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How To Build An Emergency Fund

One of the most important resources in your financial life is a well-stocked emergency fund, an account to tap when an unexpected event derails your financial plans. "The purpose of this money is that it’s like an insurance policy," says Jamie Ebersole, a certified financial planner in Wellesley Hills, Massachusetts. "You might not see a lot of return from it, but you're happy (it's there) when you need it."