Saving Money

Emergency Fund: Why Every Singaporean Should Have It, How Much You Should Have In It & How You Can Start Building One

The importance of having an emergency fund cannot be overstated. To put things into perspective, the COVID-19 outbreak has rendered many Singaporeans jobless.  During these tough times, it pays to know that you have an emergency fund kept in place. This ensures that you’ll at least have some spare money to fall back on when things get rough. What Is An Emergency Fund? An emergency fund is an amount of cash set aside to handle unexpected crises such as medical emergencies, sudden loss of income, accidents and other similar occurrences. You will definitely  have faced some sort of emergency at a point in your life. Having a crisis can paralyze your life for a long time, especially if you had not planned for it financially. An emergency fund will enable you to ride through such challenges and keep you afloat economically, even in the face of a crisis.  It would be best to make it a priority and to include some savings for an emergency fund in your budget. Why You Should Have An Emergency Fund Here are some excellent reasons for you to build up an emergency fund. 1. You Are Planning To Get Out Of Debt If you are working on a plan to get out of debt completely, then it would be best to build up an emergency fund that you can use whenever you have a crisis. It will help you to refrain from taking up any additional debt whenever you have an unexpected financial need. This way, you will gradually be able to pay off your current loans. Ultimately, you’ll also get out of debt sooner rather than later. 2. You Only Have One Source Of Income Some Singaporeans have more than one source of income. It helps to cushion them if they happen to lose their primary income source. However, if you have a single source of income, then it will be wise for you to set up an emergency fund. It will help to keep you afloat if you happen to lose your only source of income. 3. You Work On A Contract,

Read more »

10 Awesome Advantages of Budgeting – Start Saving For Your Future Today

Most of us would probably have heard of the importance of saving. But how many of us can truly say that we budget our spends each month? What some of us would do is that we’ll have a budget list set out, begin using it, and then along the way revert to our old ways. Sounds familiar? Everyone who sets a budget should do so with a goal in mind. That goal can be to pay off debt quickly, to put together an emergency fund, or even to gather enough money for an investment or a down payment on a house. That said, to attain goals, you’ll have to be consistent in saving. This calls for discipline in sticking to your stipulated budget so that you do not spend the money which you intended to save. Unfortunately, it’s not going to be easy. You’ll find yourself fighting through various temptations that arise and steering clear of your old spending habits.  It is important that you constantly remind yourself about the many benefits of sticking within your budget. If you’re in need of a visual reminder, you should consider creating a vision board of what you are working to achieve. Top 10 Benefits Of Budgeting Need a refresher on the benefits of budgeting? Here are 10 advantages that you can look forward to when you begin to budget! 1. Financial Control Budgeting provides you with control over your money. You’ll be forced to get intentional about how you spend as well as how you save money. Your finances are no longer a runaway freight train, when you are now in total control. By having a good budget, you won’t have to deal with the stress of realising that you do not have money for a sudden emergency or need that arises. You’ll be better able to make certain choices, like sacrificing small pleasures that eat into your expenses in exchange of other benefits such as a vacation, or owning your own home and car. 2. Increased Focus With a good budget, you can now focus on the goals you’ve set. The

Read more »