Quote from: Gost ms on Today at 03:40:06 AM

I think it is best to divide our funds into 3 parts. For example, if a person divides their funds into 3 parts, such as cash, reserve, emergency, then it will be very good for them. For example, if there is a small financial crisis during the investment, then you can take money from cash to deal with your financial crisis. If you lose your job, etc., if there is a crisis that you have to face. Where you cannot deal with the amount of money you had in cash, you can take money from the reserve rathabil to deal with your financial crisis. Emergency fund If you do not have any money, but only an emergency fund, then you can take money from the emergency fund to protect your holdings.

How much money to keep in emergency fund cash and reserve fund should be completely dependent on the financial situation of a person. If a person does not prepare it based on his financial situation, then after a while it may be a problem

Yes, you are right. We should use the backup funds periodically during emergencies. We need to identify our main emergency moment for using the emergency fund first. When we still have a lot of money in the floating fund or cash flow, then if you lose your job or face an accident or need medical treatment, that time is also not an emergency moment for me to use the emergency fund. Because you can make that expense from the cash flow and try to solve the problem.

When your cash flow is over and you still could not solve that problem or a new problem has arisen, then there is still no emergency moment for you to use the emergency fund, because you still have the reserve fund to solve that problem.

When the reserve fund is over and your problem is not solved or you face a new problem, then that time is the main emergency moment. If at that time there is also a food crisis or a transportation cost crisis, then that will also be considered an emergency moment and that will be the right time to use the emergency fund. Because you do not have any other funds or money except the emergency fund, it is also important to meet the basic needs. That is why the emergency fund can be used. So medical expenses do not mean an emergency moment or the use of emergency funds, rather you have to wait for the main emergency moment. Which is the extreme stage of the emergency.