Emergency fund. Do you have one? Some people say emergency fund, some say rainy day money, either way it’s all about putting money aside for when you really need it. Outside of a savings or checking account with your financial institution, you should have money saved, with a safe means of access. It might be challenging to get started because most of your income is allocated to bills and other necessities. However, if you start small you’ll notice the money growing and after a while, saving for an emergency fund will get easier.
Let’s say you generally buy your lunch everyday, instead you can bring in your lunch from home a couple of times a week. The money that you would have spent on lunch you can put toward your emergency fund. On the other hand you might already be frugal and you can’t think of where to cut cost any lower, how about your entertainment. Spend fewer nights in the theater or catch a few games on T.V. You can pocket the money you would have spent at the concession stand to add to your emergency fund.
We plan for many things in life, but few people plan for emergencies. At least with your finances you can get a head start.
Casually speaking and all the best,