The Importance of Having a Reserve Fund
Often in life there are some things that need emergency funds in the time immediately. An example is when you are on layoff and should take the money to make a living for still not getting a job.
That’s an example of the ‘big’. Sample size may be when your child is sick and should be treated at the hospital that may require funding.
But what often happens, many people who do not have the funds. This is because every time they get income, they always spend it. That is, someone who has laid off generally get what is called Severance Pay. This money could pay for his life as long as it does not work. However, the amount of severance pay is often perceived not sufficient for those who get it.
So, no need to say anymore, it’s important to have a supply of funds in your account, which can be used as a reserve fund to finance your life when something happens. Therefore, the supply of funds is called the Reserve Fund.
