How Much Emergency Fund?
My next goal is to build a fully funded emergency fund. (I’m following the Dave Ramsey plan). I struggle with how much I will need in that fully funded emergency fund. Sometimes I think I need to take my income minus the extra that is going on bills, and using that figure, save up six month’s worth. Other times I feel that if I was in the midst of an emergency (lost job), I would cut out all frills, such as cable, eating out, etc. I would love to see some information on how much people should plan for per month expenses and how many months they would feel comfortable with covering.
