The importance of Savings, Insurance and Emergency Fund!
Read this article (attached) this morning and it shook me a lot! Life is extremely uncertain, and we need to be prepared for the worse and get back stronger. A layoff had ruined a family, it’s devastating. This is not yet another blog, but a write up to show my angst to those people who don’t take the very basic things seriously. The two very basic things we at Droplet tell people repeatedly is that – have adequate life/health insurance first and a minimum of six months to maximum of 3 years of expenditure as emergency fund to take care of your family needs in case your life hits with an extreme uncertainty. All others can wait. However, many people argue with us as to how can we save when we live paycheck to paycheck with expenditure running over our head and why do we need a term/life insurance when I’m healthy. The problem here is not about savings, but our behavior. Even I/we had the same problem 5 to 6 years back, our spendings were messy (but I saved a mandatory 5% of