Financial planning

Emergency Savings Fund
A consumer’s second priority should be their emergency savings fund. Springboard advises everyone to build an  emergency fund equal to a minimum of 3 to 6 months’ income. Once that amount of money is safely in the bank, then  one is secure enough to think about investing for the future.

Americans typically don’t save any significant portion of their income, and average savings has steadily declined over  the past 30 years. 

While cash reserves should first and foremost cover the emergency savings fund amount, they can also be built up to  include planned expenses, investments and big-ticket items. ))
By establishing a sufficient emergency savings fund, you will minimize the need to use credit and incur debt (you are  buying big-ticket items outright, not placing them on a payment plan that accrues interest).)) When a consumer is shopping for a savings fund, there are several characteristics one should consider, including:  

A fund that earns interest
  liquidity/check writing capability
  low risk status
  no withdrawal penalties
  other considerations:

WHERE DOES YOUR MONEY GO?)E
ffectively building your emergency savings fund means saving money today for future needs. Intelligent budgeting is
an absolute necessity when building cash reserves.

How does your spending stack up to national averages?))
A Typical Family          Your Monthly Spending
Cost of living/Debt Repayment  ?65% ?
 ?Cost of living/Debt Repayment ? ?%)
Taxes        25%  
Taxes          %
Insurance        8%    Insurance        %
Savings/Investment      2%    Savings/Investment      %

YOUR CASH RESERVES)
Q
questions to ask

1. ?Are your cash reserves easily available in case of emergency needs?))
2. ?Will you have adequate cash reserves for opportunities in the future?)