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A financial emergency can happen anytime—from car repairs and job loss to health issues and natural disasters. Having some cash saved can make a big difference when the unexpected occurs.

Elizabeth Kiss, a family resource management expert with Kansas State University, says any amount saved is better than none. While credit cards and loans are options, using cash saves you from paying extra interest. Ideally, saving enough to cover six months of typical expenses helps, but even small amounts add up over time.

Preparing for emergencies means starting your savings now, reducing debt, and reviewing your insurance policies.

“Either create or update your emergency plan, and that would include your emergency contacts, what communication methods your family will use, and keep your important records safe,” said Kiss.

During a crisis, use your savings wisely for essentials and contact lenders if you need to adjust payments. Seek community resources like unemployment benefits or food assistance if needed.

“So for some of those basic needs, housing assistance, food assistance, if you need childcare assistance so that you can go and apply for a new job or something like that, or transportation, of course, it will vary widely from community to community.”

Afterward, document damages carefully for insurance claims and be alert for scams. Once you’ve used your emergency fund, work on rebuilding it for the future.

Starting early and saving regularly creates a financial safety net that offers peace of mind when life throws curveballs.