I first heard of an emergency fund a few years back when I was listening to a Youtuber give her followers some advice on saving money. I was listening to her intently until she mentioned that we should aim to have three to six months worth of savings (to cover your expenses) as an emergency fund. I almost laughed at her because I honestly thought she was being “extra”. I just couldn’t understand why a person would just have savings sitting in their account just for a rainy day! People save for a car or property, yes, but saving months worth of money just to gather dust in your bank account?? Well, that’s how I viewed what she was saying anyway and it’s fair to say that I simply dismissed what she said.

Fast forward to 2020 now and I’m thinking that I should have paid a bit more attention to what that Youtuber was saying!!! *insert head in hands emoji here*.

All I keep hearing now from various people/platforms is talk about an emergency fund! I have listened to so many people advising on the benefits of having one and finally the penny has dropped! (Better late than never, I guess).

During this lockdown period, it has really opened my eyes to see how necessary an emergency fund is and how our financial situations can change unexpectedly. Planning ahead for situations like these can obviously ease a lot of financial pressure and stress especially if you’re faced with the possibility of losing a job and you have rent/mortgage/endless bills to pay for!

So although I don’t have my emergency fund fully up and running yet (lol), the positive thing is that my ‘mindset’ has changed so I can now see the benefits of having one and I am taking steps to get there.

If you’re also aiming to save an emergency fund, I hope that you manage to reach your financial goal regardless of whether your progress may seem slow at first. Keep at it and I am sure you will get there!

Planning + Perseverance = Emergency Fund.