Dave Ramsey's Baby Step #3 Explained - 3 to 6 Months of Expenses in Savings
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- เผยแพร่เมื่อ 27 ก.ย. 2024
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Other Videos & Resources Mentioned:
Dave Ramsey's Baby Step #1 Explained: • Dave Ramsey's Baby Ste...
Dave Ramsey's Baby Step #2 Explained - Pay Off Debt: • Dave Ramsey's Baby Ste...
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I love this series, thank you for doing it! I'm a single girl on my own debt free journey and it is so nice to come to TH-cam and have the encouragement that I lack in real life supporters. Nobody gets what I am doing or why but, I'm not going to stop!!! I just have $4500 more to pay off until I'm debt free (I can see the light at the end of the tunnel) and I move onto baby step 3!
Congratulations!! Keep up the good work!!!
Brittany Rice ximmkkmmkkiv
Brittany Rice ximmkkmmkki
How are things now for you financially. Have you been able to get out of debt and actually build wealth?
Updates?
Hearing the breakdown of the baby steps from someone else who follows Dave is great! You all tell the same story, but explain it differently, and it's nice to hear. Thank you!!! You are helping, you truly are :)
This couple is very well spoken. Excellent
I just find you guys today after watching Daves 7 baby steps. Your videos are backing up what i learned watching him. I'm getting my knowledge base built up so I can expose my husband to a new smarter way of doing things. Thank you so much! I have subbed:)
I do love their further explanation into this. My husband and I started the financial peace University class, and then Covid hit. So we didn’t get to watch everything. And they helped me really clear up some questions. One of my biggest question has always been about is the emergency fund your entire income or actual expenses so thank you!
Great video, fam! I have a year saved up for my emergency fund. I am single and feel the need to put controls in place because if things go haywire it is just me.
So thankful I found your channel this week. Every video is wonderful, engaging and relatable. Thank you for being such awesome guides! Such a blessing!
Great video. I feel like bs3 isnt talked about enough. So many people dont realize theres life AFTER paying off all your debt. Aint no one wants to go back to bs2. Thats for Sure!
Thank you so much! This answered a question I've had for awhile. I start FPU tomorrow and can't wait!
Started on my debt free journey 4 years ago 1500 on car left that it. I watch you guys and Dave ramsey!
You guys gave a lot of good tips that make a lot of sense to me!! Thanks for posting! Will download the podcast from Googleplay now! Thanks again!!
Thanks you two Love this series it reinforces ideas that people who know them may have forgot or new people who don't know them you really laid down the guidelines.
Great advice! I have completed Step 1 I was wondering if it would be a good idea to combine Steps 2 & 3 together? Or is better just to finish off Step 2 first, and then move onto Step 3.
Dave Ramsey's plan would say to fully complete baby step 2 before starting step 3. So pay off your debt (everything except your mortgage) before moving on to step 3.
Talaat and Tai,
So only 3-6 months of expenses in my budget? For example if bring home 7k a month, but my expenses only add up to 4k a month. Then I only need to save up between 12-24k?
Abdullah Rasheed yes. The idea being that in an emergency (job loss or whatever), you would be able to pay your rent, utilities, insurance, gas, food etc for 3-6 months.
Thanks for you explanation of b3. My husband and I are working on this step and felt like we need more guidance to figure out a goal so we could be more focused on this step.
Im hoping to do a full year ($5343) of an emergency fund very soon.
TheMysticsoul77 how’s it going? Two years later 🙂
Where do you live where $5343 is a full year?
We would put aside at least six months of savings since we only work seasonally and rely on Employment insurance. We are still on bs2 and are planning on putting a big dent into the debt this year. Love your channel, keep up the great work you are doing.
Thank you for the explanation. I am starting Step #3 soon and your explanation helped.
You are welcome!
Awesome as always.. Not there yet but the explanation is on point! On a side note: Just your commercial on Credit Karma- 'How Do You Approach Money In Your Relationships? - My Money Story'... You guys are *EVERYWHERE*! God is good...
I think saving 3 months in a normal savings account (no risk) is smart. If you want to have more of a safety net toss it in a tax free savings account (Canadian version). You can still take money out if you need it but for the time being it will grow.
You two are such a blessing to me! I love your honesty, your positivity, and your faith that you allow to shine into the darkness for the benefit of God's children. Thank you!
Great video loads of info for people to follow. Just starting baby step 3. Feeling good and up for the goal ahead, £4000 more to go.
It is awesome that his and her money r helping people get out of debt i am starting on my journey in the month of October if the lords will trying 2 catch up on somethings right now but i will be able 2 start then. thank u soooo much.
