There are other ways to cut expenses too. I’ll bet a lot of people (not all, but a lot of them, maybe even a majority) are paying for things they don’t need when they’re living paycheck to paycheck. Things like Spotify, Netflix, fast food, car washes, probably even car payments on a car that is beyond their means or at the least way more car than they need.
Every friend of mine I’ve helped get to a financially stable and responsible point in their life could do it without having to increase their income. Obviously an increase in income makes it a lot easier to do this, but if you don’t have the behaviors down, then you’re just going to creep your lifestyle when you make more money.
You are correct, of course; I’m being facetious because half the comments here seem to be from people who are renting somewhere that costs their entire salary
Also, 6 months may be more than needed depending on your field. If you lost your job today how long would it take you to find a new one? It could be six month but maybe less. I keep 3 months of expenses on hand because it has never taken me more than a month to find a different job.
6 months expenses, not 6 months salary.
When you are living paycheck to paycheck, that number is probably the same.
And when 6 months of expenses exceeds 6 *months of pay?
Then you’re boned without help or better pay.
Had me in the first half. 😢
If your expenses are more than your pay then you can either get a better paying job, cut your expenses by moving, or die
There are other ways to cut expenses too. I’ll bet a lot of people (not all, but a lot of them, maybe even a majority) are paying for things they don’t need when they’re living paycheck to paycheck. Things like Spotify, Netflix, fast food, car washes, probably even car payments on a car that is beyond their means or at the least way more car than they need.
Every friend of mine I’ve helped get to a financially stable and responsible point in their life could do it without having to increase their income. Obviously an increase in income makes it a lot easier to do this, but if you don’t have the behaviors down, then you’re just going to creep your lifestyle when you make more money.
You are correct, of course; I’m being facetious because half the comments here seem to be from people who are renting somewhere that costs their entire salary
I figured as much with death being one of the options. Haha.
And for the people who that is the value?
Then you save 6 months expenses.
Also, 6 months may be more than needed depending on your field. If you lost your job today how long would it take you to find a new one? It could be six month but maybe less. I keep 3 months of expenses on hand because it has never taken me more than a month to find a different job.
Do- do you think I don’t have to spend most of my pay every month just to survive…?