The COVID-19 pandemic definitely changed the world as we knew it and will no doubt have lasting effects years into the future. One thing I hope we can take away from this experience is how important it is to have a safety net of funds or emergency savings account.
During the pandemic, many people were suddenly out of a job and didn’t have an emergency savings account to fall back on. This emergency fund should be money that is readily accessible and shouldn’t be invested in the stock market. It should be held in something safe and secure and hopefully in a spot where you can earn some interest on it. The rule of thumb is to have anywhere from 3-6 months of income saved in this account at any given time, but this is personal preference and depends on your unique situation and comfort level. Speak with your trusted financial advisor to discuss the amount of money to save and the type of account that makes sense for you.