How much should my emergency fund be while paying off debt?

R

robbaenglesmtzaid

New Member
Emergency Fund Goals?
I’m curious, and I’d really love to be encouraged by your current emergency fund goals. I currently have $3,200 saved, and my goal is to reach $5,000 by June while continuing to pay down debt.

What’s your current emergency fund (if you’re comfortable shraing), and what’s your goal for the first half of the year? Or are you prioritizing debt right now?

Would love to hear what everyone’s working toward!
 
Between my wife and me, we have about 70k in cash savings. We own two 2024 cars outright, paid for in cash, and our only debt is our house. No other debt. We’re in our mid 30s. We are so deeply, incredibly proud of this, because not long ago we had 30 grand in credit card debt and were completely buried.
 
My current goal is to get up to 1,000. Right now, we don’t have any.

Our ultimate goal is to have an emergency fund for 6–13 months of expenses. We also want separate funds for things like car and home repairs.
 
We’ve got $19k of $21k collected right now (~3 months of expenses), and we should finish it next month either by normal saving or our tax refund.

Once we finish, we’ll probably start saving up our annual vacation fund for the first time ($4k). After that, we’ll talk about hwo we want to allocate our savings to debt, retirement, and fun money. I’m thinking 70 23 7, since we’re in our late 30s and feel late to retirement.
 
I've read different amounts, but most say 3–6 months of expenses. My goal is to get to a year's worth. Put what you can away... even if it's $5 a month. You got this! What are you aiming for?
 
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