Monday, February 11, 2013

Baby Step #1 Done!!

Remember my last non-crafy post?  The one that had nothing to do with Pinterest?  The one about money?  If not I don't blame you.  It has been awhile since I posted anything non crafy/Pinteresty.  Here it is if you want to go read it again.

When I wrote it we were just started Dave Ramsey's Baby Step #1, save a $1000 emergency fund.  As of today we have that done!!  I took just under a month, wich is a lot faster than I thought it would be.

How did we do it you ask?  Well first thing I had to do was set up a budget.  (Which is still kinda evolving, but I have the basics figured out.)  I calculated how much we need for food (about $500 a month), and gas (about $240), the minimum payments for all of our bills, and I then guestimated on electricity and water, (hopefully with enough wiggle room that would cover it).  Then anything extra went to savings and/or paying off our credit card.  (Yes I know, it should have all gone to savings until we had that emergency fund set up, but we wanted to start to knock out the high interest credit card asap.)  I made sure every penny was assigned a place to be.  I didn't want to have it dissappearing out from under my nose because it didn't have a job.  I didn't want to look at the bank account and go "ooo $__!!!  Lets go buy this or that!"  I wanted to be able to say, "Well every cent has its job, its own category.  If I spend this much eating out that means that there is this much less in my grocery budget, because everything else is all ready assigned a job, and I can't take from anything else."

Once the budget was done we set aside every available penny.  So between left overs from pay checks, gifts, and trying to sell stuff we were able to get the emergency fund built up pretty quickly.  It is so nice to know we have that part taken care of!


  1. Our family has been doing the Dave Ramsey FPU. I really like it! Although it is a little difficult for me to actually get going as I don't have this certain amount of money coming in every month. However, it's still nice to have different 'accounts' for my money to go to. Clothing, savings, music, etc. It's handy to remember that you're money has to go someplace, so control where it goes. :)
    Big round of applause for completing step #1!!!!!

    1. I would love to do FPU someday. Shoot, I'd love to be able to teach it! How did it go for you all? (Sorry it took me this long to reply... not too good at that)