An emergency fund is like your own personal safety net. It’s money that’s there when you need it without having to jump through hoops, wait for outside approval, or pay interest.
(Which reminds me, the idea that it’s smart to get a credit card for emergencies is nuts if you ask me. Get money for that instead. Much better than going into debt when you’re stressed out already! Or anytime really.)
An emergency fund gives you peace of mind when it’s not being used, and it can save your rear when you do need to use it. So how do you build one, especially with all the other pre-existing claims you’ve got on your money?
Here’s how to do so in six easy steps.