From Pennies to Wealth …
For about a year now, we’ve had a one month cushion in our budget checking account for our monthly expenses. This checking account holds all of the money for our monthly expenses. Most of our bills are on autopay via this account and some are charged on our joint rewards credit card that we pay off in full every month.
Having a one month cushion in this account allows us to:
- Stay one month ahead.
- Break the paycheck to paycheck cycle.
- Send the same amount of money over from each paycheck
- Have the freedom not to worry about being behind on bills due to late pay or life emergencies.
So, how did we build this 1-month cushion in our account when we started with only $100 extra every month?