Ignoring your mortgage for the moment, does more than 10 percent of your monthly take home pay go to debt payments – credit cards, home equity loans, student loans?
Now add you mortgage payment to that debt payment. Is the total more than 36 percent of your take-home pay?
If you lost your job, how many months would you be able to live off your savings?
If your pay is cut by 10 percent or if you were forced to go on unpaid leave for a short time, would you still be able to cover your monthly bills?
Tomorrow: I'll answer the questions.
Tell me how you do on this test.
And send me your suggestions for other questions. I'm writing a column about everyone doing a stress test on their own finances Should be interesting.