Having an emergency fund should be the cornerstone of the household budget.
Experts generally recommend that you have at least three months of savings to deal with unforeseen setbacks.
But how much money would you need to save to intentionally quit your job? This is a more difficult question to answer.
For Tori Dunlap, founder of the women-focused financial education company Her First 100K, the number was $ 100,000.
Dunlap landed an entry-level marketing job after graduating from college and quickly learned that the company’s job was not for her.
She started a blog and set a goal to save $ 100,000 by the age of 25. Her subscriber numbers grew with her savings, and the now full-time entrepreneur reached her goal shortly after her 25th birthday.
Watch this video to learn the four steps Dunlap suggests everyone should take to create their own safety net.
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Disclosure: NBCUniversal and Comcast Ventures are investors in Tassels.