Lesson Learned #2: It pays to have a financial safety net
Up until about 2 years ago, the only savings I had was my “Christmas savings” — the $75ish dollars I put away every two weeks in anticipation of holiday travel and Christmas presents. I was a carefree 25-yr old who spent every penny I made on beer, wine and other miscellaneous things that I can’t even recall.
I figured that at the age of 25, I had to get serious about my finances so I started my “emergency fund” with $1000 and started to really pay off the credit card debt I accumulated while in college. 
When I got laid off 2.5ish months ago, I didn’t have any credit card debt and my emergency fund was big enough to carry me over around 7 months without any income. With my severance and all that, it’s grown to a little over a year. Since I was fortunate enough to find a good job in a short amount of time, I can take the extra $$ and put it towards my Someday-I-Might-Actually-Get-Over-My-Committment-Issues-And-Buy-A-House fund. 
I think if I didn’t have my emergency fund that I started a couple of years ago, I would NOT have enjoyed my FUNemployment as much as I did. Before I interviewed for my new job, I even considered just taking another 2-3 months off to just hang out, and explore the museums and things in my area because I wasn’t worried about not being able to pay rent or anything.
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8 users responded in this post
Hi – it’s been a while since I was around the Blogosphere so just trying to catch up.
I’m in the middle of repaying debts and trying to save up an emergency fund and your article has just made me more determined
Daisy’s last blog post..It’s like a rainforest here
Hey Daisy!!! I was wondering where you disappeared to! Good luck w/ your financial goals! You can do it! You can do it!
You speak the truth. Thank God for my emergency fund. Between that and unemployment, I’m doing just fine. Of course I’ll d a job soon. But I’m not strapped for cash and that’s one less thing I worry about. It’s confirmed for me the importance of “saving for a rainy day.”
Mr. C and I worked hard to pay off our credit card debts (I think we had around 14k from when we were in college!) and luckily we got it paid off in November of last year. We were able to save a little bit before I got let go in February, and you are so right. EVERYONE needs a financial safety net!
Jennifer’s last blog post..Attn: I like shopping again.
I’ve always been saving up, since I started getting an allowance at the young age of 12. At first I was saving up to buy a camera, but then I got a camera as a present and after that, I never really knew what I was saving for.
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Akirah — that’s so true. My parents always told me to save for a rainy day and I don’t think it’s not that I believed them, I just didn’t do it early on. I’m glad I started when I did though! I hope you find a job you love soon!
Jennifer — Yea, I think when I graduated I had around 9K on the cards. I was SOOOOOOO BAD! I am glad I paid it all off when I did though! I’m glad it worked out for you too, and I also hope you find something you love really soon!!
Sassy – that is soooooooo smart of you! When I was a teen, I had a job a couple of years in high school, and I foolishly blew all that money on clothes I won’t wear, shoes that have all been donated to Good Will, and other things that I can’t even remember. I wish now I had started saving sooner. Oh well, better late than never I suppose
My savings has $500. That’s it. I couldn’t even pay one month of bills with that. I’d be doomed.
Which is why I’m trying to save more. At Christmastime, I depleted most of my savings and had to start over. Hopefully it can keep growing, but it’s so hard to save when I live nearly paycheck to paycheck.
MinD’s last blog post..Take your dog to work day!
hey! This echos what I did exactly! At 24 I had nothing in terms of savings, and over the last 3 years, I have accumulated enough to lay down a deposit for a house in a decent area – the value of saving from a young age is just not talked about enough!
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