Emergency fund
Poll
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22 members have voted
So, how much liquid cash or easily turned into liquid cash assets do you have? Decide for your self what 'easily' means. To me, selling your car would not be 'easily'.
as for emergency fund:
cash wise, a few months expenses.
but I can also sell non-retirement stocks.
and of course, I could stop going to the casino :)
6-12 months of expenses
Quote: gamerfreakNone of that.
6-12 months of expenses
I know a smart person (like you) think that way, because 'expenses' is what you need the money for, and is of course not necessarily tied directly to your income. The reason I asked the question the way I did was to parallel the desperation these Federal Workers had due to missing a few weeks worth of checks, even with them knowing it was temporary.
Quote: SOOPOOI know a smart person (like you) think that way, because 'expenses' is what you need the money for, and is of course not necessarily tied directly to your income. The reason I asked the question the way I did was to parallel the desperation these Federal Workers had due to missing a few weeks worth of checks, even with them knowing it was temporary.
Fulltime TSA agents make about $40,000 a year. You might make that in a month. Slight difference. Coast Guard families are often just above the poverty line when they get their paychecks regularly.
At my BIL's limo company, occasionally something will cause the payroll to be a day or two late. You'd be shocked how many drivers panic when it happens.
Far too many people live paycheck to paycheck, especially ones that think they have a steady gig.
This shutdown happening right after people spent for the holidays was a double whammy.
Happens alot in the military. When I was in the military I made 2* my monthly pay by lending 60 for 80 on payday. I had dozens of regular customers.
I used to have dual income inside the beltway government workers with household incomes of 20k per month financing 5-10k purchases when I ran my business in Virginia. Was always interesting to see the litany of open accounts and balances these people carried.
I see wealth not in the amount of one's net worth so much as the amount of time one can carry themself into the future with no further source of income. Everything is relative.
Most of the professional AP's that I know could probably do a number of years.
Fire the lot of them. Their existence disgusts me. I am related to one that openly admits the reason he keeps working there is to grope women. Me losing my 4th, and making GW's buddy Mike Chertoff obscenely wealthy, is the wrong way to go about securing air travel.Quote: billryanFulltime TSA agents make about $40,000 a year.
Coasties do fine. I tell any teenager that doesn't have a firm direction, to join the guard. First day on the job they have 3 hots and a cot, medical, dental etc. They get so much useful training, for a great job after service, it's a great way to travel and get experience and learn several high paying crafts, including aircraft/helo maintenance. I have several friends in the guard, retired guard etc. They do fine.Quote:...Coast Guard families are often just above the poverty line when they get their paychecks regularly.
Here's another way to look at the shutdown and starving gubmint workers. Workers in the private sector have to work over 5 months every year, for free, to pay the taxes that support this country.Quote:At my BIL's limo company, occasionally something will cause the payroll to be a day or two late. You'd be shocked how many drivers panic when it happens.
Far too many people live paycheck to paycheck, especially ones that think they have a steady gig.
This shutdown happening right after people spent for the holidays was a double whammy.
Quote: billryanFulltime TSA agents make about $40,000 a year. You might make that in a month. Slight difference. Coast Guard families are often just above the poverty line when they get their paychecks regularly.
At my BIL's limo company, occasionally something will cause the payroll to be a day or two late. You'd be shocked how many drivers panic when it happens.
Far too many people live paycheck to paycheck, especially ones that think they have a steady gig.
This shutdown happening right after people spent for the holidays was a double whammy.
Fair enough. But I grew up I guess what would now be called 'poor'. My single working mother would have enough savings to withstand missing two paychecks. Especially if she knew it was temporary.
I have partners who make the same salary I do, and when our quarterly bonus check ( not really a bonus, it is the same every quarter) was late by a month or so some of my partners were crying in pain. Inability to plan does span many income levels.
Quote: billryanFulltime TSA agents make about $40,000 a year. You might make that in a month. Slight difference. Coast Guard families are often just above the poverty line when they get their paychecks regularly.
At my BIL's limo company, occasionally something will cause the payroll to be a day or two late. You'd be shocked how many drivers panic when it happens.
Far too many people live paycheck to paycheck, especially ones that think they have a steady gig.
This shutdown happening right after people spent for the holidays was a double whammy.
