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Create an emergency fund in 90 days

Posted at 6:07 AM, Aug 16, 2018
and last updated 2018-08-16 09:07:21-04

Doesn't it seem like no matter how much money you make, it's gone right when your paycheck hits your account? But if you're not saving, then how can you be prepared for emergencies?

We have some simple ways to create an emergency fund in just three months.

First things first. You have to figure out what you spend and how much you need to save. To do this, calculate your monthly expenses then multiply that total by six. That's what you'll need to have six months of bills saved up.

We're going to kickstart the fund with $1000 in just three months. Do the math, that's about $11 per day. So how do you get there?

First, create a separate savings account for your emergency fund. Then, try weekly spending fasts.

Some ideas: commit to one less meal out per week, make coffee at home, or skip on meat once a week.

Funnel those funds into your emergency fund and you'll be surprised at how quickly it adds up.

Next, automate your savings — meaning have money deposited directly into your savings account every time you get paid. That way, you don't even have time to spend it.
And whenever you have extra change, put it in a jar so you aren't be tempted to spend it on little things like snacks.

You can also de-clutter and make cash. There are so many options including selling on eBay, Amazon, Etsy and even re-sale stores.

Congratulations! at the end of the 90 days, you should have at least $1,000!

Don't stop there…not until you have three to six months of bills saved up.