Like what Forrest Gump’s famous line says, life is indeed like a box of chocolates, you never know what you’re gonna get. You may be contented with your life now, with a stable job, a roof under your head, you are able to pay all the bills with your salary plus extra money to provide for your leisure needs, the next day you find yourself fired for whatever reasons, and you find yourself looking for something to pawn or sell, just to be able to buy food and pay your bills, because you have forgotten to save. Let’s face reality, this do happen.
Emergency funds are a total necessity for financial security because they give you funds to fall back on in case you become ill or disabled and can’t work, or if you or your spouse lose your job, incur large medical bills, or have an unexpected large bill such as school expenses and a major car or home repair.
When I have exceeded my own emergency fund saving goals this year, I invested the excess funds on real estate using it for downpayment. I have $500 left in my emergency fund savings account and I’d like to double that before the second quarter of this year ends. So that’s a goal of $1,000 on my emergency fund savings account by June, 2007.