Life is full of unexpected twists and turns, many of which can become costly. It is important that you are prepared for any emergencies or unexpected losses of income. You should always be sure to have liquid assets, or access to money as soon as possible in the event something should happen where you need to access it quickly. The last thing you want to have to do is to have to sell some of your property or assets in order to pay any unexpected expenses.
First, you should take a look at your living expenses and make sure you have enough on hand to make payments for at least 6 months. If you are out of work for six months, that doesn’t stop your bills from coming in every month. This gives you a good enough buffer that you have some time to look for new work and still pay your bills before you run out of money.
You should be sure to try and save an additional few hundred dollars to make sure you are covered for the expenses of food and accommodations. For example, if something happens to your home, you should save up some money for a few nights in a hotel. It is always better to be safe than sorry in the event of an emergency.
If you need assistance managing your finances, contact an experienced certified public accountant today.
Werdann DeVito LLC is an experienced Certified Public Accountant firm serving clients throughout New Jersey with all of their financial needs. If you need quality assistance with accounting, tax, or consulting services, contact Werdan DeVito LLC today.