NEW HAVEN, Conn. (WTNH) — Here’s an important question to ask yourself: would you have enough money to cover the next three months if something happened to your income? How about 6 months? We are stretching your dollar with why experts are so concerned.
It may seem like we’re past the worst of the pandemic, but the financial impact may go well beyond the summer months.
A bankrate.com survey finds more than half of Americans have less than three months worth of their expenses saved in an emergency fund; 1 in 4 have NO emergency fund at all.
So what’s the fastest way to build an emergency fund? Alliant Credit union with these tips.
- First is to cut your “wants” — that’s the restaurant expenses, personal care, the spa, gym and massages, and shopping.
- Next is to cut your recurring bills. Your home, rental or car insurance, cable and streaming services, phone and internet.
- And increase your income. Sell household items you don’t need or pick-up a side hustle.
- Or put your money in a high-rate savings account. Every dollar counts and it could go a long way to seek an account to give your money a boost in the form of interest. Just a little extra money to help you sleep better knowing you’re prepared if something happens.
- Setting up automatic deposits into savings accounts is another proven way to put more away that you’re less likely to touch.