Emergency fund

Create an emergency fund.

Many unexpected things can happen, like you loose your job and it takes you a few months to find

a new one, your car broke down and you need to buy a new one, a medical emergency, and so on.

This emergency fund allows one to go through these difficult events without touching the wealth you already built or stop the process of building your wealth.

An added benefit of the emergency fund is the fact that it lowers the level of anxiety during these events.

In my experience the emergency fund should be at least 6 months of income. One shoes does not fit all,

there are many people that prefer one year of income.