I have a few buckets for large expenses. My budget includes 1.5% of house value per year ($2,700), I have a separate "one time expenses" budget of $3k annually (this will cover replacing cars and anything that the $2700 in house repairs dont cover). I also have $100k held outside my portfolio to "prime the kitty" for these types of things.
Working hard to achieve my dream of retiring at age 50 to join the class of 2013 !
Learning to reduce my fears (of my portfolio running dry) so I can really start to Live (and ER) !