There is a not-for-profit organization in the New York State specializes in raising mental health awareness, advocacy, and education. Most of the mental health community workers working in this organization are not enrolled in any pension system or have any retirement benefits. This lack of benefits has led to high turnover rates and compromised service quality, presenting an urgent problem. Based on previous literature review, the findings indicate a hesitancy among low-paid nonprofit workers to allocate part of their current income towards retirement, possibly due to a present bias exacerbated by their income levels, leading them to prioritize immediate financial needs over long-term security. So the organization is currently looking into the alternatives to address the high turnover issue among community workers.
One alternative is to build a rainy day fund, which is a type of emergency fund. The term “emergency fund” refers to money stashed away that people can use in times of financial distress. The purpose of an emergency fund is to improve financial security by creating a safety net that can be used to meet unanticipated expenses, such as an illness or major home repairs. So now please write an essay to introduce rainy day funds, and recommend it to the organization. The structure of your essay should be:
150 words for introducing what it is and what it means to non-profit; about 350 words for pros and about 300 words for cons.
Please read the attached introduction file for further details. Please note that the rainy day fund here is referring to a fund for emergency uses only. Please also mention in your work that it can mitigate the impact of economic shocks. I have also attached some additonal articles for you to get an idea about rainy day funds.
