Have you still not started an emergency fund? One of the following situations may apply to you in the future, and several may appear at once. Getting ready now can help you deal with unexpected situations, such as:
- Your identity is stolen, locking you out of your credit cards and/or bank account for a while until the issue gets straightened out.
- You lose your job and can’t quickly find another one at the same level of pay.
- Your hours are cut at work, leaving you in a position where you can’t quite get another part-time job.
- Your dream job comes along, but it requires a steep drop in pay.
- The property tax bill you forgot about is due.
- You unexpectedly get pregnant (or your significant other does).
- You find yourself with a debilitating illness, or your child needs an urgent medical treatment.
- You try to start your car in the morning, but nothing happens. Similarly, while you’re driving along, suddenly plumes of smoke appear from under your hood and every light on your dashboard flashes on.
- You get hit by a car and are bedridden for several months.
- A friend or relative in crisis moves in with you for a while.
- A friend or relative of yours passes away suddenly in another part of the country (or the world).
- You find an amazing bargain on something you’ve looked for all of your life, but it’s still costly.
Did you know? The most important reason to start an emergency fund could be for the reasons that you can’t even think of today, but facing the future with confidence is reason enough to take action now.