Build Your Emergency Fund NOW/Preparing for An Emergency/SAVING MONEY - YouTube

welcome to the next episode  of pajama drama welcome back  

today we're talking about building your  emergency phone oh your your emergency phone  

let's try that again today we're talking  about how to build your emergency fund  

not the itty bitty little starter one i'm talking  about the full enchilada 3 to 6 maybe even 12  

months of expenses but first i'm going to share  a little story that'll probably take you off

as i said we're going to talk about building your  emergency fund and why this should be a priority  

of yours i think after everything we all just went  through we probably already know an emergency fund  

is very important it will protect you against  worst case scenarios and you'll just always be  

set up in case something happens because we  never know when something's going to happen  

i wanted to share a little personal story to  illustrate another reason an emergency fund  

could be really important i wish i would have  kept the name and number of this woman because  

what she said to me if i didn't have higher  self-esteem if i didn't know a little bit  

better could have literally kept me in  a horrible situation if i had listened  

to this terrible woman's advice back when  i knew my marriage was going to be ending  

which is one of the worst things you can ever  go through and i don't get into the details of  

course you guys know i have nothing but the utmost  respect for my son's dad you guys know this you  

will never hear a bad word out of my mouth about  him we co-parent great and he is an amazing dad  

but when this all happened obviously things  happened to get to the point where the marriage  

was ending or else it wouldn't end if you've  never been through this before which i had  

never been through this before and never imagined  that i ever would go through it i was reaching for  

what am i supposed to do how am i supposed to  handle this i was really looking for guidance  

so i had been scrolling online looking for  lawyers and you know what steps should i be taking  

what's the best way to handle this and i reached  out to this female lawyer down in florida because  

she said that she would give free consultations  and really help you get on the right foot if  

this is something you're thinking about yeah right  foot okay this is true pajama drama tonight people  

this was so wrong so i called up this lawyer  name not mentioned in this video and i wanted  

to set up a consultation a free consultation  as she advertised to explain my situation  

and get a little bit of advice on what to do next  the words that came out of this woman's mouth

should never come out of anyone's mouth  when you're talking to a woman who has  

just had a baby who is emotionally devastated  and is really looking for some help  

i know she doesn't know me and the kind of person  that i am but not knowing anything about me  

she started asking some questions i explained  that we were looking to end the marriage  

that i had a baby and she literally said  to me it might just be your hormones

now listen i know after you have a baby your  hormones are a little nuts leading into it  

after but this wasn't like it's just that time  of the month that i'm a little crazy right now

you guys know i'm not a spontaneous person i'm  not a fly by the seat of my pants person i'm not  

a make a decision without having full information  kind of person i am a calculated pre-planner  

and if i'm making a big decision it's because a  lot of thought months maybe even years put into  

a decision before it's actually put into  fruition so for this woman to basically dismiss  

the fact that we wanted to end our marriage  because i was hormonal was appalling i said  

let's just get around the fact that maybe  it's not just my hormones in my situation  

can we discuss a little further what would happen  and she was like well how much money do you have  

which was obviously not much she's like well  then how are you going to pay for things  

it's like with a job she's like where are you  gonna live and i'm like well these are all the  

things that i'm you know and she was like i'm  not even kidding you guys she was like i don't  

know what you think you're going through  but what do you want to be a single mother  

like i'd be the first one on the planet and  like this was the worst thing in the world  

i was like well it does look like that's what is  about to happen and not knowing anything about  

my situation i'm not kidding like not knowing if i  was in a safe situation which i was by the way but  

not knowing any of the dynamics of this she said  i really think you just need to get over yourself  

and figure this out and stay together with him  because i mean otherwise what are you gonna do

this was the advice of a successful  female lawyer in orlando to me  

again a person with lower self-esteem a person  that couldn't see their way around at this point  

could have really stuck with the situation  that was not healthy for the relationship  

because of this terrible terrible advice from  a so-called expert i feel like there was more  

to this conversation but i'm just giving you the  highlights suffice to say it was horrifying that  

this is what this woman was dishing out for advice  i know right now you're going kate what does this  

exactly have to do with the emergency fund but i  promise you i'm getting there but i do want you to  

know if you are a person right now that is on the  verge of divorce or thinking about it or you're in  

a a marriage that is no longer healthy for the two  of you and you're looking for ways to get out of  

it there are ways to get out of it and now this  is providing it's not a safety issue let's just  

talk about run-of-the-mill unhappy perhaps you  know things happening that are not safety related  

that's a whole other issue but if you are looking  to end your marriage and you're looking for ways  

to successfully succeed there are ways to  do it or else i wouldn't be here right now  

being a single parent is not worst case scenario  being a single parent should not carry the stigma  

that it once did or should have ever really  been and i want you to know hear me right  

now if you're a person struggling and  you're like well i can't do this because  

i won't be able to afford it i will tell you it  is going to be hard and it's going to take some  

hard work but there are ways to get there again or  else i wouldn't be here talking to you right now  

so please do not feel helpless and  please do not listen to crappy advice  

from people that don't care about you  please know that before i continue  

but moving on the point being i don't want any  of you watching this to ever ever feel in that  

hopeless desperate terrible dark place that  i was feeling at that time and i think that  

one of the ways to prevent this is to have an  emergency fund this might not be your situation  

you might be single and blissfully happy you  might be in a super happy super healthy marriage  

and this is not on your radar but there are  other things there's job loss there's pandemics  

