4 Unique Ways to Set Aside Money for Unexpected Expenses in College

Even the most prepared people can sometimes be hit with unexpected expenses. There are ways that you can ensure that when these expenses occur that you have an avenue to help you pay them.

Here are some of the more unique ways that you can set aside money for any unforeseen expenses that come your way.

Create a Slush Fund

This type of fund has many different names depending on where you live in the country. You may consider opening up a savings account and putting aside a little bit of money each month as a part of your standard budgeting scheme. 

Some people will leave this additional money in their checking account for those unforeseen expenses. There is no wrong way to create an emergency fund as long as it fits within your monthly budgeting plans.

Have an Insurance Policy

Home owners insurance or even insurance policies for large ticket items around your home may be the way to go. For example, you might want to insure your HVAC unit. This could save you on an unexpected HVAC repair during a crucial weather event.

The point of these types of insurance policies is to minimize the amount of money that has to come out of your pocket at an unexpected time.

Overbudget on Items

Round up all of your monthly expenses in your budget. This includes your utility bills as well as any other type of expense that you have around your home. When you have a surplus for these items, you can put that extra cask into your slush fund. 

This method will also allow you to never be hit with a higher than expected monthly bill. You’ll already have this contingency built into your monthly budget.

Open a Health Savings Account

Medical expenses are some of the highest and most unexpected costs that you may experience in your life. Having a HSA account can help to minimize some of the costs that are associated with these types of expenses. 

Some employers will offer you an incentive to open up a HSA account. This could mean that free money is deposited into an account for you to use on your medical expenses.

Being prepared sometimes means that you’ll need to find creative ways to build up your reserves. There are lots of options that you can consider in order to set aside some money for those unexpected expenses in life.