Emotional Stability Fund

I recently had a long-term pet of 16 years pass on. It was emotionally challenging, sad, disheartening to send her on to chase lizards and bunnies in the sky. Sixteen years is a long time of bonding with a pet and even though in the back of your mind you know the time is coming, we are often ill-prepared for that day.

The passing was due to old age and I received a lesson on animal biology. As animals age, their metabolism increases, opposite to us humans, our metabolism slows down. With this increase metabolism weight is being lost even with healthy eating (almost consistent eating in the end). Well this change causes heart conditions that can sometime throw a blood clot and effect other areas of the body and potentially cause death. It was sudden, but we knew what had to happen.

Now is where the “emotional stability fund” comes into play. I sometimes call this – as mentioned in What is your Risk Tolerance?“cash for the crash”. How can this be related?

Well, condolences and grieving ensued; but it was not done, it was time for the financial hit. Pets and doctor visits are not inexpensive, and we often don’t budget for these random events. (Most of us don’t have a budget!) Well I run a tight ship and know down to the penny what I will spend months in advance. But in this situation, I was not prepared.

But I was prepared because I have a “emergency fund” I call “emotional stability fund”, that is liquid cash easily utilized for unexpected events. If I was concerned with the cost of this event and/or “making rent”, this would have compounded the temporary emotional fragility. But access to liquid cash leveled the financial aspect away of this time and steadied my mind.

Now, bad things always seem to happen in 3’s. Well to no surprise the car experienced a leaky radiator a day later and to the shop it went! Why does this happen? It’s frustrating to have to take a vehicle to the shop for repair and could be unnerving had I not had that “cash for the crash” fund. So, to the liquid cash reserve again in 1 week, but now thankfully I am on the road again.

Life happens and over the years I now am wise enough to “expect the unexpected”. How in the world can someone “expect the unexpected”? **Hmmm guess my “emotional stability fund” is one answer to HOW to “expect the unexpected.”

Didn’t you say thing often come in 3’s?

Well yes I did. So the 3rd item (no joke) that happened a cousin is getting married and will have the wedding in 4 months. Wait that’s airfare, hotel and rental car. That’s not in my budget! Well instead of being a cheap ba$tard and an unloving cousin, we must attend. I actually love my cousin and would not miss the wedding at any cost (I’m not that cheap :–) ).

So I have written about the importance of a “emotional stability fund” or “cash for the crash fund” before in a post What is your Risk Tolerance and hope this would help to see a real life example to demonstrate how life just seems to creep up on you, but your liquidity has your back. Never stop saving, you will need it one day.

Rest in Peace Birdy.

[Photo by Noah Boyer on Unsplash]