Stay afloat!
Before the pandemic, emergency preppers were dismissed as nothing more than doomsday preppers and conspiracy theorists. But, in the wake of the pandemic, when owning a roll of Charmin was the equivalent of owning rare precious metals, it became apparent that a doomsday-like disaster was more of a possibility than anyone ever expected.
Although the pandemic highlighted a need for a cache of resources, causing many to stockpile hygiene and non-perishable products, the next emergency may not be a global pandemic. Instead, it could require financial liquidity to survive, meaning you would need cash rather than three-ply Charmin.
If you examine your current emergency fund, it is enough to cover short-term, unexpected events that may require you to have extra cash to tide you over until you recover from the emergency. What if the event wasn’t short-term? What if there wasn’t any government assistance to help cover the costs?
That’s when having a disaster-proof emergency fund comes in handy.
For many middle-class Americans, the stimulus check masked the lack of preparedness. They could count on getting enough money to cover their basic needs and Biden’s eviction moratorium to keep a roof over their heads. But, no one would have had enough to survive a nearly two-year-long pandemic without income.
So, if you want to build a future-proof emergency fund, consistently set aside money in a high-interest savings account, enough to keep your family going for a year or two in the event you did not have an income for an extended period.
