Yet another reason to have an emergency fund
Hey readers! I’m not dead, I’m just on an unannounced hiatus during the TORONTO 2015 Pan Am/Parapan Am Games. That said, I’m returning for ONE post today to talk to you about something I feel very strongly about — emergency funds!
If you’re a long-time reader of my blog, I’m sure you’ve heard my emergency fund rants before. I feel like I am THE emergency fund advocate in my friend group. I’m the person always poking, prodding and harassing my friends to have a little something set aside for emergencies, and July was the perfect example of why.
Two days before the TORONTO 2015 Games started, my boyfriend was in a pretty heinous bike crash. He was admitted to the hospital for three days and two nights until he was sent home to recover. He broke his left wrist, dislocated and damaged his fingers on his right hand, suffered a moderate concussion, and lost a lot of skin. He’s pretty banged up but he’ll be ok… eventually. But he’s currently off work and entering the world of short term disability. Riiiiiight when I’m finishing my contract and looking for new gigs.
And did I mention we just bought a TV with our planned savings, the day before the accident?
If this was a few years ago, we’d be in a HUGE MESS of trouble. Luckily he’s got benefits now, so we can figure out how to live on a reduced income while he recovers and I try to find a new job. But I just flashback to a few years ago when this accident would’ve meant a whole mess of stress and trouble. And that’s where an emergency fund can help.
An emergency fund really comes in handy here when it comes to accidents like this. Even in our case, where we’re still doing ok for the next month or so, we still had to cover some expenses off the bat, such as the ambulance fee, medical equipment to help make our house accessible, OTC medication, and other costs as they arise. And we’re lucky, we have family who helped in the first two weeks when he needed people to pop by and make sure he was ok. Not everybody is that lucky and would have to pay for caregivers. And we’re even LUCKIER because we’re in Canada, so while health care can still tighten the belt, you’re not likely to go bankrupt.
So, let this just act as a warning. Emergency funds can be started with as little as $25 a paycheque. That’s not that much to spare now when in the future you might find yourself spending days in the hospital worried about a loved one. Trust me, it’s a lot easier handling that stress when you don’t have to worry about money too.
Image (top): LendingMemo on Flickr