Announcement

Collapse
No announcement yet.

The reasons for an emergency fund

Collapse
X
 
  • Filter
  • Time
  • Show
Clear All
new posts

  • NumberWhizMD
    replied
    Originally posted by wideopenspaces View Post
    Bored . . . On maternity leave. . . With 2 kids and a newborn.

    ​​I'm concerned you may have stroked out 🤣

    Congrats on the newbie!
    Bored in the sense that I don’t have enough mentally challenging things to keep me occupied! Life currently involves feeding, changing, napping, and then coordinating two other kids! The type A in me is looking forward to having a more predicable schedule and the opportunity to use other parts of my brain again!

    Leave a comment:


  • NumberWhizMD
    replied
    Originally posted by nephron View Post
    Yes, I agree. I am glad that the op had sufficient funds to pay for their medical expenses, but I would view this less as an emergency and more as a planned medical expense. If you are planning on having a baby, you should plan for the expenses associated with that baby. Similar to how college tuition is not an "emergency" expense.
    I think it was the combination of events that led to the “emergency” part. You are correct, the child was planned. It was the additional unexpected expenses that we were happy to have funds for.

    And just to add gasoline to the fire, last week my husband’s car needed major repairs (4 figures). When it rains, it pours!

    Leave a comment:


  • altadoc
    replied
    Glad everyone is doing very well! And enjoying the new babies in their lives.

    Also, just came across this new piece by Morgan Housel on this exact issue!
    Last edited by altadoc; 04-27-2022, 02:03 PM.

    Leave a comment:


  • Otolith
    replied
    Thanks for sharing.

    Leave a comment:


  • Tangler
    replied
    Glad everyone is ok!

    EF is important, family essential!

    Leave a comment:


  • pierre
    replied
    Originally posted by MPMD View Post

    not to derail, but i think this would be worth a call to the EMS quality officer if your region.

    if they didn't follow the SOP someone should know.

    i wasn't there, but this limited info strikes me as very bad prehospital practice especially in VBAC, how many paramedics and firemen couldn't do a visual inspection for a presenting part? pretty important info for me to know as an ER doc.... "rule out labor" vs. "there is one foot and a lot of blood."

    former = let's find a room and plan to do a quick transfer to L+D
    latter = OB/NICU to bedside in resus bay, baby warmer on, OB tray opened, hold an OR
    Thank you for the advice. I spoke to their medical director. He said they deviated from standard of care and transport was delayed unnecessarily. He offered a few reasons/excuses as to why it happened, boiling it down to a personnel problem and that there will be more training to improve care in the future.

    Leave a comment:


  • bovie
    replied
    Originally posted by Nysoz View Post
    My unpopular opinion is that a traditional 3-6-12 month emergency fund in cash isn't necessary (especially if enough cheap money is available) but may need to be part of an emergency plan.

    All of these could be paid off on a credit card and paid off on time as you mobilize the money needed to pay it off. You can put the expenses on a 0% APR credit card for a year and pay it off later on. You can withdraw money using cheap margin or use a HELOC. You can just sell some stock/bonds for the cash needed.

    Any of these are just as viable as a cash fund long as a person understands the terms and risks involved. This allows a person to keep money working for them as significantly large unplanned expenses, especially ones that require cash, are thankfully rare.
    Yes.

    Taxable accounts are highly liquid, and cash drag is very real.

    Leave a comment:


  • Zaphod
    replied
    Originally posted by billy View Post
    Glad mom and baby are doing fine- congrats!

    Multiple arguments here about EF vs no EF and keep money invested. Your story, and mine 4 -6 months ago, are the rare types where everything comes at you like Murphys law and an EF helps, both financially but more importantly mentally - so you can focus on caring for your loved ones instead of moving money around/loans etc. The mental stress aspect is often overlooked. But I will concede an EF is like insurance- yes strictly financially speaking money invested usually will win out over an EF.
    In this vein since you're usually building up an EF, I dont even see much downside to investing at all, since it will be dca'd over time. Sure if you lump summed at the top that would hurt, but if you built it up in a more normal over time fashion you've already decreased the likelihood that happens by a lot.

    Leave a comment:


  • nephron
    replied
    Yes, I agree. I am glad that the op had sufficient funds to pay for their medical expenses, but I would view this less as an emergency and more as a planned medical expense. If you are planning on having a baby, you should plan for the expenses associated with that baby. Similar to how college tuition is not an "emergency" expense.

