Life comes with big surprises. One moment you are lying on your bed, scrolling through your phone, and the next moment life throws something unexpected your way. This reminds me of an incident that happened shortly after the covid 19 pandemic. At the time, my cousins were staying in my parents house. Every day felt like a festival. One Sunday, one of my cousins got the good news that he had been accepted into a program he had been chasing for a while now. He had no plans for it, neither did his parents. The news took everyone by surprise. Because it meant so much to him, we couldn’t let it slide. We had to start running helter skelter to get him that money.
Life is unpredictable. While this unpredictability makes it somewhat interesting, it also makes it dangerous, especially when something unforeseen happens. And one thing about life is that it mostly throws unexpected situations when you least expect themt. It is always as if it is waiting for us to keep our guards down. Now, the question is that when these unexpected situations come knocking, are we prepared to handle them? This is where the concept of emergency funds comes in.
For this week’s India United prompt, the topic is EMERGENCY FUNDS. As the name implies, it is the money you set aside for unexpected situations. The community asks us an interesting question; what is your plan for emergency funds? The truth is that it is difficult to set money aside for emergency cases. I mean, for many people, there isn’t even enough money to settle their daily expenses, not to talk of keeping money aside for emergency situations.
Keeping money for rainy days" is what we say. But how do we continue to keep money for rainy days when it rains the next day? The next day is too much. Sometimes, it rains on the very evening we decide to set money aside for rainy days. Many people do not have plans for emergency funds because they have bills to pay and the money they make is barely enough to settle these bills.
In my own case, I've learned how to utilize emergency funds well. What I do is open two accounts, put money in both, but you have to determine not to touch one unless it's for emergency cases. This takes dedication and patience. If you don't possess these virtues, I'm afraid you might not be able to have an emergency fund. An emergency fund is your safety net. You can start small, saving little amounts, so if they don't meet your emergency needs, they will at least do something.
Thanks for readings
