The Emergency Fund
(See also the Keys To The Home article: “The Expectancy Fund”)
Genesis 41:34 “Let Pharaoh do this, and let him appoint officers over the land, and take up the fifth part of the land of Egypt in the seven plenteous years.” 35 “And let them gather all the food of those good years that come, and lay up corn under the hand of Pharaoh, and let them keep food in the cities.”
36 “And that food shall be for store to the land against the seven years of famine, which shall be in the land of Egypt; that the land perish not through the famine.”
Sometimes someone will say, “I do not believe in getting into debt with credit cards, etc…. I only have a credit card in case of emergencies.” My friend, there is a better way than keeping around a credit card. We all know that emergencies are bound to happen in our life, and that emergencies can be very costly. Instead of planning to get into debt in emergencies, though, how about getting ahead with a budgeted “emergency fund?”
The very reason why Pharaoh made Joseph second-in-command over Egypt was not Joseph’s interpretation of Pharaoh’s dream, but rather, Joseph’s handling of the upcoming emergency. In vs. 39, Pharaoh proclaimed of Joseph, “there is none so discreet and wise as thou art.” The wisdom and discretion that Joseph displayed concerning Egypt’s upcoming emergency is what I want to recommend as well to you, dear reader.
You see, we all know that emergencies will come. So, why not start right now during the “seven plenteous years” to start saving for the “seven years of famine?” Every pay check, you should set aside some money into what our family calls an “emergency fund.” Then, when an emergency does happen, you will have the money to help deal with the major expenses. Of course, you are not expected to save thousands each paycheck. Like Joseph and Egypt of old, you simply save little by little month after month.
Ecclesiastes 7:12 “For wisdom is a defence, and money is a defense:” Money can be a protection; a defense if it is used correctly. The problem is that many get behind instead of getting ahead financially. Think about this: Perhaps you decide that you would like to have $2,000 in your emergency fund rather than holding a credit card with a $2,000 limit and the accompanying interest. If you put aside $50 a week, in 10 months you will have that cushion in place. In under a year, you will be out from under the gun. You could set the money aside from every pay check and keep it in an envelope like we do. You could start a savings account at your bank and accrue a little interest on it. Having this cushion will protect you from needless debt when the car’s engine blows or your kid breaks a bone or the weather is unusually cold, driving up your heat bill. Hard times will come, and you can be prepared for them. Prepare now, and you will not go into debt later. Start today having an emergency fund.