Life moves fast, and usually, it’s great until your car makes a sound it definitely shouldn’t, or your laptop decides to retire early.
In 2023, StatCan found that 1 in 4 Canadians couldn’t cover an unexpected $500 expense. That’s a tough spot to be in, and it’s often how the debt cycle starts. It’s not always about “splurging”; sometimes, it’s just life happening without a safety net.
Before you go all-in on aggressive debt repayment or investing, try to tuck away a small “sleep-better-at-night” fund. Even $500 is a massive win. Keep making your minimum payments, but give yourself that buffer first. You’ll thank yourself later.
If an unexpected $500 bill landed in your lap today, would you feel ready to handle it, or is building that safety net your top priority right now?