21% of those making over $100k are living paycheck to paycheck

[tripods68]

When i said lazy, It was a generallization, there is no OP here.

I understand Matt. In fact, I was the other person that defended you that you are not crazy when you got chastised last time. But you can't make a generalization or stereotype other group of people when you have not walked their shoes. You come off like jerk to some not that I care one way or the other. I'm just pointing out the obvious.

Peace!

[maat55]

I understand Matt. In fact, I was the other person that defended you that you are not crazy when you got chastised last time. But you can't make a generalization or stereotype other group of people when you have not walked their shoes. You come off like jerk to some not that I care one way or the other. I'm just pointing out the obvious.

Peace!

Allow me to use a better word, impatient. When I was building my EF, I wanted real bad to start my Roth, but I went ahead and finished my EF. Today, had I skipped ahead and funded the Roth, I would have lost a good chunk of money.

I'm working on choosing better words, I'll get it down sooner or later. I should clear up something. A few times now I've been called Matt. My name is Mark, maat is initials for my families first names, mark, ashley, alayna & teresa. But I kinda like the name matt.

[disneysteve]

I should clear up something. A few times now I've been called Matt. My name is Mark, maat is initials for my families first names, mark, ashley, alayna & teresa. But I kinda like the name matt.

Thanks for posting this. I've wondered about that. I figured it wasn't Matt, since it wasn't spelled that way.

[tripods68]

I'm working on choosing better words, I'll get it down sooner or later. I should clear up something. A few times now I've been called Matt. My name is Mark, maat is initials for my families first names, mark, ashley, alayna & teresa. But I kinda like the name matt.

I think I'll stick calling you matt

[maat55]

I think I'll stick calling you matt

No problem, camera stand.

[tripods68]

Allow me to use a better word, impatient. When I was building my EF, I wanted real bad to start my Roth, but I went ahead and finished my EF. Today, had I skipped ahead and funded the Roth, I would have lost a good chunk of money.

I'm working on choosing better words, I'll get it down sooner or later. I should clear up something. A few times now I've been called Matt. My name is Mark, maat is initials for my families first names, mark, ashley, alayna & teresa. But I kinda like the name matt.

We have not fully fund our EF only 2 months worth so far without SDI. Our goal is $36K EF (6 months) we got $12K saved so far. But we will continue building it after christmas. In any event, both of us have short term disability insurance to cover 55% of our monthly expenses which stretches our EF to 9-10 months. That's still better than most.

[maat55]

We have not fully fund our EF only 2 months worth so far without SDI. Our goal is $36K EF (6 months) we got $12K saved so far. But we will continue building it after christmas. In any event, both of us have short term disability insurance to cover 55% of our monthly expenses which stretches our EF to 9-10 months. That's still better than most.

Are you basing your EF on expenses or income? 6k is a lot of expenses. I have my survival expenses to 2k a month. We have reached our 12k EF that covers 6 months for us. 36k will be an outstanding EF.

[tripods68]

Our mandatory expenses which include our mortgage, 2nd, car loan, personal loan, utilities, gas, food, car insurance, cable/internet, cell phones and few small items are actually $4K a month. That's gives us 3 months EF instead of 2.

I only say that because it seems to be the "norm" this day. At the end of every month we spend closer to $6K to fund our various accounts like ROTH, IRA, MMA-EF, regular savings/checking account, 529, vacation and x-mas fund. Plus its comforting to know that we have $36K of EF at our own disposal anytime any-day. That's a good thing.

[maat55]

Our mandatory expenses which include our mortgage, 2nd, car loan, personal loan, utilities, gas, food, car insurance, cable/internet, cell phones and few small items are actually $4K a month. That's gives us 3 months EF instead of 2.

I only say that because it seems to be the "norm" this day. At the end of every month we spend closer to $6K to fund our various accounts like ROTH, IRA, MMA-EF, regular savings/checking account, 529, vacation and x-mas fund. Plus its comforting to know that we have $36K of EF at our own disposal anytime any-day. That's a good thing.

My expenses don't include investing. We would continue to invest unless my business completely failed. If I were without income, hers would slow the drain of our EF. If either of us were to be without income, we would probably hold the investment money in savings until the income was restored. I guess it would depend on how the market is doing.

[disneysteve]

Are you basing your EF on expenses or income? 6k is a lot of expenses. I have my survival expenses to 2k a month.

That's really a very individual issue. There's no way we could get our expenses down to 2K/month. I'm at work so I don't have my budget in front of me, but just off the top of my head, I've listed $3,000 in expenses and that doesn't include food, gas, car maintenance or registration, health insurance or several other things that would need to be paid. So we're probably at $4,000 or so, more than double yours. That isn't good or bad - just different.

[MonkeyMama]

Well, I had to clarify, I have a FULL EF, but I choose to invest some of it in my ROTH. There is very sound reasoning for this. I'd say I'd be remiss to not max out my ROTHS. But there are many reasons for this, that I won't go into, but I am defending people who utilzie ROTHs in their efund strategy.

I do admit I have plenty of Efund and plenty of retirement, regardless. IT is a tax shelter strategy, simply. For that, I'd say my situation is wise.

[tripods68]

My expenses don't include investing. We would continue to invest unless my business completely failed. If I were without income, hers would slow the drain of our EF. If either of us were to be without income, we would probably hold the investment money in savings until the income was restored. I guess it would depend on how the market is doing.

That's smart. Just curious, do you have short term disability insurance?

[tripods68]

Are you basing your EF on expenses or income? 6k is a lot of expenses. I have my survival expenses to 2k a month. We have reached our 12k EF that covers 6 months for us. 36k will be an outstanding EF.

I had to double check again our total monthly expenses since I didn't have my spreadsheet in front of me last night.

CORRECTION: Our mandatory expenses is actually $4533 a month based on monthy Net $7533. We spend closer to $6K a month to fund necessary accounts: ROTH/IRA/529/EF/Kids savings account. The remaining $1533 (7533-6000=1533) is our TRUE disposable income. I say that since we have the options to do whatever we want (spend or save) except car repairs so not to dip into our EF. Lately, DW has been on shopping spree with kids cloths for our two toddlers, toys, gifts, etc. Anyway, DW is planning a trip to Asia (just her) next February for couple of weeks so half of that money is saved for that trip. Any other normal months, we really just saved most of that money.

[maat55]

That's smart. Just curious, do you have short term disability insurance?

Thats the one kink in my armour, I've done some reading on it, but have not pulled the trigger yet.

[tripods68]

Thats the one kink in my armour, I've done some reading on it, but have not pulled the trigger yet.

It's definitely worth it to have in case something ever happened.