Ndubuisi Egwim explains how to manage seven bank accounts by automating money flows. Set up standing orders to split your salary (20% to savings), pay down debt first, build an emergency fund of three to six months' expenses, then shift focus to investing through a dedicated account.
Seven accounts.
20%.
Three to six months' worth of expenses.
But now here's a big question. You may be wondering how on earth am I going to juggle seven accounts? Seven accounts? Well, you're in luck. I will show you how to automate the system and make it in such.
A way that managing.
The seven accounts will not be as complicated as it sounds. I mean, nowadays you can set up everything on automatic and then review it every now and then. Now let's say your salary or income lands in your current account. Then you already have a standing order which you set up in that current account to allocate 20% of it to your savings as it lands. Now when you allocate it, prioritize debt repayment first.
Then your emergency.
Fund and then investments. Once your saving.
Hits your emergency fund.
Let'S say until you build up up to that three to six months worth, then you can.
Close the emergency fund and then focus on.
Your investment account.
And then continue.
To invest through that account.