When it first started happening I felt no empathy for them because many government workers make a good salary. If they dont have money put aside then that is on them. However, most of the government workers like tsa, tax processors, and those lower end jobs only pay 12-18 an hour. Those are the people getting hurt the most.
I heard an interview a few months ago about many baseball players living paycheck to paycheck.
As for the question at hand, I barely have enough to pay Bill's let alone any savings. Hopefully the new business will change that but if the business were to fail, we would be screwed.
Even though much of my income is through AP, not all of it is. I have other investments that (in theory at least) will make me money — but that’s a long term thing, not immediate. My AP earnings are diversified a bit, although I’d like to be a little more diversified. As the Ancient Hawaiians used to say — you can’t skin two cats with one knife and eat them too.
As far as how many years I’d be okay with without making any income, I don’t really know. Without a doubt, absolute bare minimum is 5 years. Realistically, more than that. If some reason everything went to absolute s*** (like if I lost all my money and investments, all AP dried up everywhere, and have no other options), I could always fall back on going to a casino and dealing.
Quote: RogerKintI have about ten months worth of expenses stored in two pieces of furniture in my personal residence. Don't tell anyone k?
I have a fabulous furniture moving service😀
Quote: RogerKintI have about ten months worth of expenses stored in two pieces of furniture in my personal residence. Don't tell anyone k?
Since when are clown shoes considered to be furniture?
Quote: MaxPenI have a fabulous furniture moving service😀
Good luck trying to penetrate a furniture safe and I only give the code to ex cons.
wait.. he said it was 10months worth?Quote: RogerKintI have about ten months worth of expenses stored in two pieces of furniture in my personal residence. Don't tell anyone k?
damn.. I missed that part of his post
If it came down to an emergency that I couldn't cover with cash on hand, I would go to my in laws for a loan. We've discussed it and they're amenable. Some would say don't borrow money from family...I have never done it, but I think with a written agreement and terms it would work without blowing the relationship.
If I didn't have that safety net, I would aim for 6 months in cash, but it's painful watching that much cash on the sidelines. At least interest rates on money markets are getting up around 3% now, woooo almost keeping pace with inflation! But I'd rather have it in my balanced equity/bond portfolio.
1. You making money for yourself. EG: High paying job.
2. Other people making money for you. EG: Starting a business.
3. Money making money for you. EG: Investments
Quote: GWAEI heard an interview a few months ago about many baseball players living paycheck to paycheck.
I say let's start a GO FUND ME account for those poor baseball players. Did you know that some of them only get paid the league minimum of $555,000 per year. That is barely enough to feed a family.
Quote: RSSpeaking of which, I watched some interesting YouTube videos last night about investing and becoming wealthy. Usually they’re pretty hoaky videos, but one was kind of good nonetheless (still kinda hoaky). I didn’t search them out, it was next on recommended list.
1. You making money for yourself. EG: High paying job.
2. Other people making money for you. EG: Starting a business.
3. Money making money for you. EG: Investments
Those aren't either/or situations. Work on getting one and two down and three will take care of itself.
Is doing what you love really a job?
Quote: billryanThose aren't either/or situations. Work on getting one and two down and three will take care of itself.
Is doing what you love really a job?
I didn’t say they’re either/or situations, nor is doing what you love a job. That was an example.
The point is, it’s really hard to start a business without any money. And it’s hard to truly invest money if you don’t have a sufficient income.
If you don't have any expertise, there are a million government programs out there just dying to help you. Do stupid shit and become a you tube star, then sell your own line of stunt wear.
Quote: billryanWhat is so hard about opening a business? There are thousands of businesses you can start out of your home. You can use your expertise to be a consultant.
If you don't have any expertise, there are a million government programs out there just dying to help you. Do stupid shit and become a you tube star, then sell your own line of stunt wear.
Easier said than done. 20% of new business's fail in 1st year. 50% are gone after 5 years.
Quote: jackmagic777Easier said than done. 20% of new business's fail in 1st year. 50% are gone after 5 years.
That has what to do with opening a business? Opening a business and having a successful one are two different things. I've been in my share of both, sometimes at the same time.
At a seminar last year, a guest speaker spoke about a guy who was out of work and inquired about getting some flyers made up advertising himself as a handyman.
