There is a reason that my usual weekly post is going out today instead of on this past Monday. It is not because Monday was a holiday, it is because on Monday someone decided to steal my MAC, iPad, iPhone, notebooks, and luggage with all of my clothes and my children clothes. They also stole my husband's luggage as well. This post is not about the thieves. It is about preparation especially when it comes to our money.
A lot of high price items were stolen. The amount lost was in the thousands. Thankfully I have homeowner's insurance, but I also have an "In Case You Are Breathing Fund!"™ An ICYABF™ is for emergencies and Monday's incident was an emergency! Forget the clothes, shoes, and book bag that was stolen. EVERYTHING that I use for my business was taken even my planner with all my speaking dates inside including the six speaking engagements I have this month alone!
My homeowner's insurance has a $2500.00 deductible which means that I have to spend $2500.00 of my own money first before the insurance company gives out any of it's money. 62% of Americans could not come up with $1000 in the event of an emergency. Imagine if I was in that number? I wouldn't be posting this right now. I wouldn't be calling and scheduling speaking engagements today. I wouldn't be able to perform the activities that bring in money into my household.
The reason that I have a $2500 deductible is because I want a low monthly payment from my insurance. It is the same reason that my medical insurance has a high deductible. I save a lot of money each year, but that comes with a risk. The risk is if someone steals high price items, my house burns down, I get really sick, etc I have to cover a high deductible before insurance kicks in. I know the risk and I accept it because I know that I have an ICYABF.™
If you are reading this you should have your own ICYABF™ because if you are breathing an emergency at some point in your life is going to happen. Your ICYABF™ should be at least $1500-$2000 and more if possible. When you have more in a ICYABF™ then you can opt in to the higher deductible plans so you can save monthly on payments. When you don't have the right insurance or an ICYABF™ you will go back into debt.
If I didn't have the money to replace the items that I needed to get back to work I would have had to use a credit card which means going back into debt. It would have meant that I would be owing someone else! I don't like owing people money and that is why I have an ICYABF.™ An ICYABF™ keeps you in control of your money and your financial future. It keeps you in the driver seat. Whatever is depleted from my breathing fund I will have to replace so that I have a fully funded account once again. If you ever run into an emergency and you have to spend some of your ICYABF™ then your goal after the emergency is taken care of is to put the money back in!
Yes, I had a setback on Monday because of dishonest individuals, but because I prepared in advance I am up and running in less than a day. Because of that preparation I am ready to make a difference in the lives of others this summer at numerous college campuses and corporations!
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