A survey by CreditDonkey http://www.creditdonkey.com reports that forty-percent of American households have less than $500 in savings...Sweet Jesus...If this is you, your personal financial Panic Meter needs to be set at something like 7.5. Start saving money, right now. Pack your lunch.Cut your utility bills with conservation tactics. Dump the club membership.Look hard at unnecessary insurance coverages(are you paying for full coverage on a ten-year-old car?) Cut the cable and expensive cell phone. Cut your land line service to naked DSL. With a $40-a-month prepaid phone from Wally World and naked DSL, you'll be fine (Just remember to give your address first thing if you have to dial 911.). Use wifi instead of data on a phone(Hint:one is free, the other is costing you big bucks.). Sell some stuff...have a yard sale. Take a second job. Start a little side business. You want six thousand dollars saved and you want it quick. There is no more time, guys.
For those of you with more in savings: Wouldn't it be nice to have a spare six grand? Look around you. See the junk? Sell it. Save the cash, or buy some preps. It's that simple...not easy, but simple..
From a Resilience perspective, people with no resources have great difficulty recovering from adversity. Six grand means that you eat and keep the lights on for three months. Or, you use a little of the money to start a micro-enterprise, or pool some money with others to build something a little larger. Six grand gives you a tiny bit of breathing room (way better than the zero-savings alternative). But let's face it, the Homestead Journal goal of an immediately accessible six thousand dollars (basic eats and lights for three months) is just a bare-bones beginning to what needs to be healthier financial behavior on everyone's part, starting at the point that we all control, our household economy.
Proper preps, a network of friends and family and a little cash will go a long way toward keeping panic at bay