Hello, Wine Eberz. My name is Jesse Meekam, and this is podcast number 126 for You Need a Budget,

where we teach you four rules to help you stop living paycheck to paycheck, get out of

debt and save more money. Today I want to talk about the emergency mode and it's something

that I've experienced multiple times. It comes about when mom is sick in my case, when when we move,

move, that's a big one, or when there's other very disruptive external factors to our flow.

And emergency mode can get very, very expensive.

I'll get you one example, and that is when we moved out to Texas, we were starting our new job.

This was 2006.

And we drove out, totaled our car because we ran over something.

It put a hole in our Chevy Prism. And because we ended up renting a car out there driving it out the rest of the

way to Dallas and then we were shopping for a new car So you felt this emergency because we were

planning on buying one new car and having two total and instead we were having to

buy two new cars and that was a problem. So we had that emergency that had cropped up.

On top of that, though, we also were moving.

So we were putting down a deposit for our apartment.

We were buying staples from the grocery store. We were putting down a

utilities deposit. We were moving things. We were getting a little bit of furniture.

We had all sorts of actually large outflows that were popping up

and we went into a cash flow emergency mode.

And this can be small, like I mentioned

when Julie is sick, and she basically

runs the household top to bottom.

...