It is true, putting together a fund for emergencies is difficult, but it is not impossible, especially given the importance it has for your financial life. An emergency fund allows you to have a place to go if you are out of work, a natural disaster that affects your assets, suffers from an unexpected illness or the victim of an accident.
If any of these things happen, you would not have to worry about the money because you could use this fund, cover your expenses and be calm during your recovery.
But if it is so important: why almost nobody cheers up to have one? This is because saving more than what is accustomed is more difficult than it seems and becomes more difficult when it also has certain customs that destroy this fund. Here are some of the most common mistakes:
No separate accounts:
Just as having your savings in the expense account causes them to be spent, the same happens if in addition, there are also those of the emergency fund. Do not get confused, ideally save for the emergency fund in a separate account and do not use that card at all.
Usually some save a small amount per month, but saving for the emergency fund requires more dedication and also patience. Ideally, you have enough to survive 3 to 6 months without working, so it may take more than you think to put the money together, but it’s worth the effort.
Give in to the temptations:
An unexpected trip or a compulsive purchase is not considered an emergency, so under any circumstance is permitted spend is the money that goes saving, that is why the point two is important.
Not having a plan:
If you don’t know how much you must save each month to reach your month or do not schedule the deposits you make to your account, it will be easier to lose motivation, which is the main thing when undertaking something new. Do the accounts and put together what you need.
You already know, avoid these mistakes so that your emergency fund is a reality in your financial life. But calm, if something happened and your fund has not yet grown as necessary, you can request an immediate loan to help you deal with the emergency.