4 responses

  1. Love this!

    My feeling is – if you have at least $2,500 in your savings account, put that money in an Index fund that is highly rated by Morningstar. You can take your money out whenever you need to, unlike a CD.

    Like

    • Thanks!

      As for index- totally true for a savings account for goals (like buy a car in 5 years) but way too much risk for an Emergency Fund. If you have more than your Emergency fund money in savings, then you can think about investing it.

      You can also invest in a Money Market Fund, which is basically like a savings account anyway, with similar returns.

      Like

  2. I totally agree that everyone should have an emergency fund. If you are having trouble saving 6 to 8 months of after tax income, I would suggest having enough money to cover your basic expenses, like rent, food, utilities etc…

    Liked by 1 person

  3. Pingback: If I Have Extra Money, Should I Invest It? « OMG I'm Thirty

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