On the positive note, this friend HAD the money. She's been diligently squirreling away little bits of money every month for a few years now. While her emergency fund is smaller than she would like, it has been enough to see her through a difficult year. Can you imagine what would have happened to her if she hadn't been saving these little bits every month? What would happen to you if you were in her shoes?
Emergency funds are about more than life's "what ifs." It is about no longer living in fear. I have lived in fear in the past, fear of a car issue, getting sick and not having enough PTO to cover it, fear of a roof leak, you name it. I always felt like I was walking on financial eggshells. I no longer feel that way. One of the reasons that I no longer feel this way is because I do have an emergency fund.
Now that you know why you need an emergency fund, read Roth IRAs and Emergency Savings a Clever 2-in-1 for an easy strategy to make the most of your savings!