We are officially up to Baby Step Three – saving for our six month emergency fund. Our baby fund of $1,000 is done and our debt is all paid off. Granted, we didn’t have much and we used our tax refund to pay it off, but it feels good just the same. Our six month fund will be at least $10,000 and it does feel a little bit daunting, but it’s good to have a plan. With the raise Mike got last month, we should reach this goal within a year or so. We will have to use some money to fix things around the house, but we will be sticking to our fairly strict written budget without a lot of luxuries. We agreed to $50 spending money for each of us per month and I fully intend to use the first $10 or so on going for sushi by myself sometime soon. After going two months without much in the way of “me-money”, I’m ready for just a little bit of fun. We will try to stick to one date night a month and no other meals out, but we may use our personal spending for going out on our own or pooling it together if we haven’t used it already by the end of the month. Dave Ramsey stresses the importance of using a little bit of your money for fun and I know how important this is. It doesn’t mean using much, just having a bit that I can use to buy a coffee now and again or enjoy a small meal on my own when Jenny goes to kids club on Wednesday nights.
Anyway, YAY for being debt free and planning to stay that way!!