Urban Chicago
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Joined: Dec 23, 2010 9:21:48 GMT -5
Posts: 435
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Post by Urban Chicago on Jan 27, 2011 10:22:00 GMT -5
To not save every single month. I posted a week or so ago that I'm considering taking a new job, which means an overall paycut in our house.
I really don't mind the spending cuts, and we do have an EF.
What really bothers me is that if DH does not get consulting work, we won't be saving monthly for the short-term (we'll still be contributing to the 401K, etc... for long-term).
I guess I just need some reassurance that this won't be the end of the world.
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The J
Senior Member
Joined: Dec 18, 2010 11:01:13 GMT -5
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Post by The J on Jan 27, 2011 10:29:10 GMT -5
It's fine. You just have to adjust your plans to fit the situation. You're still saving for the future, which is the most important part.
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resolution
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Joined: Dec 20, 2010 13:09:56 GMT -5
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Post by resolution on Jan 27, 2011 11:48:02 GMT -5
I don't think it is bad to skip short term savings occasionally as long as the long term savings is still going. The danger is that you can't stop short term savings for too long because eventually the EF will become depleted with various "emergencies." You have to have the ability to build it back up again, either through additional income or spending cuts.
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Clever Username
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Joined: Jan 27, 2011 14:15:59 GMT -5
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Post by Clever Username on Jan 27, 2011 14:19:31 GMT -5
Think of this as waves vs. tides. Think of this as weather vs. climate.
The short term is not important. The long term cannot be denied.
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Urban Chicago
Established Member
Joined: Dec 23, 2010 9:21:48 GMT -5
Posts: 435
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Post by Urban Chicago on Jan 28, 2011 11:27:13 GMT -5
I like that clever.
Just want to clarify that we will save if DH can get some consulting work (I'm estimating 80% likelihood that he can earn 1K/month)
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Tiny
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Joined: Dec 29, 2010 21:22:34 GMT -5
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Post by Tiny on Jan 28, 2011 17:17:42 GMT -5
I guess it depends on what the "savings" are for a bill you know is coming or descretionary spending... If you need to save $500 a month to cover the Property Tax bill that comes 2x a year or $250 a month to cover the Car Insurance and House Insurance bills that come around 2x a year... then I'd be alittle nervous if I wasn't able to put that money on the side (or didn't count on my EF covering these things). If the "savings" are for future descretionary spending - like vacation, Holidays, some new gadget, I wouldn't sweat it. You can put off or change your future descretionary spending.
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