Living On A Knife Edge

Living on a knife edge

Are you living on a knife edge ? Am I living on a knife edge ? A recent Yougov survey in the UK which sampled 7,500 families revealed that 44% of families only have enough savings to pay for one months rent or mortgage if they were to lose their jobs. 29% of families would not be able to pay their immediate months rent or mortgage if they were to lose their jobs. Thats Scary ! Examining my own position, I would just about be able to manage as my wife earns a decent income, but if we were both to lose our jobs then we would be in serious doo doo At the beginning of my process of paying off my debts and climbing out of a financial hole I saved up £1,000 to act as an … [Read more...]

How Big Should Your Emergency Fund Be

how big should your emergency fund be

How big should your emergency fund be? An emergency fund is an amount of money that you put away for when a rainy day comes. Rainy days can come in an infinite variety – from the gearbox packing up on your car, to your roof leaking, or being made redundant – the list is endless. Its money that you can call on quickly to fix these events in life which you know will come but don’t know when they’re coming. Events which are just that bit bigger than your usual monthly budget can cope with. I think that having an emergency fund is an essential part of developing a financial plan and the first thing I’ve done since deciding to turn my financial life around is save £1,000 (or $1,600) which … [Read more...]