While credit cards were initially conceived as a medium through which people could obtain luxuries that might otherwise elude them for months or years, credit cards have now become more prized for their ability as an open line of credit that can act as a lifeline in the case of an emergency. It's recommended that all households have at least three months worth of expenses set aside should something unforeseen occur, and most credit cards will extend this level of credit to anyone with a good credit score.

The first step to determining just how much money you should have set aside or available for use naturally depends on your monthly expenses. The average expenditure per consumer is $3,401.42 as of 2003, but your expenses may top or sit well below this number. This figure would include everything possible expense you would consider necessary. Some things may be expendable if it came right down to it, but ideally you should have three months worth of expenses based on your current living standards. This would include all bills, grocery money, gas or travel expense money, and other set monthly fees for personal needs items, etc.

Once all your expenses are factored into the equation give it a quick multiply by three, and you'll arrive at the ideal minimum number you should have available for use at any given time. Chances are it is more than you have on hand, which highlights the problem many households face when those emergencies do strike.

So how can you reach that target goal? Simply put you need to start saving, and you need to utilize a plan to do so. Coming up with a budgeted amount to put away for savings each month is something we've been taught since childhood, yet very few of us actually do. By doing the above steps you already have a good idea of what your monthly expenses are and what your personal income is in an average month.

From there you can make a reasonable decision on the amount of money to set aside each month. Make it an amount that won't totally inhibit your ability to indulge in things each month, but also not so low that reaching your goal will take an exorbitant amount of time. You should set yourself on either a two and a half year or five year plan. If you can realistically set yourself on a plan that will reach fruition even sooner, then all the better, but five years should be the absolute maximum. You may not have the benefit of lasting that long before the effects of this plan need to be utilized.

If you find your monthly expenses and income leave little room to save any amount of money away, your goal will have to be to cut back slightly on those expenses. This could be as little as $100 a month, which may be easier to cut than you think. Getting rid of those special cable channels, taking on a more affordable cell phone plan and cutting back on the amount of times you dine out are just some of the ways you can quickly cut your monthly expenditures can all be a part of a christian debt reduction plan.

The most important thing is to stick to your plan. Don't waver once you've built up a nice amount and decide to splurge it on something frivolous. Keep it working for you either in the bank, in a fund or through some other method and consider it untouchable, until the time truly comes when you need to make use of it. You'll be very thankful that you had the discipline to do so.