Emergencies happen every day. But when the impossible happens, will you be ready? Having a financial emergency kit will make a big difference if the worst should ever happens.
The first step to preparing a financial emergency kit involves a well stocked emergency fund. You may only need enough to cover insurance deductibles or basic bills. But if income loss is involved, being ready for several months will be key. Ideally, it should be enough to cover 4 to 6 months of basic expenses.
Second, is to round-up all the important financial documents into a few safe places. Just having access to extra cash or contact information may be enough for the minor emergency. It’s still best to prepare for the worst, by securing all the important financial information, too.
Financial Emergency Kit Checklist
It’s important to keep all the information as up-to-date as possible. Doing an annual review of your financial emergency kit is a good idea. Just replace any old or outdated information when necessary. Continue Reading…