[Ani]

This morning hubby and I woke up to find that our house was 46 degrees because the furnace had gone out. He immediately went into panic mode. I had to sit him down and show him that I had made a category in our savings account for furnace repair, as he'd told me a few months ago that there was a part he was pretty sure was going to need replacing sometime this year. We had $600 sitting there just waiting for this event. Suddenly our "emergency" turned into nothing more than an inconvenience of being cold while we got ready for work. We called the furnace guy, he came and fixed the furnace, and we wrote him a check for $480 (which I'd just transfered over from our savings account).

After the furnace guy left, hubby hugged me for a long time and thanked me for being organized and taking care of our family so well financially. He said "I think I understand now what financial peace means." He's generally resistent to my financial geekiness, so I was extra-proud of him for recognizing that. :cloud9:

A couple years ago, this would have thrown us for a loop and we would have had a rotten day/week/month as we tried to sort out how we were going to pay for this. Financial peace to me is being able to handle the curve balls life throws at you without it disrupting your life because you've thought ahead and saved.

What does financial peace mean to you? Any other similar "ah ha!" moments recently for anyone?

 

[AheeK]

A lot of my financial peace is similar to yours...knowing I am covered no matter what life throws at me. For example, I drive a 1989 Chev 4x4 truck with 250,000 kms on it. Since the day I bought the truck, I have had $1500 in my savings account at all times, waiting for the day when the transmission blows on it. I know it is going to happen, it's just a matter of when, and I have to be prepared for it.

Another aspect of this is job and retirement security. I want to have a job that is secure so I don't have to worry about losing it unexpectedly, and I want to work somewhere that has a pension plan. I'm also going to start my RRSPs by the time I'm 25.

The other biggie is debt. No one likes having debt hanging over their heads, but I figure that since I haven't bought a house, had kids, etc. yet, I'd better get used to it. One thing I want to do is minimize the total debt I incur over my life. The less debt I have to start with, the less money I'll waste on interest.

 

[kaykwilts]

Thank goodness ya'll had the emergency fund to prepare for an event such as this.

 

[Scattymum]

Thats so great that you could cover it like that - I really hope to be in a position like yours in the next couple of years.

To me financial peace is just that - being able to cover the sudden unexpected outgoings without it sending us into a spiral.

 

[pammy]

Like you said, it turned into an inconvenience rather than a crisis, that's Finalncial Peace to me. Knowing I have the means to take care of any emergency, without the major stress that usually comes along with it. Something breaks: fix it. Something happens with a job: you've got 6 months of expenses to get you by until you find another job, which means you don't have to take the frist crappy job that comes along. Your car breaks down totally, you replace it. You know someone that needs some help: you've got the means to help them because you have money to help them, money that isn't going to pay some banker anymore.

 

[PrairieRose]

What you described is exactly what financial peace means to me. Another way to look at it is this: Crisis+preparedness=peace.

 

[Dancing Lotus]

What you described is exactly what financial peace means to me. Another way to look at it is this: Crisis+preparedness=peace.

:yeah: I want to have money in the bank for when my family gets sick or if somethin breaks.

This weekend we found out we are going to need a new roof. Dh can do it but its a big roof and the supplies will be a lot and we dont even have the money for that.

 

[brenda67]

Financial peace means alot of things to me:

A place to live
Heat
Electric
Food,Food and more Food
Medicine
Telephone
Reliable Cars
A Generator (a good thing to have when your only source of heat is electric)
Money in the bank
Bills are all paid..

You live and learn from your mistakes...I never want to live on the edge again..I don't have alot of worries like most people financially..Thats a piece of mind no matter how you phrase it!

 

[yankeegal]

What you described is exactly what financial peace means to me. Another way to look at it is this: Crisis+preparedness=peace.

This is it exactly!!!