    Leave a comment:


  • childay
    replied
    Originally posted by F0017S0 View Post

    A favorite movie of mine is Nic Cage’s “Bringing Out the Dead”. A version of “One Flew Over the Cuckoo’s Nest” in the setting of EMS and not psychiatry…
    Oooh need to rewatch that for sure!

    Leave a comment:


  • Hatton
    replied
    Lots of potential bad here.

    Leave a comment:


  • MPMD
    replied
    Originally posted by pierre View Post
    Our second child is coming up on a week old now. We also have a HDHP and I am not looking forward to the bill, but will be able to pay it.

    We also will have an unexpected expense though. My wife was laboring at home like she planned on. It was a VBAC and we were prepared for labor to take forever. It was going fine for a few hours then she thought it stalled. Then all of a sudden she went from 0-60 in about 5 minutes, water broke, and she couldn’t walk. So she got to ride in an ambulance to the hospital. Baby was crowning when we rolled into the room. 25 minutes later he was here, happy and healthy.

    As an aside, they sent a fire truck and an ambulance, which I expect, and both only had men. They all pretty much refused to look at her nether regions and see if a baby was coming. They had a second ambulance meet them on the way with a women who finally checked her and said the baby was turtle heading. Seems weird to me that you can have a job as an emergency responder, but decide there are certain emergencies you don’t respond too. Anyway, if they try to charge us extra for another ambulance, that is a bill I would argue about paying.
    not to derail, but i think this would be worth a call to the EMS quality officer if your region.

    if they didn't follow the SOP someone should know.

    i wasn't there, but this limited info strikes me as very bad prehospital practice especially in VBAC, how many paramedics and firemen couldn't do a visual inspection for a presenting part? pretty important info for me to know as an ER doc.... "rule out labor" vs. "there is one foot and a lot of blood."

    former = let's find a room and plan to do a quick transfer to L+D
    latter = OB/NICU to bedside in resus bay, baby warmer on, OB tray opened, hold an OR

    Leave a comment:


  • billy
    replied
    Glad mom and baby are doing fine- congrats!

    Multiple arguments here about EF vs no EF and keep money invested. Your story, and mine 4 -6 months ago, are the rare types where everything comes at you like Murphys law and an EF helps, both financially but more importantly mentally - so you can focus on caring for your loved ones instead of moving money around/loans etc. The mental stress aspect is often overlooked. But I will concede an EF is like insurance- yes strictly financially speaking money invested usually will win out over an EF.

    Leave a comment:


  • Tim
    replied
    Originally posted by Nysoz View Post
    My unpopular opinion is that a traditional 3-6-12 month emergency fund in cash isn't necessary (especially if enough cheap money is available) but may need to be part of an emergency plan.

    All of these could be paid off on a credit card and paid off on time as you mobilize the money needed to pay it off. You can put the expenses on a 0% APR credit card for a year and pay it off later on. You can withdraw money using cheap margin or use a HELOC. You can just sell some stock/bonds for the cash needed.

    Any of these are just as viable as a cash fund long as a person understands the terms and risks involved. This allows a person to keep money working for them as significantly large unplanned expenses, especially ones that require cash, are thankfully rare.
    As long as someone does not take a Zero down doctor's loan and is stretching the cash flow for the "appreciation". A lot of those planned sources may have been already tapped. Those mortgages that are 3x and 4x's compensation on a 30 year mortgage to fit it in the budget typically end up being a liquidity problem.

    Leave a comment:


  • Nysoz
    replied
    My unpopular opinion is that a traditional 3-6-12 month emergency fund in cash isn't necessary (especially if enough cheap money is available) but may need to be part of an emergency plan.

    All of these could be paid off on a credit card and paid off on time as you mobilize the money needed to pay it off. You can put the expenses on a 0% APR credit card for a year and pay it off later on. You can withdraw money using cheap margin or use a HELOC. You can just sell some stock/bonds for the cash needed.

    Any of these are just as viable as a cash fund long as a person understands the terms and risks involved. This allows a person to keep money working for them as significantly large unplanned expenses, especially ones that require cash, are thankfully rare.

    Leave a comment:

Working...
X