Saving Money and Building Emergency Funds
Build the habit of saving, create an emergency fund sized for US living costs, and explore savings vehicles like HYSAs, CDs, I-Bonds, and T-Bills.
This module bridges the gap between budgeting and investing. Before you can grow wealth, you need a financial safety net that protects you from life’s inevitable surprises — a job loss, a medical emergency, a car breakdown, or an unexpected move.
You will start by building the psychological habit of saving, understanding why it feels difficult, and learning techniques that make it automatic. Then you will learn exactly how much you need in an emergency fund, with specific guidance for the US context where healthcare costs, housing expenses, and lack of a robust social safety net make an emergency fund especially critical.
Finally, you will explore where to keep your savings so they grow instead of losing value to inflation. High-yield savings accounts, certificates of deposit, I-Bonds, Treasury bills, and Series EE bonds each serve different purposes, and you will learn which ones fit your situation.
By the end of Module 3, you will have a fully funded emergency fund strategy and know exactly where to park your short-term and medium-term savings.