SAVINGS
It is important to have an amount of savings ready for emergencies and other unplanned expenses on top of a little bit extra to fund the variances one might face in expenses week-to-week or month-to-month. You can fin many suggestions on how big this emergency fund should be but the smallest amount suggested is 3 months and the largest is a year. Most sources suggest 6-8 months.
You can save in multiple ways from more secure and nearly risk free banks and credit unions to more risky financial products such as bonds, stocks, mutual funds, ETFs, and more.