I sat down with Jon and Andrew at badcredit.org recently to talk about why working Americans want help saving for emergencies. I became passionate about this journey because it’s partly my own.
You probably have seen the new data around lack of emergency savings, rising loans and withdrawals against retirement savings, and growing demand for workplace emergency savings.
I very much experienced this in my own life, and I remember that sense of drowning. Now, I am grateful to be in position where I am not longer stressed about having savings to count on in case something goes wrong. That sense of security is truly freeing.
I want that financial well-being for my peers and fellow working Americans. And it makes great business sense too – we’ve seen it reduce turnover, improve retirement security, and just make people feel little bit sunnier! To share that story and passion with badcredit.org, a platform with 27M+ readers learning from amazing financial experts, was a real treat for me.
Here's a teaser to that story. My deepest gratitude to Jon and Andrew for taking the time to learn more about our mission, my personal journey, and why this change is necessary for our fellow working Americans. Please make sure to read the full article on badcredit.org here: https://www.badcredit.org/news/sunny-day-fund-simplifies-emergency-savings-for-workers/
Preview of the badcredit.org article on emergency savings
“Being prepared for life’s unexpected twists and turns can boost your everyday confidence and peace of mind. But if we don’t see a twist in the road ahead, how can we possibly prepare for it?
While the exact nature of an unexpected event cannot be predicted, one thing is certain: Having the financial resources to adequately address life’s surprise expenses is one of the most important financial steps you can take. Opening and funding an emergency savings account helps accomplish this.
Sid Pailla, Founder of Sunny Day Fund, recognized the importance of having an emergency savings fund firsthand. Unfortunately, he made this realization while ensnared in a situation that called for savings that he and his family didn’t have.
Sid and his family emigrated from India to the United States at the turn of the millennium. Like many other investors, they saw their hard-earned savings dramatically dwindle through the stock market downturns of that time. Their savings, which were primarily parked in retirement accounts, further evaporated through early withdrawal penalties and various transaction charges.
“Thankfully, we made it out of that,” Pailla says. “But the experience really ingrained in us the importance of making sure our personal finances were something that would never hurt us again. That’s really when the inspiration for Sunny Day Fund was formed.”
The Sunny Day Fund takes its name from a play on words of the more commonly used emergency-savings phrase “rainy day fund”. Pailla said the reality is that savings can, and should, also be set aside for life’s more pleasant occurrences. When framed positively, Pailla notes the savings journey can be much more empowering.
“Yes, individuals can and should be saving for emergencies,” Pailla explains, “but funds also should be saved for large expenses such as the birth of a child, a downpayment for your new home, security deposits, or even your next vacation or a special gift for a loved one. Sunny Day Fund is a great place to save and grow your money for those life events as well.””
Read the full piece here, it’s a welcome discussion on a systemic approach to financial wellness and financial education!