If you're like most people, you may not have an emergency savings fund.
It's not necessarily our fault, experts say, as our brains are programmed to focus on our needs today.
He and other financial advisors typically recommend having at least three to six months' living expenses set aside in case of an abrupt change in income or unexpected event.
At that point, it doesn't feel like as much of a stretch to set aside 20% of your income toward retirement and 5% toward an emergency fund.
Financial advisors often see this barrier to savings with their clients and have their own tactics for nudging clients to set aside more cash and free up flexibility in their budgets.
Persons:
It's, We're, Brad Klontz, CNBC.com, Klontz
Organizations:
Finance, CNBC FA