How To Build An Emergency Fund
10 Tips for Building an Emergency Fund & Why It's So Important
As people grow and become more aware of the world, they sometimes learn lessons the hard way. Life is unexpected, so anything can happen to anyone at any moment without notice. People fall ill, cars break down and houses flood whether people are prepared or not.
After something unfortunate has happened, it is very likely that you will need money to pick up the pieces and start to build again. The problem with this is you may not have the money needed to get your life back on track. Ideally, people should have an emergency fund they can dip into when they need a little help financially, but most people don't because they may not have even thought about it or have no idea how …show more content…
Whatever you earn that is over the regular amount that you bring home every week or month can be added to your emergency fund. Even if it is only an extra $20 a week, something is better than nothing.
Be frugal
Once your fund starts to increase, you may get excited seeing all of this money in your account. You may even be tempted to spend it on things you don't need. This is your emergency fund and it is not meant to be spent on arbitrary items. Keep this in mind when you want to spend, spend, spend. Be frugal and only purchase the items you need and avoid the ones you don't.
Ride a bike
Driving a car and using public transportation costs money. Don't hesitate to pull that bike of yours out of the basement or garage and peddle to your destination. Not only will you be able to save a significant amount on gas, you will also be healthier, too.
Sell unwanted items
If the weather is nice and you have some free-time on a Saturday or Sunday morning, having a rummage sale would be a wise decision. You can rid yourself of unwanted items, declutter your home and make some cash to add to your emergency
As people grow and become more aware of the world, they sometimes learn lessons the hard way. Life is unexpected, so anything can happen to anyone at any moment without notice. People fall ill, cars break down and houses flood whether people are prepared or not.
After something unfortunate has happened, it is very likely that you will need money to pick up the pieces and start to build again. The problem with this is you may not have the money needed to get your life back on track. Ideally, people should have an emergency fund they can dip into when they need a little help financially, but most people don't because they may not have even thought about it or have no idea how …show more content…
Whatever you earn that is over the regular amount that you bring home every week or month can be added to your emergency fund. Even if it is only an extra $20 a week, something is better than nothing.
Be frugal
Once your fund starts to increase, you may get excited seeing all of this money in your account. You may even be tempted to spend it on things you don't need. This is your emergency fund and it is not meant to be spent on arbitrary items. Keep this in mind when you want to spend, spend, spend. Be frugal and only purchase the items you need and avoid the ones you don't.
Ride a bike
Driving a car and using public transportation costs money. Don't hesitate to pull that bike of yours out of the basement or garage and peddle to your destination. Not only will you be able to save a significant amount on gas, you will also be healthier, too.
Sell unwanted items
If the weather is nice and you have some free-time on a Saturday or Sunday morning, having a rummage sale would be a wise decision. You can rid yourself of unwanted items, declutter your home and make some cash to add to your emergency