Comments

  1. 20sfinances says:

    I agree that an emergency fund should be based on your spending habits. A rough figure can be helpful as a goal in starting out though. 6 – 9 months is ideal, I agree. But, someone who isn't monitoring their spending might be overwhelmed by what this comes out to when they first calculate it.
    My recent post Is it Hard to Time the Market in a Recession?

    • You make a good point there. Having an achievable goal such as $1000-$2000 is probably a good thing to build up to at first. Once you're at this level, you can then start to evaluate your spending needs to see if you need to save more. It might be the case that if people worry too much about HOW much too save that it might delay them from ACTUALLY SAVING.

      Wealth Informatics put together a great post recently about starting to save up an emergency fund – http://www.wealthinformatics.com/2011/09/22/how-m
      My recent post Was The “Lost Decade” Really Lost For Investors?

  2. Financial Freedom says:

    The banks are really cracking down with new fees. Even though it may be easier to stick with your current bank, it could save you quite a bit of money to investigate other options, especially credit unions and online accounts.

    • This is a valid point for everyone to think about. I've been a Bank of America customer for quite some time now since I like that they have branches in many different areas of the country in case I move around. However, I would most likely change to an online bank if they were to start charging me account fees.
      My recent post Was The “Lost Decade” Really Lost For Investors?

  3. I make savings a priority! I set up a payroll deduction and make it automatic..
    My recent post Am I Training for a Race?

  4. I completely agree with you. With an upcoming marriage savings is a huge priority for my fiancee and I. We both are saving like mad-men! This economy is shaky and you never know when it will completely implode so you definitely have to be prepared . Emergency funds should be the #1 priority!
    My recent post New E-Course! Win $50 in Cold Hard Cash!

    • Best of luck planning out the marital finances Jon! Do you have any posts talking about this issue? It's one of the things that I'm going to have to learn about whenever I get closer to marriage.
      My recent post Was The “Lost Decade” Really Lost For Investors?

  5. Using a tax refund is a great way to boost that savings account – I wish I was better about that one in particular. My tax refunds always seem to be used to pay for the little things that we don't have money for all year long!
    My recent post Credit Consolidation Services ; Do I Need Them?

    • Thanks for sharing Tracy. Do you not think it's better to minimize tax refunds so we're not giving interest free loans? Or, in your experience, is this a good way that people can save?
      My recent post Was The “Lost Decade” Really Lost For Investors?

  6. I think it really depends on the person and their ability to use discipline with their money. If they are able to take that extra money each month that will result from minimizing tax refunds and save/invest it, then it's certainly a smart move to take advantage of the opportunity.

    For people who have difficulty with saving on a regular basis and who would simply absorb that extra income into their budget and/or increase their standard of living, then getting the lump sum at tax time might make more sense.

    My recent post Credit Consolidation Services – Do I Need Them?

Speak Your Mind

*

CommentLuv badge