In this episode, we discuss emotions and how they affect our money decisions. Will you do things differently or the same? How has your family affected your relationship with money? These are some questions to explore as you listen to this episode.
Welcome to Money Talk With Tiff, a podcast where we discuss everything money from tips and tricks to current events, follow me on my journey to become debt-free and meet other cool people along the way. I am your host, Tiffany Grant now let's talk money.
I want to talk about something extremely personal. And that's relationships with money. Everybody's experiences with money and their role models with money are different from person to person. So a little bit about how I got interested in money. Growing up, I didn't really have solid financial role models. Everybody in my family is a spender. So, I had to learn how to be a saver, rather than following the same path as everyone else....
The infamous emergency fund! Most people know what it is but do you have anything saved for a rainy day? Right now, I have a little over $1000 saved in case I need it. Why not 3 - 6 months like you read and hear about from financial experts?
Well, the short answer is because I have debt. Would you borrow money at, let's say, 6% interest to fund an emergency fund? I wouldn't. Especially not when it is only making 1.30% sitting in a savings account. My small emergency fund won't be like that forever. I will eventually have a 3 - 6 month emergency fund but I won't start working on that until I have tackled most if not all of my debt. The way the job market is now, if I were to lose my job, it would not be difficult to find another one even if it was something I didn't love to do. So, I feel comfortable having only a little over $1000 to fall back on.
When I first started out, I scraped up that $1000 starter emergency fund very...