See if this sounds familiar…
You sit down with a piece of scratch paper. You add up all the money you have to your name. You add in your upcoming paycheck and all the spare change you find in your couch and the twenty bucks your friend promised to have to you before your rent is due. Then, you subtract all of your bills for the month. Finally, you breathe a sigh of relief because you made it through another month...with twenty bucks to spare!
Everything is going according to plan and then it happens! You get the bill for your car tags or the car breaks or you realize you forgot a credit card bill. You get the picture.
No … Money Lounge is not secretly filming you. We have done the same thing.
We have a solution! Your grandparents called it saving for a rainy day. Richard Swenson simply calls it margin in his book of the same name. It's that concept of having a little something leftover just in case.
At Money Lounge, we like to think of it as conquering Murphy and the monkey (as in Murphy's Law and debt, that thing you just can't quite seem to get off your back). Emergencies and debt are two of the biggest obstacles to handling our personal finances well. This week we are going to look at some strategies to decrease debt and the stress of not having enough to cover those unexpected (or expected and unbudgeted!) expenses.
Listen to a widow’s experience with this same challenge. See if you can find some solutions to try in your own situation.