3 Simple Ways to Build Your Emergency Fund | Cleveland Bradley County Teachers Federal Credit Union

Unfortunately, financial emergencies happen at the worst times. Your washing machine kicks the dust, or your car breaks down in the middle of the road. When this happens, how are you going to fund the repair fees or purchase a new appliance or vehicle?

That’s where an emergency fund comes in! There are numerous reasons you need an emergency fund to provide a buffer between your income and unexpected expenses that pop up out of the blue.

You may be wondering how exactly you can build up an emergency fund, especially when you may not have a lot of money left over every month. Fortunately, there are a few ways you can begin putting money into a savings account by changing up your regular spending habits!

Reduce Your Spending

Cutting back on your spending may sound easier than it actually is! Take a good look at your spending habits and figure out where you can make adjustments. Chances are, there are more places to cut back than you previously thought.

For example, how much is your monthly entertainment budget? There are many low-cost entertainment ideas that your whole family will enjoy. You don’t have to spend an arm and a leg to have fun!

Take Advantage of One-Time Saving Opportunities

When you come across a large sum of money, such as a tax refund or annual bonus, consider putting it (or a portion) into an emergency fund.

These yearly chunks of monetary contribution to your emergency fund could make a significant difference, and give you the motivation you need to focus on building the savings account!

Create Extra Income

When you’ve scoured your budget and there is just no room to cut back, consider creating an extra stream of income. There are many side jobs you can do from home around your family’s schedule.

If you’re a teacher, providing tutoring services may be a lucrative, flexible option to help build your emergency fund!

Building your emergency can seem challenging, but in reality, there are a multitude of ways to do so. Regardless of how you choose to begin putting money away, know that your financial goals are right around the corner and you are on the right path to achieving them!

Ready to open an emergency fund? Contact us today to learn about our savings options!