How I did it: I got myself to stick to a budget (see my other completed goals) at the same time that I did this, so that helped.  I guess, for me, the biggest hurdle was just getting in the habit of saving money.  So, the best thing I did was open a money market with no minimum balance or required monthly transactions (no pressure, no penalty for not getting it faster) and just start getting in the habit of saving.  I'd put away $5 here and there, maybe once or twice a month, maybe not any at all for a while.  But after time, the amount started to grow.  It wasn't much, but I was saving.  I had $25 saved, then $50, then suddenly I was in triple digits, thinking, "How did that happen?"  Then, at some point, I got hooked.  Saving not only became habit for me, it was almost an addiction.  I began to enjoy watching that number grow.  Now, I've reached a number in the thousands that I'm comfortable with, and I officially have a safety net.  I continue to save what I can, when I can.  And I'm not always worried about the "what ifs."  No matter what happens, I've at least got a sizable down payment for it, if nothing else.  But most emergencies can be covered easily.

Resources: I found a money market with no minimum balance and no withdrawal fees that I could access online and link directly to my checking account for easy transfers (check out VirtualBank.com).  I also swear by Mint.com, which helps me keep track of all of my finances in one place for free.

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Feb 02, 2009, 08:45AM PST | 0 comments | 2 cheers