You may need to tap savings in hard times, are you already doing this???
By Stiffler07
@Stiffler07 (1356)
United States
April 26, 2009 12:13pm CST
Financial advisers typically recommend setting aside at least three months' worth of living expenses in a safe, liquid account in case of prolonged unemployment, sudden medical emergency or other unforeseen financial demands. This is called your "financial cushion." I see people going about their everyday lives without no concern for the Very near future, are you one of these people or are you stacking that cash???
1 person likes this
4 responses
@Stiffler07 (1356)
• United States
26 Apr 09
"Budget close to income", sounds like the majority of people I know. Make the cuts, & make it happen. It's important now more then ever. You can do it!!!
@marquis (159)
• Philippines
26 Apr 09
As much as possible, I don't like to touch my savings. I know that financial crisis happened and experienced by a lot of people in the whole world. As much as possible, i don't like to touch our savings and make sure that we have extra money to pay for emergency use. I am also paying for my insurance in case that I don't like to work anymore. I tend to save more than to spend more. I also avoid using credit card to pay for debts. I use my debit card instead if it is needed so I have control of my money.
1 person likes this
@Stiffler07 (1356)
• United States
1 May 09
It's never a good thing to use your emergency money, so true. I plan to hold off for as long as possiable.
@34momma (13882)
• United States
26 Apr 09
with the way things are now it is so hard for me to keep money in my savings account. with the cost of things now days, OMG how can i put money away. I have a son in college right now that i have to support so there's more money not in my savings. I would love to have three months worth of my monthly living expenses, but it's just not something that is doable for me right now. as soon as i put the money in, I have to take it out. i will get it done though. I have faith in myself...
@Stiffler07 (1356)
• United States
26 Apr 09
Living in the same household, I see a few different areas where you are blowing money, you may not think so, but it's true.
@Stiffler07 (1356)
• United States
26 Apr 09
That sounds like a great thing to me. Something is always better then nothing. I think that's a lot better then saying, "I just can't do it right now" .... I'm having a hard time myself & I make good money, however I will do what I need to.
