Far too often, Americans do not prepare for potential emergencies or other situations that require quick action. We have been blessed with police, firefighters, EMTs, and to a lesser extent other government-based agencies that help in catastrophes and other emergencies.

This also is true with our money. We do not save enough. Checking a few different resources, I found the median savings for a 25-year-old is about $3,200. By age 40 the median is about $1,500 more.

It’s important to acknowledge that many people have money in investments, therefore what’s in the bank isn’t the grand total of their wealth. Normally investments shouldn’t be touched because long-term growth is paramount. Therefore, these investments should not be looked at as emergency money.

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