Topic: Should I Use Emergency funds or Sell my Assets ? - page 11. (Read 1462 times)
You need to look at the situation you have. if you really don't really need the assets you have, then you need to sell some. however, if you feel that these assets are really very important to you, then use an emergency fund. Aren't you raising an emergency fund for this? however, if you believe that an emergency fund is not for this, then you will need to sell some of your assets. well, going forward, when you have fixed your finances, you can buy new assets. however, personally, I would probably use an emergency fund in this current situation.
I reluctantly followed the counsel of a financial advisor to fix my finances in order by creating a budget and tracking my expenses, inflow and outflow of cash using an excel sheet.
However, only those who possess superior insights than yours are worthy of offering their opinions and grievances on this platform. Up to this point, you will encounter a diverse array of users within this forum, and advice pertaining to financial planning holds immense significance for the progression of your life. It is highly discouraged to make decisions based on the opinions of individuals lacking expertise in the financial domain.I am not demeaning the users here, but I am suggesting that you seek more reliable guidance for your financial concerns. The right individual to approach would be a financial advisor.
I reluctantly followed the counsel of a financial advisor to fix my finances in order by creating a budget and tracking my expenses, inflow and outflow of cash using an excel sheet. The economy has been crazy in my country so I needed to do something urgently. My greatest realization after this is that inflation all round is destroying my budget. It's been five months now. I am torn between using my emergency funds or selling some of my assets to cushion the effect of this economic situation. What do you suggest I do?
Inflation and economic issues are the same all around the globe, people who are not very rich are compelled to spend the money they have saved for bad times such as a medical emergency or something more severe like a funeral, etc. In such situations, you seem to have no choice but to use the money and then spend years and years to save that much again, it becomes very difficult to take decisions in such times just like what you are facing.If I was to suggest something to you, I would say that you should first see if you don't have assets at a loss in case you had to sell them, if they are not at a loss, you can go ahead and sell them and use the money, or, you can alternatively use the emergency cash that you have and use the assets when an emergency comes so that your assets stay intact in case the market goes up, they might gain more value.
If you are still surviving in the current conditions, you don't need to use your emergency fund because that is for emergencies that really need money to survive in extreme conditions. But before that happens, you should stay as usual and use the funds you earn to survive.
Many people experience this current situation, whether they use crypto or fiat because this all comes suddenly and makes it difficult for people to survive. You can make a budget or your financial report on an Excel sheet to track your expenses and how much money you can save if the situation worsens.
We cannot avoid heavier inflation but can be prepared to survive the toughest conditions. You can survive in these difficult conditions.
Many people experience this current situation, whether they use crypto or fiat because this all comes suddenly and makes it difficult for people to survive. You can make a budget or your financial report on an Excel sheet to track your expenses and how much money you can save if the situation worsens.
We cannot avoid heavier inflation but can be prepared to survive the toughest conditions. You can survive in these difficult conditions.
I reluctantly followed the counsel of a financial advisor to fix my finances in order by creating a budget and tracking my expenses, inflow and outflow of cash using an excel sheet. The economy has been crazy in my country so I needed to do something urgently. My greatest realization after this is that inflation all round is destroying my budget. It's been five months now. I am torn between using my emergency funds or selling some of my assets to cushion the effect of this economic situation. What do you suggest I do?
What do you think? You've hired a financial advisor but you haven't understood anything. What do you think a fund called "emergency fund" is for? I don't know, maybe I'm crazy, but maybe it's for use in an emergency like the one you're talking about.
The other thing would be to analyze what you mean by "I needed to do something urgently", to see if it really is an emergency or what.
I reluctantly followed the counsel of a financial advisor to fix my finances in order by creating a budget and tracking my expenses, inflow and outflow of cash using an excel sheet. The economy has been crazy in my country so I needed to do something urgently. My greatest realization after this is that inflation all round is destroying my budget. It's been five months now. I am torn between using my emergency funds or selling some of my assets to cushion the effect of this economic situation. What do you suggest I do?