 

[frugalnana]

Its great you had the extra there for that emergency. Financial peace is the same for me. We live well below our means. But if our kids have an emergency such as a car repair and don't have exactly enough, then we know that we can help. Plus if our cars have problems. Last summer dh and I knew that the Durango was going to need 4 new tires. What he didn't know was I had a fund for the tires and when he was fretting about it, I took out the savings book and handed it to him. He was very relieved and very happy. That same week his water pump went out in his car and he was able to have it repaired.

 

[dcompton]

Alll of the above, of course. But for me I think the best thing of all is that it frees the mind from having to think about money all the time. That can suck the life out of you.

 

[Darlene]

Good for you!
To me financial peace is knowing that I do not owe anyone any money and that if a crisis should arrive, we will come out the other side OK.

 

[tlenad]

Financial peace to me is not having to worry about the next lay off coming. Knowing that I will be able to make ends meet during a few months of unemployment if need be. At least that is the goal I'm working towards.

Other than that, not having to worry about how I'm going to pay for a car repair or vet visit. (I really need to build back up the emergency fund, but thank goodness it was there.)

 

[Sarah777]

To me, financial peace means being debt-free & have money saved up in case I need it for a "rainy day"

 

[joshmamabear]

This is what financial peace mean to us:
*having zero debt-->have already achieved this after I retired
*retiring early and enjoy the fruits of our labor--> I have retired early to stay more with my kids after we saved enough to pay for our home and vehicles.
*taking jobs we like to do because we enjoy them, money is just secondary
*maintaining good health so we can enjoy everything we worked for

 

[Edna_E]

Kudos to you! I haven't accomplished that yet (emphasis on the yet!)

 

[Nada.Leona]

Ooooh, what a good story. I'm going to have to ponder on this one. :scratch:

 

[joshmamabear]

Kudos to you! I haven't accomplished that yet (emphasis on the yet!)

thank you! I'm pretty sure you'll get there if you make it a goal.

I forgot to add, we don't live within our means but way below it~ we're low maintenance people, going on vacations is our only vice

 

[tigo]

An example from yesterday-

Sitting in the oral surgeon's office (both kids need wisdom teeth out) they said they would prefile on soon to be ex's insurance. Since the insurance goes away the minute the divorce is final, I am pushing to have it done in March. The insurance will only cover about half the cost of each leaving about $2000 for me to pay. I asked the lady if there is a discount if I pay cash in full the day of the surgery. She said that it runs between 10-20% depending on the service. So with the emergancy fund already there to cover this- I am not only going to be able to pay without worry, but I will get a discount (and get to keep some of the money earmarked for this) as well.

 

[Guest]

Financial Peace means a lot of things to me.

Firstly, like a lot of other posters, being able to handle a financial crisis. I must have posted this before, but one story from my college days has always made an impression on me. My sister was in college and my father has mis-understood how her Stafford loan was going to be disbursed. She called home in tears on Tuesday, saying that if my dad couldn't come up with $2000 by Friday, they would kick her out for not having her tuition paid. The money was there on Thursday. This made a HUGE impression on me. The closest thing I've ever had to handle was when DH's Chase card got the rate raised to 34.99% and he had a $10,000 balance - we got a month and a half advance notice and were able to transfer $3500 to a 0% card (had to apply for a new card) and paid the remaining $6500 off with cash and savings.

Secondly, it means feeling good about my future and planning to make sure that I can reach my goals. Knowing that I'll be able to send my son to college and have a nice retirement, rather than wondering how I'll be able to afford these things.

Thirdly, it means having and being able to spend money on things that are important to me. While we try not to be slaves to "stuff," there are some material things that make me happy, and I like being able to spend money on them without making tremendous sacrafices. For me this is mostly about being generous with our friends and family (like we paid for an open bar at our wedding, plus the bridesmaid dresses and tux rentals) and also charitable giving. For others it might be travel or some other hobby. I can also buy a book on Amazon or go out for coffee without obsessing down to the penny how much I'm spending and how it will impact my budget or my overall financial plan. I spent $5.46 today at Starbucks, and I didn't get any further into debt and I can still pay the bills and save for the future.