I have a savings account which is intended to be used in an emergency. Some people may not understand the definition of an emergency, so I will address that in this page. However, the definition of an emergency is “An unexpected occurrence that needs to be addressed immediately“. Emergencies doesn’t include birthdays, holidays, wants, improper budgeting, someone else’s problems or any of those things. Someone receiving SSI is considered as living below the poverty line. With that being said, no one should expect a person on SSI to address just their emergencies.
The savings account has $1,000 which is half of my asset limits. The other half is my income to my checking account. While $1,000 is not really enough to handle a significant emergency, it is the most I am willing to deposit. Every month, I will receive some interest which adds to the savings account. On January 1, I will transfer my interest from savings to checking – therefore resetting my savings account back to $1,000.