What role can an emergency fund play in helping develop an easily accessible source of funds during distressed times and how do I start saving up today?
Having an emergency fund is always beneficial because you never know when you will encounter something that costs a lot of money. Some people tend to pay off debts with their emergency funds, but I personally do not think this is a good idea because you may run into a scenario where you need extra money quickly. If you have a random medical emergency, or if your house is destroyed by a tornado for example, it can be very helpful to have extra cash on hand in order to pay off these emergencies.
You should always try keeping an emergency fund in case of a rainy day. You should always have an emergency fund set aside in case something unexpected, like a job loss or medical emergency, happens. It is recommended that you set aside six month’s worth of emergency funds to add a layer of security. Of course, you don’t NEED one, but it is always a good idea if you want to minimize risk.