Question

My hubby and I finally combined forces to tackle debt at the beginning of this month! I cannot believe how much easier it is to do it together! I sat down to do bills this pay and we had almost $800 left over! The last two pays my hubby even declined our agreed on allowance to put toward debt instead of frivalous spending! With that all being said. We have $500 in an emergency fund and I know the Dave Ramsey way would be $1000 and TBM does it a little differently but I would rather take the next two months to put extra toward debt! What would you do?  

Answer 1

That's totally up to you (that's the best part about TBM)! I would be more comfortable with a $1000 EF, so I would probably go for that before going after debt.  

Answer 2

If $500 in emergency fund is enough to cover an emergency for you & keep you from using a credit card, then good for you. Go ahead and lay down the debt. But if you think you’ll hit the credit cards if there’s an emergency, then save up more. Or compromise and put $ in both savings and paying off debt.  

Answer 3

Personally I would take $100-200 from the debt to put towards your EF to continue to build it towards $1000 but if you’re comfortable with $500, then put it towards debt!  

Answer 4

I'm nervous about not having enough in EF but by the end of March we could potentially pay off $4000 in debt with the way it's been going this month! Then I was thinking to put my tax return this month or next in EF and his toward debt.