Do you like surprises? The perfect gift on your birthday, a visit from a loved one you haven’t seen in years? Most of us do, but a lot of people are wary of surprises in general because they come in all shapes and sizes, the good and the bad. You work hard to keep your family as stable as possible, but chances are, you don’t get to hang onto as much of your savings as you’d like – all thanks to surprises.
The Most Common Family Financial Emergencies
In some countries, a medical emergency can leave your family hanging on by a thread. Not all insurance plans cover the cost of quality care, and a ride in an ambulance or a visit to a specialist can end up taking you across the threshold of what’s affordable.
If you have children, you’re much more likely to have pets. Veterinary costs can far exceed what’s anticipated, and you may be faced with coming up with thousands to keep the family pet healthy and alive. So you should plan your budget and allot for emergency veterinarian visits as well as Pet Dental Care Services.
Job-related financial emergencies are even more common. Sudden layoffs leave many in a lurch, while largely positive changes, like a transfer, might mean you’re stuck with some moving expenses. In addition, you should also prepare for accidents. Make sure that you speak with a professional personal injury lawyer if a family member suffers from an accident caused by someone else’s negligence. This can help you get proper compensation from the injuries sustained from the accident.
Moreover, becoming a homeowner is a proud moment, but there are plenty of times you wish you had a landlord to swoop in and make things right. Sudden damage and appliance breakdowns are something many are totally ill-prepared for. In addition, The same goes for the family car – too many of us have had to replace vital components before the vehicle was even paid off.
These are all common, unfortunate expenses. How do we cover them on short notice?
Emergency Funding
If you’re in a bind, you may consider a short term loan from Pretty Penny or a similar service. These loans typically come with a higher interest rate than a bank, and you must have a plan to pay it back very quickly. It’s also a good idea to read the fine print and make sure you understand the terms of the loan.
Borrowing, in general, comes with the promise that you’ll be able to pay the money back, even if it’s from a family member. Once you borrow, create a new budget based on your monthly earnings that account for this.
From there, begin plotting out ways to create your own emergency fund, so you’re never left with your hand out again. You can do this by cashing in some investments or even having a yard sale.
When you’re really stuck, other options include reverse mortgages, home equity loans, life insurance policies, or even getting an additional part-time job. If you’re already very busy and extra shifts aren’t in the cards, consider opening an online store on eBay or using an app like Poshmark to sell clothing you don’t wear anymore.
The most important thing is to not be so hard on yourself. The fact of the matter is; most people can’t afford financial emergencies that arise. But with some careful planning and creativity, you can be one step ahead of fate, and at least partially protected against the routine misfortunes of life.