Well, it's called emergency fund for such reason. If you don't use it now, then when? Remember, the purchasing power of your fiat currency is depreciating as time passes - so it's gonna be a wise decision to use it now. Never touch your investment because that is your retirement insurance plan. The money that you set aside for your emergency funds will either have the same value in the future or worse it will only have a lesser value.
But of course I am not a professional financial advisor, but I'm just sharing my thoughts regarding your situation.
It depends on where you live but selling now will be a loss cause of the supply and demand power affected by inf. Use the emergency funds instead as it's getting affected directly and if you finish it and still need a help consider a no interest loan or sell an asset. Selling is the last thing you do.
I reluctantly followed the counsel of a financial advisor to fix my finances in order by creating a budget and tracking my expenses, inflow and outflow of cash using an excel sheet. The economy has been crazy in my country so I needed to do something urgently. My greatest realization after this is that inflation all round is destroying my budget. It's been five months now. I am torn between using my emergency funds or selling some of my assets to cushion the effect of this economic situation. What do you suggest I do?
What are you actually setting up an emergency fund for? I think your current condition is the best moment to use it than you sell the assets you currently have, always use an emergency fund according to what you initially planned, but if you have prepared it from the start for things like illness or death, then just use half of it, not all of it because no one knows human age.
Or evaluate the assets that he has, because there are some assets that you don't need like it is just incurring expenses for you.
So if you have assets that you think you can sell, and won't hurt any of your financial plans, then better discard it.
It is you alone who can determine how valuable is your asset for you, so at the end of the day, you can decide this for yourself.
Either way, at least you have your back-up source of funds in case you badly need it. It is always best to have something valuable that you can rely on in times of need.
on that possible bottom on which as investors or does have the knowledge about price dips and opportunities would really be that having the eagerness on trying out to accumulate and this is why
we do really end up with these kind of options.
As a financial advisor my first recommendation is not to not take advice from those whom aren’t themselves licensed financial advisors. I’m not saying there aren’t people out there, or even in this thread that don’t have good advice to give, but you just don’t know if they actually know what they are talking about and so that’s a scary proposition to trust just anyone.
I often hear from my clients “my coworker said I should do this” and I can tell you that 99% of the time that advice given is awful and incorrect.
No one here can give you a truly good answer unless we knew your entire financial situation. Without knowing that, giving advice would come from an incomplete space.
I often offer to help people on here (for free), so if you’d like some help, feel free to DM me.
Cheers
I often hear from my clients “my coworker said I should do this” and I can tell you that 99% of the time that advice given is awful and incorrect.
No one here can give you a truly good answer unless we knew your entire financial situation. Without knowing that, giving advice would come from an incomplete space.
I often offer to help people on here (for free), so if you’d like some help, feel free to DM me.
Cheers
Thats very generous of you ChiBitCTy, I hope the OP takes up your offer. Your advice
makes sense.
The only thing I can offer and its something others touched upon is that holding
onto FIAT is not beneficial in the long term and especially in this current inflationary times.
If one of the OP's assets is Bitcoin - thats the one you dont want to liquidate. Liquidate
the FIAT to save your Bitcoin.
Using the emergency funds or selling the assets which will grow good in the long run isn't the right choice. Try to hold the situation and keep yourself in difficulty for a short. During the same time analyse well and find the right way to make some additional earnings. By the time you can use the emergency fund to have some passive income. This will help in cushion your life style amidst the inflation that is found all around the world.
I reluctantly followed the counsel of a financial advisor to fix my finances in order by creating a budget and tracking my expenses, inflow and outflow of cash using an excel sheet. The economy has been crazy in my country so I needed to do something urgently. My greatest realization after this is that inflation all round is destroying my budget. It's been five months now. I am torn between using my emergency funds or selling some of my assets to cushion the effect of this economic situation. What do you suggest I do?
