How Much Money Should You Save For Financial Emergencies?

Copyright 2006 Tony Mase
Practically every financial planning and personal finance book you’ll ever read advises you to start an emergency savings fund, or rainy day fund as some call it, to meet unexpected financial emergencies, as one of the first steps you should take to build wealth
Some advise a fixed dollar amount, such as $500 or $1,000, be set aside for financial emergencies I’ve seen recommendations ranging from $500 to $12,000
Others recommend saving a certain number of month’s income for financial emergencies, such as three month’s income, six month’s income, or as much as twelve month’s income
Still others suggest setting aside a certain number of month’s living expenses, such as three month’s living expenses, six month’s living expenses, or even twelve month’s living expenses, to meet unexpected financial emergencies
So
With all this conflicting financial advice
How much money should you save for financial emergencies?
Well
According to Wallace D Wattles, author of “The Science of Getting Rich”
If you truly want to be wealthy
None
That’s right
Absolutely none!
In an article titled “The Constructive Attitude”, Wallace D Wattles wrote:
” do not lay up for a rainy day If you live right, think right, and work right, there will never be a rainy day for you If you lay up for a rainy day, you will impress the sub-conscious with the fear of a rainy day; with the idea of weakness and incompetence, and so you will cause the rainy day to come”
If you stop and think about it
He’s absolutely right!
I don’t know about you, but every single time in my life I attempted to build up an emergency savings fund, guess what happened?
That’s right
A financial emergency would pop up out of nowhere and wipe out my emergency savings fund leaving me right back where I started
Broke!
Sound familiar?
Until I read those words by Wallace D Wattles, it never dawned on me that, by my own thoughts and actions, I might be creating the very thing I was most trying to avoid
Now
Does this mean you shouldn’t keep any extra money at all?
Not at all
In the same article, Wallace D Wattles wrote:
” provide a surplus, so that you may take advantage of any new opportunity”
Once I began to build up a surplus to take advantage of new financial opportunities, instead of saving for financial emergencies, guess what happened then?
That’s right
Lo and behold
New financial opportunities started popping up all over the place
And
Interestingly enough
The financial emergencies disappeared!
You see
There’s a Creative Power within you that makes your life into the exact image of that to which you focus your attention
If you focus your attention on financial emergencies, by thinking about them, by preparing for them, by saving for them, that’s exactly what you’ll have in your life
Financial emergencies
On the other hand
If you focus your attention on financial opportunities, by thinking about them, by preparing for them, by providing for them, that’s exactly what you’ll have in your life
Financial opportunities!

Article Source: http://wwwarticledashboardcom

Tony Mase is a serious student of the works of Wallace D Wattles and the publisher of the “The Personal Power Course: Ten Lessons in Constructive Science, Teaching You How to Use Your Own Subconscious Energies for Health, Prosperity and Personal Achievement” ebook by Wallace D Wattles wwwthepersonalpowercoursecom

Tags | attitude, emergencies, expenses, financial, incompetence, life, planning, science