When you’re the one handling the finances in the house, a lot of responsibilities falls to you. You handles basically everything in that has to do with expenses and repairs, which is, well, EVERYTHING. This means you plan the expenses and calculate everything from the food and house bills, down to tuition fees for the kids and the little things that you and the family might take a fancy in.
That is great and all but what happens when an emergency happens?
Are you prepared for something like that? They come in unexpected, you know? Hence why they’re call emergencies. What if you already spent your salary on the usual needs but then something like a fire or something worse happens? Do you have the extra money to handle that? Because they happen at the worst times or the times where you least expect it. You would be “caught with you pants down” in that situation, except it’s less funny and more horrifying.
You need to be prepared for something like that. But first, you need to be aware of the financial emergencies in life.
Divorce
This is a lot more expensive than you think it would. Do you have any idea how much lawyers cost? And then we haven’t even talked about the outcome afterwards, where the end of the case would result in one of you taking responsibility of something depending on the situation. It’s CRAZY expensive. Don’t divorce if you two are falling out of love. Just settle it peacefully and live far away from each other. That’s less heartache and if there’s a possibility that things can be patched, then there is no law there cutting you guys in the middle.
Death
We don’t really want to think about this. It’s inevitable though so you kind of have to mentally prepare yourselves about it when it happens. It’s costly too, with the funeral service and such.
Natural disaster
The worst thing about this is that ALL of you are affected. It isn’t just the parents, it isn’t just your kids, and it could also affect your neighbours. Fires, earthquakes, storms, tsunamis, you name it. Those things literally DESTROY homes and families. The afterwards part of the equation, if you survive all that, is twice as expensive as when you first got your stuff.
Bankruptcy
Word of advice, don’t take risks that are way too big. You should be watching that credit card limit of yours.
Accidents/Illnesses
This happens more often than we would like to admit. Trips to the hospital isn’t exactly cheap, you know? However all of us still can’t avoid it. Our health is as fragile as it is unpredictable.
Retirement
You should ask the question “Do I have enough?” here. Avoid any mishaps and changes by consulting a financial adviser instead.