An emergency fund should be properly cared for and maintained at all times, because it can be the lifeline you need during a financial challenge. Here are some tips to help your Emergency Fund thrive.
Grow It: Decide how much you need to save, based on your expenses, then start growing it systematically. A lot of people use automatic deposits into their bank account, which can be scheduled to stop after a certain number of deposits. No matter where you decide to grow it – a savings account or under your mattress -- make sure it’s easy to access and won’t decline in value.
Prune It: Check your emergency savings periodically to make sure you’re not putting aside too much. Any excess cash may be put to better use in a short-term savings fund for financial goals you’d like to reach within two or three years.
Replenish It: Every time you withdraw money from your emergency fund, make it a priority to replace it as soon as you can.
A financial professional can help you with emergency fund strategies tailored to your situation. Contact us today!!!