Eric Arnold - Why Emergency Funds Matter

Financial Planning Services

Eric Arnold

A savings account used to pay for large, unexpected expenses

An emergency fund is a savings account used to pay for large, unexpected expenses.

For Example:

Unexpected medical expenses Car services Home-appliance mending or replacement Unemployment

Eric Arnold

Why does one need an emergency fund?

It creates a financial buffer that can keep you afloat in a time of emergency without having to rely on highinterest loans or credit cards.

Eric Arnold

How much should you save?

How much you should save it depends on your financial circumstances, but a good rule of thumb is good enough to cover 36 months worth of living expenses.

Eric Arnold