Quote from: ruykeri on Today at 05:26:42 AM

Quote from: Ever-young on August 05, 2025, 11:24:22 AM

While that's true. It's also worth noting that not all unexpected expenses are actual emergencies, that's why it's also advisable to have other backup funds asides the emergency fund, just like the reserve fund and also the float fund, this could also be used to cover some unexpected expenses which are not actually an emergency, so that the emergency fund will always be reserved until when an actual emergency occurs.

However, as a common man, what I understand is that instead of creating so many funds at once, it is better to have a reserve fund and an emergency fund. If someone wants, they can save some money as a savings. If you create different types of funds, you will see that a large part of your discretionary income is going towards creating this funding, and the money invested in Bitcoin will be less.

You are wrong here bro, it is not about building everything out at once. You sure need to identify every periodically recurrent expense and budget for it separately. In accurate cashflow management, you should not allow any oversight that you know about deliberately, just like you should take into account every bit of your expenses when and even little tolerance when allocating funds to it from your total income, You should also take into account of every periodic expense and allocate a variance of backup fund to it and slowly build it up prior to when it gets executed by the allocated fund as well as you build your emergency fund too so that you can evenly spread remaining funds across it After removing the funds meant for your bitcoin accumulation.

It is simple and practical, you may not need many bank accounts for it, as simple as writing them down on a sheet of paper and noting how much goes into each of them periodically and efficiently. You can put them all in same bank account and your emergency fund only in a separate one, but you need to keep track of how far you have gone in building out each of them and when you utilize the funds for any of them you should as well keep track of rebuilding it accordingly, this would ensure that funds are accurately utilized and you don't spend outside that which the funds are meant for. Furthermore you should be more disciplined not to use funds outside the items in your list that the funds are meant for, any other financial demand that comes up gets attended to by your floating cash and when it is exhausted you wait for the next inflow for them as long as they are not emergencies