So, my dh was laid off (very unexpectedly!) last week. Thankfully, we live in a much smaller house than we could have afforded, and my job can pay our basic bills and living expenses, although our living expenses will obviously be cut drastically. We won't have to touch savings unless I get laid off also, and he doesn't find a new job before then.
After bills and groceries we have about $1000 per month left over. We have about 10 months of living expenses in savings. If we really cut back (moved to a small apartment with cheaper rent, lived on rice and beans, etc) we could probably stretch that to last a year and a half. We owe a LOT (like, 50k) in student loans, but have no credit card debt or anything. I would kinda like the extra 1k to go to student loans. DH wants it all to go in savings.
I'm torn about what to do. On the one hand, savings is a really good idea right now. My job is secure until September, but after that I have no idea. He has always very strongly favored putting extra money into savings over paying off debt. His rationale being that student loans can be deferred if we were in a true financial crisis. I understand that, but at the same time, I feel like we probably have enough in savings to weather any realistic storms. And I kind of feel like there's NO amount in savings that will ever be enough for him to want to pay extra on student loans. I feel like, if I could get him to part with even a small portion of that 1k for extra loan payments, it would be a good precedent, you know?
But, maybe I am being unrealistic about our current situation. I've heard many stories of experienced professionals being out of work for 6 or 12 months with no end in sight. And my job is VERY unstable after September. My company's contract is up, and I have no idea if they'll renew or not. Maybe savings is the best place, since there is a potential for us to both be out of work. Scary thought.