learn how to manage your money

Don’t touch your savings unless it’s to invest.

If you are one of those people who can always manage to put aside a few hundred dollars, maybe even a few thousand before an emergency happens and wipes it all clean, you need another account. You need a savings account, and another “the sky is falling” account.

Your savings account is for the purpose of collecting interest, making sound investments or investing in your education. Your “the sky is falling” account is for those rainy days when you need to pay for your dog’s vet bills, replace your refrigerator or pay for half a fence your neighbour is insisting on. It’s a little more loosely qualified what you can spend it on. Anything goes as long as you don’t wipe yourself out.