Baby Step #1: Begin Emergency Fund

When Carole and I first met and were comfortable enough with one another to talk about money, we discovered that we both didn’t want to live with debt.

Proverbs 22:7 says “The rich ruleth over the poor, and the borrower is servant to the lender.”

After we were married we decided to tackle this debt deal head on. Of course I was shocked when I discovered that this wonderful woman had zero debt. I on the other hand was buried under $25,000.00 in Debt. That is exactly what it felt like, the whole world on top of me.

This is where we will begin. Carole and I had to come up with a plan. New York Times best selling author, radio host, speaker and financial guru Dave Ramsey teaches people to take control and with Gazelle intense focus tackle and eliminate your debt, build wealth and give like no one else.

The first thing you must do is decide that you want to be completely debt free. Being debt free means that you have everything paid off except your mortgage or everything paid off including your mortgage. Imagine how much you can give, save,invest and spend if you didn’t have any debt. You could literally change your family tree.

If you are married, both husband and wife must agree to take this journey together. Not agreeing will make it extremely difficult, if not impossible to reach your financial goals. Singles must find an accountability partner, someone they trust, like a parent, uncle or pastor.

Second, you must decide not to go into debt while you are getting out of debt. You can’t get out of a hole if you continue to dig out the bottom.

Dave Ramsey developed the “Seven Baby Steps” to financial freedom. We would like to introduce them to you, one step at a time.

Baby Step #1 – Save $1000.00 as a “Emergency Fund”. As quickly as you can, save one thousand dollars that can be used if an emergency were to arise. You must be firm when determining if you have a legitimate emergency. This Step will keep you from automatically swiping your credit card every time something pops up.

This is a critical step and once you take it you will be ready to get rid of all debt, minus your mortgage as quickly as possible.

Destroy the Debt from Your Life and Enjoy Less Stress!!

We will introduce Baby Step #2 – the Debt Snowball in the next blog.

“The Borrower truly is, Servant to the lender.”

Are you ready to be set free?

Seek God’s wisdom and trust His guidance and you will be set free.


Visit Dave Ramsey’s web site to learn more about the Baby Steps and his program for Military Families.

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