FIRST AND FOREMOST: Why do you need a Starter Emergency Fund?


There are many tiny steps to follow in this financial journey just to start the Next Big step. First, one of the things that you will see in a future video is that I cut up my credit cards to make sure I don’t continue to revolve debt. However, I didn’t close them, but I did get rid of them. Second, I did my monthly cash flow plan and also did a paycheck-to-paycheck form, so I know I am taking control over my money. These two things will be in future videos as well. However, I wanted to make sure that you understood the purpose of a starter emergency fund before I get into these other videos. Why? Because this is something that will be in your budget and you need to understand what it is.

Now, we’ve talked about statistics and I mentioned briefly about Mindset, Emergency Fund is what you need to know next before we move on. Those were some information segments to get you here and get you started to hold yourself accountable.

The most important part to NOT using your credit card in case of an emergency is making sure you have a small emergency fund in your account. And you are probably asking me WHY YOU CAN’T USE A CREDIT CARD? …. If you are in the process of learning to handle money, then you aren’t ready to be responsible to use a credit card. I am not saying you can’t have them because that is your decision, I am just saying that you should be disciplined enough to know the right way to handle it…That is just me being honest. I was in this situation of being tired of living paycheck to paycheck.. I had to change my mindset and learn to be disciplined and if I continued to use my cards at that time, I wouldn’t be in a better place today.

Moving on…. In the video below, I talk more in depth about a starter emergency and about the amounts you should have that will help you.




#1: We started listing everything for sale in the home that was unnecessary. For example, we had a dining room table and a kitchen table. The kitchen table no one really ever used unless the house was packed with a party. I looked at it, I took a picture of it with my phone, and I listed it on Offer up!! We made over $300 selling items.

#2: One of our high expenses that we encountered was eating out. We cut it out completely for the whole two months then set a reasonable budget for it after.

#3: We participated in a flea market with items that were easier to sell in person, more smaller items, and items that I had couponed. I will remind you that this was over 3 years ago and now I would probably use FB Marketplace, if the flea market isn’t an option. However, we made $350.

#4: I couponed more items to save money and started downloading more rebate apps as well as adding digital coupons of where I was shopping.

BUT, guess what? In the midst of hustling for this ER fund, my car all of a sudden was having issues. The mechanic called us and stated it would cost $400 to fix. And yes, at some moments, you would just want to get upset or kick and scream and hit the CREDIT CARD, but my husband and I looked at each other and laughed. Thank God for the ER fund. So yes, it set us back, but did we use a credit card, NO?! The end of the month, we had received our income tax and we decided that instead of spending it on things we didn’t need, we made sure our starter ER fund was officially funded and that’s where our financial journey officially began.

Watch the video below on more details of a Starter Emergency fund and subscribe to stay up to date with resources.