quick to accept cash despite a power outage post haste when it occurs! Sometimes they have difficulty making change and small bills means I can say screw it keep the 59 cents change I have coming back to me, they usually remember that and throw me a bone later and discount something to make up for it. So what goes around comes back around often times.

The best plan I have read so far, the rule of thumb for wealth independence is to have 6 months of living expenses on hand. If you do not then cancel your cell phones, cable TV, and sell the 2nd car until you do.

Don't think you have nothing to spare or cannot save, usually in a 2 family home it is cheaper to keep a person home and watch the kids than have both parents working. If you add to that the money you make watching the neighbors kids you are twice blessed.

If you are a single parent it really holds true, just take 4-5 brats from the neighbors and you can make more than a $20 an hour job.

If you live in an area that $20 an hour doesn't cut it, then move.