Should I Keep My Emergency Funds in a Roth IRA?

June 09, 2014

In last week’s blog post, we examined the flexibility of Roth IRAs. Perhaps the most appealing feature of Roth IRA accounts is the tax-free growth of earnings. If you expect to be at the same or a higher tax bracket, the Roth IRA is definitely worth considering based on the prospects of future tax savings. Even if you don’t have a strong opinion as to where your future income tax bracket will be when you need access to your funds, it may prove beneficial to have this added feature of tax diversification. Continue reading “Should I Keep My Emergency Funds in a Roth IRA?”

Learning to Become an Extreme Saver – Part 1

April 12, 2012

We’ve all heard about the many benefits of saving money.  With money in the bank, you can pay for things you need or want without going into debt.  You have an emergency fund to help tide you over in case you lose your job and you have the foundation for a nest egg that can be invested conservatively and grow over time into a substantial amount saved for retirement.  There’s no question that being a saver has several advantages.  But have you ever thought about the advantages of becoming an ‘extreme saver’? Continue reading “Learning to Become an Extreme Saver – Part 1”

Are You Married to a Spender?

October 31, 2011

What do you do if you are married to a spender and you are a saver?  Last week I met a woman (I’ll call her Paula) during a worksite financial planning session, and she complained about this very thing.  Having money in savings is a high priority for her – she has four months of emergency funds saved and has a dent in the down payment for their future house.  She is recently married to a spender (I’ll call him Rick) and is starting to feel resentful because the burden for saving is on her. Continue reading “Are You Married to a Spender?”

Are Emergency Savings Really Enough?

July 07, 2011

We often hear that we should keep at least 3 – 6 months of expenses in savings for emergencies. Some experts suggest increasing it to 6 – 12 months or more because of the economy. The main reason usually given for emergency funds is to have something in case Continue reading “Are Emergency Savings Really Enough?”