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How important is an emergency fund? It is the #1 priority after feeding your family.

What constitutes an emergency fund? It needs to be actual money, not a HELOC or credit cards. Put a thousand dollars or more into the bank and you will be ready for life’s small surprises.

How can you reach this extremely important financial goal? The nerd in me explains it in this mathematical formula:

Income: 3 low-cost, quick-start, income-producing ideas

• • For Sale Sign (pg 32) $0
  • Kettle Corn (pg 25) $500-1,000
  • Pressure Washing & Sealing (pg 83) $800-$1,000
  • BONUS from Brent Pittman at OnTargetCoach.com – Garden and Urban Garden sitting. Use your green thumb for neighbors who want someone to look over the vegetables in their back yard while they go on vacation.

Budget: 3 techniques for a working MoneyPlan

• The Zac Bissonnette method: Automate bills, savings, and then debt repayment. The rest is yours to spend
• Zero Based Budget or The Absolute Simplest Budget That Works
• YNAB: The flexible plan

Envelopes: 3 that help control spending

• Groceries
• Clothing
• Entertainment

How the Envelope System Works

• Take the budgeted amount for that category out of the bank
• Place the money in the envelope
• Take only that envelope with you when you plan to spend it on the intended category
• ONLY spend money from that envelope on things that belong to that category
• Do not spend more than the envelope (you can’t, you don’t have the cash)

Combine Income + Budget + Envelopes with Ways to Save Cash Fast and you will QUICKLY be ready for life’s little mishaps with an Emergency Fund!