It's not if but when you'll be hit with a costly emergency. Building a fund to handle life's surprises is not only important to help you avoid financial crises, but it may be easier than you think.
– It’s not if, but when, you’ll have a money emergency like a big home repair, medical bill or maybe even lose your job. Having an emergency fund can help smooth out life’s financial hits, which may be more painful with today’s inflation.
Many financial planners say that putting aside enough to cover three to six months of essential expenses is a good rule. “It’s definitely important to start saving as much as you can. Even if it’s $5 or $10 a month, you’ll be surprised by how quickly that adds up,” Vargas said.can show how much you’ll need to set aside each month to reach your goal, and how quickly that money will grow.
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