Why We Have An Emergency Fund (Or The Night Our Van Died Far, Far From Home!)

In the next few days there will be a multitude of New Year resolution posts hitting the blogosphere. I'm mulling over mine. Many resolutions will include financial goals for 2010. I really don't like posting too much about money, although I'm not too shy about discussing the fact that we live on a teacher salary with about 20% of that salary going towards child support while paying off law school student loans. Thus when I hear someone say they just "can't afford" something while paying for cable TV, two cars, a motorcycle, and pre-school for a toddler... I have to laugh!

It isn't that there isn't money. The money is there (obviously). It is the priorities that are all messed up. Cable TV and pre-school, in my book, are NOT necessities.

But I digress (BIG TIME)....

Over the past three weeks we've had to dip into our emergency fund to fix up our ten year old van. It is the only vehicle we have and it has been paid off for about two years now. We'd love for it to last another few years so we have time to save up to pay cash for a new one. Tonight the van died when we were 30 minutes from home, with all 3 kids piled in the car and it was dark. Thankfully my parents were with us in their car and my kind sister was able to help us haul everyone home while our beloved van was towed.

I'm annoyed that we have to dip into our emergency fund AGAIN, but that is why we have it! It's not for cable TV or pre-school, it's for true emergencies. So if you are looking for a financial goal for 2010, may I humbly suggest an emergency fund. Dave Ramsey suggests starting with $1,000 in the fund. We like to keep a bit more because of our aging van and two young children. But honestly, any bit of money set aside helps stressful evenings like tonight be less stressful.


We got to look at pretty lights while Our Hero (AKA Daddy)waited for the tow truck!