When my husband and I got serious about finances, we made a budget and started saving a little money every payday.
It was a start.
About six months down the road, my eyeglasses broke. “Great!” I said, “We have money in our emergency fund!” My husband was completely against using that money and said we would have to put the expense on a credit card. (This was an emergency because I’m legally required to wear glasses when driving.)
We had a huge argument that showed we both had fundamental differences and beliefs about money and how it should be handled.
But then we got inspired! What if we made a loan to ourselves from our emergency fund? We agreed to set our own terms, put them in writing and pay back our fund over and above our regular savings amount! This made us both happy!
We took the amount we borrowed and divided it by 10. We gave ourselves the option of skipping one month (we are benevolent bankers) and we charged ourselves 10% interest (simple) interest.
No credit card was touched, the emergency fund continued to blossom and marital bliss resumed!