Gather Little by Little

What I call Life Basics are the following:

• Housing or shelter
• Food
• Clothing
• Transportation

These are the items or expenses that above all others, must get paid first. Life Basics are used in the following scenarios:

• When you have an income that varies from month to month. In your budget, you pay your Life Basic expenses first, then other expenses.
• When you are faced with a major financial crisis and can only pay some of your expenses and bills and not all of them.

Let me give you an example. You go to work one day, only to find that you have been laid off. You have little or no savings, and received only a small severance (if any at all).

Over the next few weeks, you still haven’t found a job and your bills are due, but you don’t have the money to pay them all. You pay housing, food, clothing, and transportation first. Credit card bills or other miscellaneous bills can wait

How crazy would it be to pay your credit card bill, but lose your house or worse, pay your credit card company but not be able to feed yourself or your family?

Life Basics are those items critical to your survival and should

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