Unfortunately, according to a recent study, about 70% of Americans cannot afford a $500 unplanned expense. There are plenty reasons why people do not have money in their savings accounts such as low income, medical bills, financial mismanagement, etc. However, if at all possible, you should try to build an emergency fund so you can handle the inevitable unexpected expense.
Setting up accounts to cover certain expenses is always a good idea. When you have money set aside for the expenses of life, you can rest easy knowing that you won’t have to go into debt for necessities. There are two very important types of accounts you will want to
Perhaps figuring out what an emergency fund is can best be accomplished by looking at what it is not. An emergency fund is not for a new dress or pair of shoes, it is not for a lavish vacation, and it should not be used for daily trips to the