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The emergency fund is a reservation to have money available in situations requiring immediate financial solution. That money should be spent, but should be kept to be available at any time. It is very important respect.

Life works in a way everyday events that take place in it are resolved at the time. However, sometimes unforeseen circumstances alter that expose you to routine and emergency situations, for example:
* Accidents
* Diseases
* Legal Issues
* Natural disasters or acts of vandalism

These situations are generally not covered by your monthly budget. However, their solution requires an investment and if you’re not ready, will affect a greater or lesser extent your finances.

The emergency fund is a pool of money intended for use only in situations that generate an unexpected crisis. To form it, you need to save a certain percentage of your income and keep in a safe place.

It is very important that this savings is specifically for emergencies. At the same time, there may be savings for other purposes, such as a trip or buying a car. However, the contribution to the emergency fund should be permanent, leak-free for other purposes.

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