Another year has come and gone. For some, it’s been magical, and for others, a little less so. The new year is a time for retrospection, to look back at what’s happened, evaluate where we are, and make preparations for the coming year.
Let us offer you one piece of advice – a few simple steps can give you a whole lot of peace of mind when it comes to securing your financial future. Make 2019 the year that you prepare for unforeseen financial challenges with an emergency fund. The security you’ll feel when you know you’ve protected yourself from an urgent home or car repair, a “blip” in your employment, or any one of a million other unforeseen circumstances is one of the best goals to attain.
How Much is Enough?
The amount of money you need in your emergency fund is really up to you. We’d say, the more the better, but in the end you’ll have to make your own decisions. How much will get you over a rough patch – a month’s salary? Six month’s salary? A thousand dollars? Ten thousand dollars? It’s unpleasant to imagine all of the bad things that can happen to your finances, but it’s important to determine a worst-case scenario to help you set a savings goal.