I know a couple who live on 2 acres in a ranch-style home built when they got married, in the early 1970s. Their house recently needed a new roof, as aging homes do. As a Generation X renter of a small house on3 ⁄4 acre, I thought a repair like this might cost $5,000. My guess was two-thirds short. Although the $15,000 new-roof price tag came as a shock to me, the couple were prepared because they’d planned and had an emergency fund.
Financial professionals stress the importance of an emergency fund for those times when something goes terribly wrong. This could be rebuilding after a natural disaster, or losing a season of work because of injury or illness. Having such a fund can mean the difference between keeping and losing the farm. Read on to learn how a farm consultant and a financial planner explain the ins and outs of building an emergency fund for your situation.
How Much to Save
Kirstin Bailey lives on her family farm in Brainard, Nebraska, where her family grows fruits and vegetables and keeps bees. In her job
