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Build a budget, listen to Dave, and hang out with other Dave Ramsey fans!
Once you complete the first
two baby steps, you will have built serious momentum. But don’t start throwing
all your “extra” money into investments quite yet. It’s time to build your full emergency fund. Ask yourself, “What
would it take for me to live for three to six months if I lost my income?” Your
answer to that question is how much you
Use this money for emergencies only: incidents that would have a major impact on you and your family. Keep these savings in a money market account. Remember, this stash of money is not an investment; it is insurance you’re paying to yourself, a buffer between you and life.
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