ECONOMICS
SAVING AND INVESTING
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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At your age, a fully funded emergency fund should be:
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$1, 000
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$5, 000
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$100
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$500
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Explanation:
Detailed explanation-1: -Saving up just $500 can help you get prepared for the most common emergencies. Selling unwanted items, cutting back on miscellaneous expenses or taking on an extra job could help you get to $500 more quickly than you’d think. Then, you can focus on building a bigger cushion.
Detailed explanation-2: -Most experts believe you should have enough money in your emergency fund to cover at least 3 to 6 months’ worth of living expenses.
Detailed explanation-3: -Seventy percent of $2, 496 works out to be $1, 747. So the average person in their early twenties may need about $5, 241 for a three-month emergency fund and $10, 482 for a six-month emergency fund.
There is 1 question to complete.