Posted in: Legal/Finance in Karnataka | Posted: |
An emergency Mutual fund is not developed overnight, but rather over time. Set away a specific amount in a different bank account every month. It will quickly grow into a sizable corpus that you desire. Assume you've decided to set aside Rs.1 lakh as an emergency fund. In this situation, you can set away Rs.5,000 or Rs.10,000 per month to build up the required capital.
An emergency fund is a valuable asset that should be set up in case of a financial emergency. The purpose of an emergency mutual fund is to assist you in dealing with the unexpected. A normal emergency fund is 3-6 months' worth of living expenses. This equates to around four months' worth of pay.