Why you should start saving for emergencies

Saving for emergencies is, and should be, a top priority for every American. Maintaining an emergency savings account may be the most important difference between those who manage to stay afloat and those who sink in debt. That’s because keeping $500 to $1,000 of savings for emergencies can allow you to easily meet unexpected financial challenges such as:

  • repairing the brakes on your car;
  • buying your child a new pair of needed shoes;
  • replacing a broken window in your house;
  • paying for a visit to the doctor when your child has the flu;
  • covering the dental expense of filling a painful cavity;
  • paying for a parking ticket; or
  • flying to visit a sick parent.

The emergency fund not only provides you with the money to pay for these expenses, it also gives you “peace of mind” knowing that you can afford these types of financial emergencies. Not having an emergency savings fund is one of the reasons many individuals borrow too much money at high interest rates. For example, by saving for emergencies, the twelve million American adults that use payday loans annually would probably not have to take out eight loans of $375 each per year and spend $520 on interest (Pew July, 2012 Study).  

Learn more:

 

 

 

 

Take the Pledge

Savers who make a plan are twice as likely to save successfully. 

Take the America Saves Pledge

Tip of the Day

  • Helping yourself & your family #save successfully for the future should be at the top of your resolution list

Share Your Tip or Story

And if we feature you in our newsletter, you get $25.

Share

Saver Tips and Stories View all »

Taking Back Control Over Finances

After becoming a Virginia Saver and getting help from BankOn classes and coaching, Nadine Bialo took back control over her financial affairs.

Read more...

Another Dream Realized

Mary Brown was already a disciplined individual when she came to Wisconsin Saves coordinator Wisconsin Women’s Business Initiative Corporation (WWBIC) in last summer. She had successfully completed her bachelor’s degree with the assistance of her husband and son, and was now ready to tackle her next big dream – homeownership.

Read more...

Inspired to Build Savings By Starting Small

With little-to-no money in the bank and living on a limited income with her adult daughter, Sharon wasn’t sure if building up savings for her future was even possible. “At my age, to put debts behind me would be a relief,” she said, but she wasn’t quite sure how to even get started with a savings plan. That all changed when Sharon attended the Great Lakes Michigan Saves Pay Yourself First Saver’s Summit during America Saves Week.

Read more...

Receive Updates

Take the Pledge

Start Saving

Receive Texts

Learn More

Partner News & Updates

Sign Up