The thing with implementing an otherwise “doable” financial plan is the unexpected. You might think that you have a bulletproof plan but there are times when life just hits you with a grenade launcher.
That’s probably one thing that I learned after a couple of years trying to implement my financial plan. In a perfect environment I should’ve saved up enough to start paying for a house and a car but for quite a lot of months I find myself channeling part of my savings to replenish my emergency fund.
Car needs repairs. House needs repairs. Medication for the seasonal bouts of illness. There are certainly times when I feel that luck just isn’t on my side. The important thing is that I’ve never let these setbacks throw me off entirely with my financial plan.
My savings are still untouched. My emergency fund replenished. My plans to acquire assets are simply taking a bit more time than planned. But I am not broke.
There’s no reason to throw good money after losing good money. I know a few people who’ve said “F*ck it!” to their savings plans after they were forced to spend on something unexpected.
While it does feel good to just buy yourself something to counter that feeling of “My money’s all going elsewhere other than to me,” binge spending as a way to cope is the worst thing you can do when implementing a financial plan.
Setbacks happen to everyone. If you think that the Joneses are doing much better, statistics would say that they really aren’t. Your neighbor might be driving a much newer car than you but chances are he’s still in the hole paying for it.
So don’t get permanently sidetracked when you get to spend money on emergencies. Emergencies happen and just sort things out the best way you can so you can get back saving for that first million.
