38 Reasons You Need At Least a $500 Emergency Fund

The age-old saying,” When it rains it pours” is especially true when an unexpected emergency pops up- as if you had nothing better to do than fork out $500 on new tires, or visiting the doctor. Recently the Federal Reserve noted that almost half of Americans do not have $400 available in an emergency fund.

Almost HALF.

Here at America  Saves, we see that as a crisis. A SAVINGS CRISIS. We want nothing more than to have more individuals join us in our quest to #ThinkLikeASaver and be prepared for life’s unexpected moments by having at least $500 in a savings account.

In fact, we thought of 38 Reasons Why You Should Have a $500 Emergency Fund. Consider it our “Murphy’s Law List.”

38 Reasons

  1. Shattered iPhone
  2. Computer hard drive crash (very important for the self-employed]
  3. Emergency visit to the dentist for a chipped tooth
  4. Tooth extraction for a pet
  5. Replace car AC (especially in hot climates)
  6. Replace car transmission
  7. Red light camera ticket
  8. Speeding ticket
  9. Replace or fix vacuum for your house
  10. Stove repair
  11. Broken refrigerator
  12. Broken instrument (if a child is in the band)
  13. Travel for unexpected loss/funeral/celebration of life
  14. Root canal
  15. Washer/dryer repair
  16. Airline lost your baggage –have to repurchase clothes and toiletries
  17. Emergency plumber for clogged plumbing line in home
  18. Lost or replacement of work tools
  19. Emergency stitches from cutting your finger while preparing dinner = trip a to the emergency room and a copay/deductible
  20. Work travel that you have to pay for upfront and then get reimbursed
  21. Electric garage door repair
  22. Home evasion –replacing items before insurance claims come through
  23. Unexpected move required for work
  24. Car gets towed
  25. Flat tire
  26. Missing work due to illness when you’re paid hourly and do not have sick leave/vacation/etc.
  27. Fender bender
  28. Flooded basement
  29. Limb/branch/tree falling on car
  30. Limb/branch/tree falling on house
  31. Replacement key fob for car
  32. Calling a locksmith when you’re locked out of your house
  33. Lost glasses (either you or your children)
  34. New tires
  35. Unexpected travel (to visit sick family member)
  36. Prescription costs
  37. Increase in utility bills
  38. Uniforms for kids sports or extracurricular activities

Of this list, chances are you’ve already experienced quite a few of them. And since we can’t really prevent them or know when Murphy is going to rear his ugly head, the one thing we can do is be prepared.

Saving isn’t a burden, it’s a mindset. Create a simple goal to get you to your $500 goal— one that’s feasible and sustainable. Completely cutting off all the things that make you happy in order to “save” will make saving that much harder. But, much like the tip given by Better Money Habits, choosing one thing to give up would be easier to stick to.

Now that you’re in the savings mindset, and ready to be prepared for whatever life throws your way, head over to take the America Saves pledge, or re-pledge with a new savings goal in mind.