The printer liked the guy and his initiative and offered to make them for free in exchange for the guy also distributing a flyer of his own. Once he had a reliable person to deliver the flyers, the printer was able to get some of his other customers to make flyers for the man to distribute. The two men ended up running a early version of the PennySaver.
Here is another stat- 80% of third generation business's fail. I have no idea where that comes from but my Uncles repeated it incessantly in explaining their reluctance to give us a chance to take over the business my Grandfather started.
Quote: petroglyphI have enough money to retire Monday if I don't live past Friday.
You can live 3 days longer then me
Quote: GWAEYou can live 3 days longer then me
GWAE I have to say you probably make me laugh more than anyone else who posts here. Thanks for that
I’ll gladly pay you Tuesday for a hamburger today.Quote: GWAEYou can live 3 days longer then me
Quote: PokerGrinderGWAE I have to say you probably make me laugh more than anyone else who posts here. Thanks for that
Thanks I think. Next time you pass through we should get a beer so you can see how boring I am
Quote: GWAEThanks I think. Next time you pass through we should get a beer so you can see how boring I am
That was 100% my plan next time I’m in your area. I wish I had known you were based out of Pittsburgh last time I was there. If I remember correctly you told me a couple hours before I was set to leave the state lol.
Quote: PokerGrinderThat was 100% my plan next time I’m in your area. I wish I had known you were based out of Pittsburgh last time I was there. If I remember correctly you told me a couple hours before I was set to leave the state lol.
TIL Pittsburgh is a state.
Quote: petroglyphFire the lot of them. Their existence disgusts me. I am related to one that openly admits the reason he keeps working there is to grope women. Me losing my 4th, and making GW's buddy Mike Chertoff obscenely wealthy, is the wrong way to go about securing air travel.
Coasties do fine. I tell any teenager that doesn't have a firm direction, to join the guard. First day on the job they have 3 hots and a cot, medical, dental etc. They get so much useful training, for a great job after service, it's a great way to travel and get experience and learn several high paying crafts, including aircraft/helo maintenance. I have several friends in the guard, retired guard etc. They do fine.
Here's another way to look at the shutdown and starving gubmint workers. Workers in the private sector have to work over 5 months every year, for free, to pay the taxes that support this country.
Do you think federal workers don't pay taxes? We do. I paid more in income taxes for 10 years than my 3 private sector siblings combined, as it happened, and more for 25 years than 2 of them combined. Probably still am doing the latter, in retirement. Paid full SS/Medicare taxes, retirement funding, savings, health insurance, etc. My net was only 42% of my gross every two weeks before I retired. And I pay income taxes on retirement, too. And income tax revenue paid 0% of my salary or retirement since 1998.
Part of the shutdown problem was the uncertainty of it - Trump saying months, maybe a year, McConnell refusing to hold a vote after Trump lied to him, nobody in negotiations. How was anybody supposed to plan for that?
Also, coming right at the holidays without warning, people had budgeted Christmas money out of those paychecks, property taxes and other annual required payments like insurance or school tuition.
And that's just federal employees. 1.2 million contractors will never get paid. Thousands of businesses that rely on federal workers' custom in nearby buildings will never recover theit lost income. We don't live in isolation.
I just don't get the general resentment towards these people who were caught unprepared. They were pawns in a pissing contest that started under all-Republican disfunction and continued under a divided government. It's not even finished - just a temporary reprieve.
Quote: RSTIL Pittsburgh is a state.
Read it again RS. I said I was leaving the state not that Pittsburgh is a state.
BS. Mr. Frugal. You are always crying poor.Quote: GWAE
As for the question at hand, I barely have enough to pay Bill's let alone any savings.
Quote: AxelWolfBS. Mr. Frugal. You are always crying poor.
Well here's the thing. For a family of 4 we are in poverty by federal standards. However our region is really cheap to live in and we do live cheaply. However we have no savings and live pay to pay. Those months with 3 pays are huge for us. Going out to dinner is something that is always a bonus but even with that we really can only swing going to lower end places and even at those places we have to be careful. With saying that I guess we are technically not poor as in the sends where we have to worry about if we will have food next week, we just do without the extras. Last week I had to pay for baseball for the 2 kids. It was $240 and that sucked.
Sadly enough with all the talk about the shutdown the news has been talking a lot about how people live. It appears from the reports that 78% of people live pay to pay and 68% have no savings. Or maybe I have those backwards.
