An Emergency Fund - The Basics

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I came across this great article from Investopedia.com today: Build Yourself An Emergency Fund.

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It starts:

"Unlike the luxuries that so many of us purchase with our credit cards, having an emergency fund is a necessity"(my emphasis).

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It notes:

"If you are among the many investors who don't have a "rainy day" fund stashed away in case of emergencies, there's no time like the present to start saving " (my emphasis, but note the word SAVING)

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It reemphasizes:

"The amount of money required to fund a proper emergency fund is certainly significant, but we live in uncertain times with uncertain economies. Corporate loyalty is a thing of the past and unemployment can happen unexpectedly, usually at the worst possible moment."

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It's a short piece that covers:

• Why
• How much
• Techniques to get it started and build it

It is well worth your time to read it.