Why You Need an Emergency Fund
An emergency fund is a financial safety net designed to cover unexpected expenses, such as medical bills, car repairs, or job loss. Without it, you may find yourself relying on credit cards or loans, which can lead to debt.
Key points of The Importance of Building an Emergency Fund
- Start small and consistently contribute to your fund.
- Automate savings to make the process effortless.
- Reassess your emergency fund as your financial situation changes.
Building an emergency fund is a foundational step toward financial security. It ensures you're prepared for life's unexpected challenges without derailing your financial goals.
