Comments on: Banking Your Savings

By: Financial Festivals and Carnivals

Financial Festivals and Carnivals — Tue, 21 Apr 2009 10:43:11 +0000

[...] This week’s Festival of Stocks is up at Disciplined Approach to Investing. The Carnival of Personal Finance is at Mighty Bargain Hunter. Finally, last week’s Money Hacks Carnival was at The Consumer Boomer. It featured my story on Banking Your Savings. [...]

By: Money Hacks Carnival #60: The File Your Tax Return Edition

Money Hacks Carnival #60: The File Your Tax Return Edition — Wed, 15 Apr 2009 11:21:50 +0000

[...] presents Banking Your Savings posted at Fat Pitch Financials, saying, “This post provides a basic overview of how to save [...]

By: John

John — Sat, 11 Apr 2009 02:08:09 +0000

George, for many years I wouldn’t establish an emergency fund because I didn’t like the idea of having that much money in an account not making much. And even losing money in periods with super low rates and inflation probably higher than official stats.

But I learned, in ways that I won’t go into here. I’ll just stress that, in many ways, an emergency fund benefits you emotionally as much as financially. And during times like this — with investment accounts down and employment issues everywhere — it certainly reduces stress.

By: George

George — Fri, 10 Apr 2009 03:21:45 +0000

Hi John, I really appreciate your feedback on this article. It has been a while since I’ve discussed personal finance on my blog, but the topic is becoming important at my house. My wife has rejoined the workforce and it has been having a big positive impact on our finances. I’m having to make all sorts of changes, so I’ll likely touch on personal finance a bit more over the coming weeks.

Your take on debt and “emergency funds” is very similar to my own. It makes me feel confident that I’m on the right path, especially since I respect your opinion highly.

By: John

John — Fri, 10 Apr 2009 02:45:30 +0000

Excellent article, very timely though the subject matter is really timeless.

My take is to strive to have no debt, other than a home mortgage. And to have an “emergency fund” or “rainy day fund” equal to 6 month’s living expenses stashed in a separate savings or money market account. Many recommend 3 or 6 months. I vote for 6 months if a household has only one source of full-time income.

Just my two cents.