there's lots of things that can happen there's  illness there's things that can come up and if  

you are not prepared it will be way more stressful  than if you were prepared and i want to talk about  

being as prepared as possible so you never have  to be in a hopeless place i just rewatched the  

video i did on your starter emergency fund  which is the goal of a thousand dollars  

to start off with if you haven't seen that video  i will leave it at the very end of this video you  

don't have to go watch it right this second i will  leave it at the very end for you to watch next  

you should start there and then we'll eventually  move to this which is your three to six months  

maybe even 12 months if you can get there but  starting with three to six months in case an  

emergency happens emergency again for our purposes  is job loss medical bills that are unexpected  

something big not christmas not you want a new  handbag i'm talking amer gen c the video that  

you're gonna watch on the starter emergency fund  is step one of this and then what you'll do is  

just build on it later okay so if you follow dave  ramsey he suggests having a starter emergency fund  

of a thousand dollars baby step two is to get  rid of all your debt except the house step three  

is your full emergency fund which is three to  six months expenses and then the extreme on  

that is like 12 but start with three to six like  i just said watch that video because i'm gonna  

give you some tips in there on how to get that  emergency fund started and why it's important  

but now just for all the examples i just gave you  prior to this and the story that i just gave you  

having an emergency fund can save you in so many  different ways and really help the k squad not  

have sleepless nights and just live a better life  when you are prepared and you don't feel like you  

have to make decisions out of fear if you have  a three to six month emergency fund stored up  

you know when disaster strikes you've got three  to six months and that is a game changer you don't  

have to operate out of fear you don't have to make  decisions out of fear i can't stress enough to you  

how important this emergency fund is and how much  peace of mind it will offer you if you want the  

full details of how i was able to save up thirty  thousand dollars twenty thousand to pay off my car  

and ten thousand for my emergency fund i will  leave a video at the very end that will give  

exact details on what i do how i budget and how  i got there so please watch that at the end so  

when we're done this video watch the one thousand  dollar starter emergency fund video and this other  

one i will leave them both at the end so you can  watch them today i'm just going to focus on two  

things to add in addition to those videos i really  think those are going to be super helpful but the  

other two things that i want to add is number one  something i'm learning from the book that we are  

reading together as a k squad on sundays which  is book club we meet every single sunday except  

if it's a holiday on sundays at 10 a.m eastern  standard time to discuss the book of the month  

right now we're reading this i will teach you to  be rich by ramit sethi and he offers the 10 rules  

for a rich life and what i'm going to do right  now is just highlight number two in order to  

get the most bang for your buck i would say  he says focus on the big wins the five to ten  

things that get you disproportionate results  including automating your savings and investing  

finding a job you love and negotiating your salary  get the big wins right and you can order as many  

lattes as you want the reason i bring this up  is if you can get some of the big wins in guys  

if you are joining us on sunday please join us  for more on all this information but if you can  

get a job that pays well if you can automate your  savings so you're saving every single month there  

are so many things that you can do to get the big  wins out of the way and then you will have again  

disproportionate results if you can get those  things right to start with the second way would be  

to focus on one thing to get some momentum  going for your emergency fund for example  

i don't know why this stands out in my head but  i had a friend that was trying to lose weight and  

she lost a ton of weight and i said girl what did  you do and she said i literally only cut out soda  

that's the one thing she was doing that was  contributing to the weight she drank it around the  

clock and all she did was eliminate soda that's  literally all she did and boom the weight fell off  

so what i'm going to recommend maybe a quick  way to build that emergency fund up as quick  

as you can is to maybe find your one thing that  you're spending excessively on and then i also  

wanted to offer perhaps switching it up either  weekly or monthly until you get there so say  

one month you're like we're not eating out this  month and you don't go out to eat at restaurants  

for the month but you know the next month you're  gonna be able to do that but the next one you're  

gonna cut out getting coffee every week standard  example or maybe you buy clothes all the time so  

maybe one week you say i'm not buying clothes  this week whatever your kryptonite is whatever  

the thing is that you spend money might i suggest  just trying to either do it for a month or a week  

wherever you can stand to cut it out to get  there faster to save the money faster month would  

probably make the most sense but if you can't go  a month switch it up weekly or bi-weekly whatever  

works for you cut that thing out so you can build  up your emergency fund as fast as possible on top  

of that i have endless frugal living videos  if you click on my playlist frugal living or  

budgeting saving money there's lots more to watch  i have hours and hours of tips that can be helpful  

if this is something you are working toward but  again i can't stress enough how an emergency fund  

can change your life and put your heart your mind  and everything at peace and really cut down on the  

financial anxiety if you know what i mean i don't  ever i don't ever want a member of the k squad  

to feel the way i felt the day of that  conversation i really felt in a hopeless place  

and i don't ever want you to feel that way i  want to be there for you and i want to offer  

solutions to get you to your goals i hope  you got some value out of today's video  

now is your turn please leave in the comments your  strategy or one of your best tips that helped you  

save your emergency fund or if you don't have  one what's the one thing you're gonna focus on  

to get one if you're not subscribed yet i'd love  to welcome you to the family just hit that red  

subscribe button smash that thumbs up if you like  this kind of content and want to watch some more  

and also hit that little bell icon so that you're  notified each time i upload thank you so much for  

watching i will see you in the next video have  a great day everyone and please remember you are  

never in a hopeless place there are always ways  that you can get to where you need to go reach  

out for help to the right people you are never  alone i love you guys i'll see you next time bye