I mean. If you still have emergency funds then might as well. That's what it's used for anyway. I would see selling of assets as a last resort especially if you're in no position to let go of these stuff, like a car or a house for example, if let's say you need those to get by and help with what's powering your finances like work or business. Use your emergency funds first before selling your assets. that's basically it. But if you still could weather the effects of inflation in your country, I'd highly suggest you wing it for the meantime. It's a little drastic to use your emergency funds for expenses when you still could manage your finances and budgeting albeit a little harder than what you're used to. If you could still stand to carry on with this current setup, withhold from spending your emergency funds or selling your assets just so you could live comfortably. If thing go sour then use emergency funds, if those dry up then sell assets. simple.
I reluctantly followed the counsel of a financial advisor to fix my finances in order by creating a budget and tracking my expenses, inflow and outflow of cash using an excel sheet. The economy has been crazy in my country so I needed to do something urgently. My greatest realization after this is that inflation all round is destroying my budget. It's been five months now. I am torn between using my emergency funds or selling some of my assets to cushion the effect of this economic situation. What do you suggest I do?
What are you actually setting up an emergency fund for? I think your current condition is the best moment to use it than you sell the assets you currently have, always use an emergency fund according to what you initially planned, but if you have prepared it from the start for things like illness or death, then just use half of it, not all of it because no one knows human age.
Or evaluate the assets that he has, because there are some assets that you don't need like it is just incurring expenses for you.
So if you have assets that you think you can sell, and won't hurt any of your financial plans, then better discard it.
It is you alone who can determine how valuable is your asset for you, so at the end of the day, you can decide this for yourself.
Either way, at least you have your back-up source of funds in case you badly need it. It is always best to have something valuable that you can rely on in times of need.
I reluctantly followed the counsel of a financial advisor to fix my finances in order by creating a budget and tracking my expenses, inflow and outflow of cash using an excel sheet. The economy has been crazy in my country so I needed to do something urgently. My greatest realization after this is that inflation all round is destroying my budget. It's been five months now. I am torn between using my emergency funds or selling some of my assets to cushion the effect of this economic situation. What do you suggest I do?
What are you actually setting up an emergency fund for? I think your current condition is the best moment to use it than you sell the assets you currently have, always use an emergency fund according to what you initially planned, but if you have prepared it from the start for things like illness or death, then just use half of it, not all of it because no one knows human age.
I am torn between using my emergency funds or selling some of my assets to cushion the effect of this economic situation. What do you suggest I do?
Actually, dealing with inflation which causes the economy in your country to be unstable is very easy, because you have an emergency fund and several assets. You have an emergency fund why don't you use it as best you can, isn't it the emergency fund that you have prepared to deal with an economic situation like this. This is where the role of an emergency fund is because it can be a solution to address urgent needs in situations like this. In the midst of a surge in inflation and the threat of an even world economic recession that overshadowed the global capital market, not only in your country this can also happen in my country.Assets should not be sold in conditions like this, if you are afraid that the emergency fund will not meet your needs for 6 months, it is better for you to take the initiative to find a side job to cover your shortfall. Because selling assets is not the best solution in the midst of inflation, inflation can actually reduce the real value of money, for that you have to hold on to the assets you have. Moreover, the asset that you have is bitcoin, this is good and gives you a return that is greater than the inflation rate.
I reluctantly followed the counsel of a financial advisor to fix my finances in order by creating a budget and tracking my expenses, inflow and outflow of cash using an excel sheet. The economy has been crazy in my country so I needed to do something urgently. My greatest realization after this is that inflation all round is destroying my budget. It's been five months now. I am torn between using my emergency funds or selling some of my assets to cushion the effect of this economic situation. What do you suggest I do?
Fighting inflation? Then if i do have that money or fund then it would definitely be putting up those money into several investment, doesnt matter on where you would be putting it as long it would really be giving out that chance for you to make profits which would really be able to patch up that inevitable inflation effect. Once you do reach out this certain state on where you are already making profits then for sure you wouldnt really be able to felt out that effect. This is why if you do have that current income or inflow of money then try out to double it as best as you can. This might sounds easy but its not something that would anyone could
be able to pull on. This is why challenge yourself on creating more income source so that you would be able to survive and you arent alone that experiencing this stuff.
