What you should have if you don’t already

From MoneyBlogNetwork:

This month’s writing project focuses on “emergency funds.” The participating bloggers will share tips, pointers, and opinions about the generally-accepted financial advice that dictates that individuals should be able to access cash for emergencies.

As the 30-something married mom from I’ve Paid For This Twice Already puts it:

…until we have a sufficient emergency fund that provides for an adequate cushion for the vast majority of potential emergencies, even if I am splitting up money into different “funds”, it is honestly all just an emergency fund

I’m sure you would agree that having money set aside in the event of a disaster, catastrophe or calamity just makes sense. Of course you knew that, right? But do YOU have an Emergency Fund (subsequently referred to as an EF)? If you don’t you’re not alone. If you think you just don’t have any money to put towards an EF, then Flexo from Consumerism Community has some tips you’ll want to read. 50 of them, to be precise. Sure, you may not agree with ALL of them, but it’s worth checking out.

One thing Flexo suggests is putting your raise aside, if you get one.Considering that this is the time of year where minimum wage tends to go up (if it does, as it will in Nova Scotia on May 1st), you could consider diverting the extra money to a separate account. If you’ve lived on the lower wage for a while, it wouldn’t be such a stretch to keep doing it for a bit. Another thing that’s coming up is the deadline to get your taxes done. If you get a refund, why not deposit THAT into an emergency fund, as Nickel from fivecentnickel.com suggests. After all, as a student you could easily end up with a hefty refund due to student loans you may have accumulated over the years. I know how tempting it is to buy things, but I personally put ALL of mine towards debt. ALL of it. Knowing I have that much less debt is a great feeling, and means I can put money elsewhere after the debt is gone. If you have no debt, then knowing you have an EF started should be fulfilling as well.

If you’re still not convinced that it’s wise to have an EF then Stephanie’s concise advice over at PoorerThanYou should help to drive the point home. Her 912 words are well worth reading, I assure you.

She says:

If you own any object that you have come to rely on, but would be costly to replace or repair, then you need an emergency fund.

Or perhaps an extended service plan, Stephanie? Hehe.

And also that rather than paying FOR spring break in Cancun, that:

…an emergency fund should be for if you end up stuck in the airport trying to come back from Cancun

Or any inconvenience that can spring from traveling, such as canceled flights for example.

I truly hope that by now you have at least considered looking into starting an EF. I know I definitely have. If you’ve had a decently long stretch of good luck with no emergencies (as I have been fortunate enough to) *knocks on wood* then it’s really only a matter of time, maybe? So be prepared.

J.D. from Get Rich Slowly has the perfect advice for all of you skeptics and nay-sayers, in his article entitled Learning to Love the Emergency Fund:

I used to live paycheck-to-paycheck: no matter how much money I earned, I could find ways to spend it. My outlook has changed. And though I sometimes wish I’d discovered the joy of saving when I was younger, I’m glad to be learning it now. I love watching my balance grow every month.

If you’re reading this, you’re likely the younger that J.D. mentions above. So take advantage of having read all the great advice from these bloggers and just start an emergency fund already, would ya?