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4 Comments

  1. Antriksh
    April 18, 2020 @ 5:53 am

    Thank you for sharing such a nice read.
    What a simple yet very effective way

    Reply

    • femmeminty
      April 18, 2020 @ 1:01 pm

      Thank you Antriksh,

      I am glad you enjoyed reading the article! It’s so important to build an emergency fund or a raining-day fund to meet life’s uncertainties.
      For more interesting content of financial literacy, I’d like to encourage you to subscribe to our newsletters

      Thanks
      Femme-Minty

      Reply

  2. Kelechi
    May 28, 2020 @ 5:20 pm

    Thank you for this article.
    It was eye-opening.

    I have two questions.
    1) After you reach your emergency fund goal of 3 – 6 months salary, say by using a fixed deposit, should you continue to put money into your emergency fund?

    2) What are the benefits of a regular savings account or plan apart from the emergency fund savings account?

    Reply

    • femmeminty
      May 30, 2020 @ 6:45 pm

      These are great questions.

      1) Absolutely, you should continue to put money in an emergency fund If you can afford to put more than 3 to 6months of salary in a fund. I would say you are one of the people who can afford to do that. You can build up your savings by putting contributing more money in your pension fund or a high interest savings account. The more money you set aside in savings, the greater the benefit from compound interest and higher the value of your savings over the long term.

      2) The benefit of a regular savings plan is the discipline you get that you are putting away funds for a rainy day or when you might need it. No one predicted the pandemic which has created a lot of uncertainties for job security. If you develop a habit of putting aside regular savings, you get a sense of security that you can withstand any of life uncertainties that comes your way particularly when money is involved.

      Reply

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