Skip to main content

Be Prepared

When my kids were young, The Lion King was big in theaters. When it was released on VHS (dating myself again), they watched it quite often. Okay, I did too; it’s my favorite Disney movie. Well, there is a song in there that is sung by the villain of the story, Scar. It’s called “Be Prepared,” and it is a warning of what will surely be scary things to come. Scar was right–disaster was just around the corner. And many of the lion pride did not see it coming.
We, too, have unforeseen trials in our lives that might be lurking just ahead. While they might vary in size and type, one thing is for sure; most catastrophes affect our finances in one way or another. And while we might not know when one will hit us, it is wise to be financially prepared with an emergency fund.
While it is best to have an emergency fund that will cover your living expenses for six months.  I found that starting with $1,000 is a good number, and everybody needs to start somewhere. But it is critical to line it up ASAP (like, yesterday). In fact, you may already have $1,000 somewhere that you can set aside as your “Emergency Fund.” If not, how soon can you get it?  Since having an emergency fund is such a critical part of your financial plan, how quickly can you get there? Would a garage sale help you get there?  Do you have one or more items worth about $1,000 you don't need anymore?  What can you do this week to get yourself a little closer to that $1,000?
Having $1,000 in the bank that you don’t touch EXCEPT for a certified emergency also sends good vibes your way. But it won’t happen on its own–you need a plan. Creating and acting on that plan will move you one step closer to achieving the financial stability your family needs and deserves.

Comments

Post a Comment

Popular posts from this blog

One More–Christmas Experiences Part II

Christmas is just a week away. Hopefully you’ve checked everything off your to-do list and can spend some quality time “experiencing” Christmas gifts with your family. Because, after all, your loved ones will be far more touched by how you made them feel than they will be with what you gave them. This week, I want to share with you my sister, Carey’s, family Christmas experience. “One Christmas, when my boys, now 18, 23 and 28, were little, we gave them an experience that is still talked about now. And it’s something so easily replicated that any family can do it, and it’s not too late to do it for Christmas (even ON Christmas) this year. We drove around our neighborhood and looked at all the homes decorated for the holiday. We took note of the addresses as we numbered them. We talked about what made each ornamented yards stand out. And at the end of the night, we voted for our favorite. I had my sons help me make some of our favorite holiday desserts and, in addition to taking p...
Post a Comment
Read more

Books Equal Bucks

 In November PBS always hosts their  Annual Reading Marathon . “Wow. That’s the  second  time this month that our financial blogger has gone off the rails regarding blog topics. What does reading have to do with finances?” My answer? Everything. Establishing good reading habits in children–reading 20 minutes a day–can literally change their financial future. Good readers do better in school. Good readers are more likely to graduate from high school. Good readers will probably make more money as adults. Reading changes EVERYTHING          . That being said, books  can  be expensive, but they don’t have to be. Libraries are some of the best resources for book access–they play SUCH an important role in our community. You can also share/trade books with your neighbors, friends, and family members (just make sure you have a good system for tracking book ownership). Second-hand stores or garage sales are awesome places to s...
Post a Comment
Read more

Bon Voyage

Many of you are aware that I like to travel. I’ve had the pleasure of visiting a few foreign countries and taking a handful of cruises, and I intend to do more in the not-to-distant future. Because you know me, you know I don’t finance these trips–I plan ahead and save for them. And if you’ve followed my blog for a while, you are also aware that I do use one credit card for which I earn flight miles, and I use this card on the trips where I see the world. There is one thing about my credit card for which I am especially grateful–whenever there is suspicious activity on my account, I get a text notification. The credit card company recognizes that charges abroad MIGHT NOT BE LEGIT, and they send me a message. All I have to do is confirm that it is, in fact, me that made the peculiar purchase, and I’m good to go. If I did not make the purchase, I respond in kind, and my card is deactivated. Note to self and others: one could avoid these potential interruptions if one calls credit car...
Post a Comment
Read more