There’s this guideline to having an emergency fund; save three to six month’s worth of expenses (expenses, not salary). The importance of having a cash buffer to fall back on in case of emergencies can’t be stressed enough; however, I do think that there’s a lot to be unpacked in a simple recommendation of “three to six months of expenses”.
Cash Fasting Round 1: $200 in 2 Weeks
Ladies and gentlemen, I am on a spending diet. Last month, I spent $3,000, which is 50% over my already lenient budget. *quietly sobs in the corner* The total balance of all my credit cards exceeds my checking account by $1,000, so it’s time to make some serious adjustments until my next paycheck. Between September 1st and September 15th, my …