Financial advisers often suggest that people save a portion of every paycheck, even if the amount is small. Over time, small deposits add up, and the interest earned on savings makes the total grow faster. An emergency fund is especially important. It allows a family to pay for unexpected costs, such as a car repair or a medical bill, without taking on debt. Many advisers recommend saving enough to cover three to six months of expenses.

Answer and explanation

Correct answer: D. Save part of each paycheck

  1. Step 1: The first sentence states this advice. Answer: Save part of each paycheck. Why not the others: Spend all of your income each month, Avoid putting money in any bank and Borrow money before you start saving don't fit.

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