Ah yes, if it can go wrong, it will. Does this sound familiar? Many of us have seen Murphy and are not too fond of him, so let’s kick Murphy out. Let’s establish an emergency fund! You will only save money when it becomes an emotional priority. If a doctor told you that your child was dying and could only be saved with a $15,000 operation that your insurance would not cover and could only be performed 9 months from today, could you save $15,000? Yes! Of course you could! You would sell things, you would stop any spending that wasn't required to survive, and you would take two extra jobs. For that short 9 months, you would become a saving madman. You would give up virtually anything to accomplish that $15,000 goal. SAVING WOULD BECOME A PRIORITY.
A good, old-fashioned Grandma’s rainy day fund will keep you from going into debt when life hits you. Money Magazine says that 78% of Americans will have a major negative event in any given 10-year period. One is headed your way, so be ready for it. The reason you have the emergency fund is to prepare for the unexpected. When the unexpected happens, you will sleep more soundly at night and not sweat it during the day. Why? Because you will be ready.
Start your emergency fund and kick Murphy out!
Resources for Saving Your Emergency Fund We have developed these resources to help you reach your goal of building your full emergency fund after you’ve become debt free:
