Stage 3 · Lesson 1 of 6
Your runway
is how many months you could cover your essential costs if your income stopped or dropped. To work it out, take your savings plus any other income, and set aside an . Then divide what is left by your essential monthly spending.
For example, savings of 6,000 minus a buffer of 1,500 leaves 4,500. At 900 a month of essential costs, that is five months. Your runway decides whether you can study full time and how long a job search you can survive.
It also tells you when to take a stepping-stone job rather than wait. Use real spending from the last few months, not a hopeful budget. Most people discover they have less runway than they assumed. That is exactly why the next topic argues for keeping income.
Common trapspending the whole of your savings on the switch, with nothing left when something unexpected happens.
A question to check yourself, an AI practice session and 1 cheat sheet entry come when you add the roadmap to your account. Add it