Four weeks before Christmas, Mitch and Jenn had a string of bad luck. Mitch broke his leg in a skiing accident. Jenn’s car broke down, requiring major repairs. And the aged roof of their home decided to fail right in the midst of a major storm.
The financial and emotional toll these events took on them was huge but nothing like it might have been if they hadn’t been diligently building a contingency fund, more commonly known as an emergency fund.
Mitch’s health insurance is covering most of the costs of his surgery and follow-up therapy. Still, they had to come up with more than $2,400 to cover his deductible, copays and prescriptions. The car repairs were just shy of $2,700….