Today’s post is a short one, but it is very very exciting for me. I can finally say that after just over a month of saving I have completed my Emergency Fund! It is so nice to be able to confirm that I have now finished Baby Step 1 and I am ready to get on with Baby Step 2, full speed ahead. If you are wondering what an emergency fund is, you can read about them here.
As I discussed in this post, I have decided to save a £500 emergency fund. This suits my current level of income and outgoings. If my income increases I will save more. Many people choose to save £1000 as is recommended by Dave Ramsey in the Total Money Makeover. As with every personal journey, you have to do what suits you.
Now I’m moving into the debt snowball stage. Full focus is on paying off each of my debts, from smallest to largest. If you read my goals for August 2018 you will know that my Halifax Credit Card is first. The total balance is currently at £390 and so if I can pull in enough work over the next week or so it will be gone by the end of the month. That would be an incredible start to Baby Step 2 for me!
As always, I will keep you posted with my progress. Now I’m off to celebrate my first victory in my debt free journey.