There is a difference between an emergency savings and a regular savings. The regular savings can be used to buy a car, for a down payment on a home, or for preparation to take a trip. An emergency savings is a small fund that individuals invest into for a “rainy day.” The emergency savings should not be touched unless there is an emergency. Shopping is not an emergency. Going on a trip with friends at the spur of the moment is not an emergency. Your car breaking down and that is needed to get to and from work is an emergency. Your child needing emergency surgery that your insurance will not pay for is an emergency. You just want to be able to take care of anything that comes up in your life without stressing.
You want to keep both accounts separate. Even if you invest $15 from each check into the emergency savings account, that will leave you with $360 a year that can be used in a time of need. Start putting something away in your emergency savings and savings account. Every penny really does count. Budgeting is the best way to see the plan.
Let’s walk that path of financial freedom!