There's no need to sell or using up your emergency funds because as long you do still have the money to roll on then you should be wise on what you should gonna do.
As a financial advisor my first recommendation is not to not take advice from those whom aren’t themselves licensed financial advisors. I’m not saying there aren’t people out there, or even in this thread that don’t have good advice to give, but you just don’t know if they actually know what they are talking about and so that’s a scary proposition to trust just anyone.
I often hear from my clients “my coworker said I should do this” and I can tell you that 99% of the time that advice given is awful and incorrect.
No one here can give you a truly good answer unless we knew your entire financial situation. Without knowing that, giving advice would come from an incomplete space.
I often offer to help people on here (for free), so if you’d like some help, feel free to DM me.
Cheers
I often hear from my clients “my coworker said I should do this” and I can tell you that 99% of the time that advice given is awful and incorrect.
No one here can give you a truly good answer unless we knew your entire financial situation. Without knowing that, giving advice would come from an incomplete space.
I often offer to help people on here (for free), so if you’d like some help, feel free to DM me.
Cheers
Better the emergency funds in place of your asset, You already know that your crypto asset especially btc holds a very high value over any fiat currency. Despite the volatility of btc price it is much reliable in terms of keeping the value more than any fiat would. And in the absence of emergency funds, you can always exchange a tiny part of your asset and receive more funds. So in my opinion, you should use the emergency funds and preserve your asset.
I reluctantly followed the counsel of a financial advisor to fix my finances in order by creating a budget and tracking my expenses, inflow and outflow of cash using an excel sheet. The economy has been crazy in my country so I needed to do something urgently. My greatest realization after this is that inflation all round is destroying my budget. It's been five months now. I am torn between using my emergency funds or selling some of my assets to cushion the effect of this economic situation. What do you suggest I do?
It depends but most likely selling the assets seems the right choice to me cause this inflation is not going to stable in the short term so you need to make changes to avoid the difficulty on your monthly economic expenses. First of all you don't keep too much money as emergency funds especially when the economy is under crisis due to inflation, so better keep them in gold so you can liquidate whenever you want. Then about the assets, it should be generating revenue for you not just simply stable and you can get returns only if you sell them.
Your first course of action should be identifying where you are spending beyond your means, if you are slowly chipping away at your assets. If you have a mortgage that is constantly going up due to rate rises and you cannot afford it on your salary, you need to seriously consider selling your property and downsizing - the alternative is trying to brave it out for another year in the hope of a payrise or rates coming back down. An emergency funds in intended for just that purpose, like if a big item such as a fridge or car was to break down and you need a replacement. It may be better to sell other assets but you need to rebalance your budget or it will only be a short term fix to the longer term problem.
Budget planning is not a simple procedure. Sometimes it is the use of emergency funds that can make a big difference. Of course, you must calculate exactly how to use these funds, otherwise you can make the situation much worse. However, you can hire a good risk manager.
I reluctantly followed the counsel of a financial advisor to fix my finances in order by creating a budget and tracking my expenses, inflow and outflow of cash using an excel sheet. The economy has been crazy in my country so I needed to do something urgently. My greatest realization after this is that inflation all round is destroying my budget. It's been five months now. I am torn between using my emergency funds or selling some of my assets to cushion the effect of this economic situation. What do you suggest I do?
If you think saving fiat is not the best because of bad economy, I think it will better if you invest the money into something that is valuable than saving it as fiat that will constantly lose value. The time we are right now, most economy are struggling and fiat is also struggling with its own value. Think of what you know you can do better that will help the savings in your hand not to be waste, with how things are going right now I don't think the economy will be better anytime soon so I don't think their is any need of saving fiat because it will keep losing value.Their are lots of investment, make research's and invest with the amount you can afford to lose , it can also not be crypto you need to invest on but something that is valuable and that you think you can also manage the risk. Since when the economy have been this way I made a decision not to save any money as fiat because do that is a waste which my savings won't have value because of the serious inflation in the market. Savings in fiat is a wrong decision for this bad economy.
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