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What they don’t teach you about money

Money Clinic with Claer Barrett

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How Much Cash Should You Keep in an Emergency Fund?

I ate for six months, fixed outgoings, but with no real rationale. It's one of those figures that financial advisors kind of pluck out of the air and say, you need to have six months. I think a lot of it depends on your individual circumstances. You don't want to be investing money that you might need back in a couple of years' time if stock markets fall. Maybe you're saving up towards having a baby paying for childcare. The obvious one is house deposits - we've had a separate question on that.

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