Westrive – An emergency fund is a source of funds that need to be prepared in the household finances, why? Parent Westrivers necessarily know what the economic conditions are often not stable. So don’t think that the conditions you will always be safe.
Termination of employment (PHK) can happen anytime, accident and the like can be threatened at any time. Prepare funds to the conditions of the urgent, emergency and the emergency is one of the efforts to maintain the family economy remains stable.
In the absence of financial prepared for conditions such as this, it could be a variety of family assets will be sold out when there is a disaster or things that are not desirable.
How to Prepare for an Emergency Fund Effective
Do you know Parent Westrivers that not all families have the allocation of emergency funding that was prepared?
In addition because they don’t understand the importance of the allocation of these funds, it could be also because of the constraints of income which is also still mediocre.
Then how about tips and how to prepare an emergency fund that may be needed at any time?
In the allocation of the financial budget of the household, the Parent Westrivers can put it to budget for unexpected expenses. The amount depends on the allocation agreed. Figure 10 percent of the total salary is still quite tolerable to be collected consistently periodically.
Commitment and consistent with this allocation. The slightest allocation every month, you still have to commitment deposit it.
Provide Special Account
If you want to seriously prepare the financial emergency conditions, then it could set up a special account for the allocation of funds such emergency.
This account instead of a savings account choice, but created specifically for the needs that are urgent, emergency and the things that happen outside of ideal conditions.
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Why a special account? So you’re not tempted to pick it up and separated from the regular savings that are not allocated to other needs that are not an emergency.
The Time period Clear
Even for things that are sudden, serious and unexpected, but for the savings should still be the Parent Westrivers set the targets. For example, for how many years already collected those funds.
If on the year that has been set but the funds are still safe unused to the condition of things that are not desirable, then these funds you can allocate to buy assets that are more stable and productive.
For example you can buy the gold, the assets of the property if sufficient, or other things of that nature produces.
The use of real Emergency
An emergency condition is a condition that’s really serious where to inadequate should be done as soon as possible due to reasons that are urgent and cannot be delayed.
Really its a need not a desire, even sometimes its very nature is a disaster.
Some examples of emergency conditions that allow you to use the allocation of budget savings an emergency fund for example:
- The cost of severe pain
- The Cost Of An Accident
- LAYOFFS sudden
- The disaster that create assets out
- Fall bankrupt from the business
- The cost of education is urgent, and so on.
- Conditions like this that desperately need a backup of the financial emergency during this time you allocate.
- Do not use the savings an emergency fund you for the things that are secondary or less urgent nature.
If could still be postponed procrastinate. Do not followed the desire for what is more important is the need.
Looking For Other Sources Of Income
If you feel the income you are currently not sufficient if should be allocated to the post emergency fund, then you should look for a source of income other income to help make the bigger budget.
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For it may be only a percentage that you can allocate to an emergency fund, or even often fail to deliver.
The presence of other sources of income can help you increase the amount of budget. Deposit regularly so that the sum can be greater in the long time that has been set.
Other sources of income can also help the allocation of posts of other expenses can be more flexible.
The main requirement can be more easily met and the budget for things like an emergency fund. This also remains to be allocated.
Monitor how the amount of emergency funds that have been collected on a regular basis. Why should be monitored? One of them as a form of evaluation and help you more excited. To add the number if it is still small.
In addition, it is also to help you estimate roughly how the final amount that may be achieved in the timeframe that has been set. If it is still lacking, we need to find a source of income other to increase the number according to the target at a preset time.
The Emergency Fund Is Not Enough When The Condition Of The Emergency, What Is The Solution?
When children already have to go to college while money is a savings or emergency fund that you collect still not enough to fulfill them, what is the solution?
Don’t worry because now present grant funding agencies for education loan with loan products that are efficient and profitable.
Westrive provides a variety of loan products beneficial to the financing of the various levels of education from school to higher education.
Including if the Parent Westrivers have children who want to continue their college or school to go abroad, then it is very appropriate use of the products of the loan from the Westrive.
In addition to the mortgage more affordable, the submission process and requirements requested also more simple and easy.