How much should your starter emergency fund amount be? Many times, you will hear that your starter emergency fund should be $1,000. Is that really enough for you? Is that even something that you can realistically attain in order to get started?

As I've said many times on this show, there is no cookie-cutter approach to personal finance. This is yet another example as to why we can't apply the same template to every individual person's unique situation. It's absolutely necessary to take it up a notch and apply a ridiculously easy formula that will help you to determine how much you should have in your own starter emergency fund.

Your homework assignment after listening to this episode is to take a good look at your own starter emergency fund. If you're just getting started, see if you can apply this formula to get to where you need to be. If you've already had your starter emergency fund in place for a while, perhaps it's time to revisit it and see if you need to make some changes. In either case, you will be better prepared for any emergency situations that may arise during the time that you're working your own personal debt payoff strategy. God bless.