Anyone engaging with investing usually hopes for fine weather and steady tailwinds: the portfolio is in the green and prices are rising. However, rough seas are just as much a part of the financial markets as calm waters.

In seafaring, there is a simple rule: You don't drop anchor when the storm is already raging, but while the sea is still calm. It keeps the ship from being driven onto the rocks if the current suddenly shifts.In your personal finances, an emergency fund is your heavy sea anchor. It prevents you from having to sell your long-term investments when unexpected headwinds hit.

"Freedom doesn’t come from earning more and more, but from needing less and less to live well."

The word "budget" instantly triggers a feeling of restriction for many people. We think of deprivation, Excel spreadsheets, cutting out life quality, and a financial straitjacket that leaves us gasping for air.

When we browse online shops or stroll down shopping streets, we automatically look at the price tags. We see an amount: 49 euros, 199 euros, or perhaps 1,200 euros for the latest smartphone. Our brain instantly checks this value against our bank account: "Can I afford this?" If the answer is yes, the product goes into the shopping cart.

When setting sail on a journey at sea, no one simply hoists the sails blindly. Before turning the course into the compass, the helmsman asks one crucial question: Where exactly are we right now? Only those who know their precise starting point on the nautical chart can calculate the route to a safe harbor.