Great video. Just found your channel and subscribed. Looking forward to viewing your vides. Thanks!
when you save for 3-6 months does that include step 1 or not?
1 month I need €1736,20, so do I need for 3 months €5208,60 or do I need €6208,60?
5208.60
I plan on saving $10000 by the end of 2019. I have 4027 saved so far. I always put in 500 from income tax. I will have 100 auto draft from bi weekly checks into savings. And i will be responsible for just an extra 239 a month from either overtime or uber when i want a break from working which will be easy either way. I also plan to pay down my mortgage not for paying it off at this step, but to get it to the amount where the PMI can finally be canceled which ia just another 5000
I love your channel. You guys really go in depth explaining the baby steps. I'm on step 2 and feel like it will take forever. I only have 2 depts the onw with the higher interest i owe less the lower interest i owe more. Which do i tackle first? Im confused. Help
Thank you very much! If you're following Dave's plan then you would tackle the lowest balance first and not pay attention to the interest rate. However, there are some that tackle the highest interest rate first to save money. The whole idea of paying the smallest balance first is to get a victory under your belt and it will give you momentum to keep going. Hope this helps.
After 3-6 months do I need to continue to save plus 15% for retirement?!??
Just made it to baby step 3 yesterday
What about baby 3b? What would you do...
Is $1000 enough in 2020 for step #1??I feel more comfortable with 3-6 months saved for step #1.🤔🤔🤔
i just realized i am the last comment, I am starting baby step 3 today!
Proud of you 🙂
I'n the long run I'd like to save one years worth of expenses plus a little extra just in case.
You guys are going too fast for me.... But I love the information. I'm just getting confused
My goal is to have a 12 month fully funded (a little over $6,000) emergency fund. That will cover all the bills for my family of three.
TheMysticsoul77 your expenses are 500$ a month?
I have steps 2 and 3 backwards :/
What happens if someone losses their job and you only have $1,000 saved up? This is a little scary .
Do you join the money of this step with the one of baby step 1? or are they in separate bank accounts? Thank you
Get out!
Hearing the breakdown of the baby steps from someone else who follows Dave is great! You all tell the same story, but explain it differently, and it's nice to hear. Thank you!!! You are helping, you truly are :)
This is so great, guys! Thanks for breaking it down. To me, this step is the most difficult.
Tai is beautiful!!
So excited! We’ll be debt free within the next month! Can’t wait to start step 3- Still a little nervous tho!
Hair cut every week? That was a joke, right?
I cut my hair every week. Granted, I'm not paying anyone else.
I love your videos I’m binge watching every day I do have a question would you suggest paying your life insurance and your auto insurance and six-month intervals or 12 month intervals versus monthly in case of emergency?
I love this ! Thank you so much
For me it’s 9 months
I'm already debt free (except mortgage) but you came up in my feed. I'm watching cause you can always learn more about money !!
I did the math to figure out how much extra to pay into the mortgage to pay off in 10 years (retirement). So I can be debt free for retirement. I'm getting out at 62 if it kills me !
I am still trying to get out of debt. I am single, am buying a house and have my own business out of my home so I am trying to save more for than $1,000 for the just incase my heater or air conditioning go out. When I start saving for my 3-6 months I am thinking about saving for 12 months because I am single. My expenses are low so it won't be that hard to save for plus I have to sock away for retirement.
Can I do step 3 before Step 2?
I smell on baby steps 2
What about for single people? I'm 27, living at home, no debt. My expenses are very low right now compared to others. Dave Says 3 months for singles and 6 months if married. What is your take on this? Thank you in advance!!
I like your 8 month idea, but I'd also like to start saving maybe for a house? or since I'm single I would like to use more of my money to travel maybe and investing in different online courses or shopping and the finer things in life (to find a high quality guy). Could I have your view on this too? I live in the suburbs and work in the city. thanks again!!
Oh my! Thank you so much for clarifying the 3 to 6 months fully funded emergency fund. My husband and I went through FPU a few years ago and I was under the assumption that it was 3 to 6 months of our monthly income. My husband's income changes from year to year so this all makes so much sense with the 3 to 6 months expenses. Thank you Tai and Talaat and Blessings!
I had the same misunderstanding for a long time. If you did the steps in order and you don't have any debt payments, it shouldn't be too hard to save the 3-6 months.
Great video y'all! Question about baby step 3. Should my wife and I have 3-6 months of expenses per earner ( in case she loses employment or I lose employment)? Or is it just equal to what our total expenses are to keep the household going from month to month for the 3-6 months? We are blessed to make decent salaries that we could weather a lay-off on one income for a while. Hope my question makes sense. Thanks!