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Many people don't have an emergency fund, so it's good advice and worth repeating. Being stuck in a high-expense life style, especially if you owe a lot of mone
by itamarst 9y ago
Many people don't have an emergency fund, so it's good advice and worth repeating. Being stuck in a high-expense life style, especially if you owe a lot of money, makes it very hard to be flexible. E.g. you might not be able to move to a new place where there are jobs. So living below your means and not having a lot of debt really is important.
But beyond that:
1. Get to know people outside your small industry niche and outside your local geography.
2. Don't define yourself by a single technology or set of skills. Get good at learning new things on your own.
- jo909 9y agoAnd please make sure some (most?) of your emergency fund is somewhat cash-equivalent. Stocks, bitcoin, gold, life insurance and other investments might be hard/slow to access or only with a significant hit on total value. I'm not talking about physical cash, just the ability to access or transfer a large enough sum in say a day to pay for whatever emergency needs funding. Which is kind of obvious, but I had to stop myself from investing too much or even all of my nest egg multiple times. If it pays a dividend it's likely not an emergency fund.
- toomuchtodo 9y agoI wish I had more than one upvote. If your emergency fund isn't a deposit account that is FDIC insured, its not an emergency fund. Source: My emergency fund was in a money market fund that was temporarily insolvent during the 2008 global financial crisis.