Comments on: Emergency Funds – Do You Really Need One? http://eliminatethemuda.com/2009/12/emergency-funds-do-you-really-need-one/ Where we prove that it is easier to save a dollar than to make a dollar! Fri, 18 May 2012 13:20:17 +0000 hourly 1 http://wordpress.org/?v=3.3.2 By: Carnival of Money Stories - Almost Frugalhttp://eliminatethemuda.com/2009/12/emergency-funds-do-you-really-need-one/#comment-158 Carnival of Money Stories - Almost Frugal Mon, 21 Dec 2009 10:07:14 +0000 http://eliminatethemuda.com/?p=729#comment-158 [...] presents Emergency Funds – Do You Really Need One? posted at Eliminate The Muda!. Honestly the thought of saving a thousand or more dollars just [...] [...] presents Emergency Funds – Do You Really Need One? posted at Eliminate The Muda!. Honestly the thought of saving a thousand or more dollars just [...]

]]> By: Evolution Of Wealthhttp://eliminatethemuda.com/2009/12/emergency-funds-do-you-really-need-one/#comment-151 Evolution Of Wealth Fri, 18 Dec 2009 15:21:08 +0000 http://eliminatethemuda.com/?p=729#comment-151 Then I think you are right on. The way I read your post made me feel as though you were talking about keeping very little liquid. $25k could definitely be enough for you. As long as you have access to more money if need be it might not need to be as liquid as sitting at the local bank. Cash erodes, so it could very well be in your best interest not to keep too much cash. You said it best when you talk about each person's situation and comfort levels. .-= Evolution Of Wealth´s last blog ..<a href="http://feedproxy.google.com/~r/EvolutionOfWealth/~3/iRaelnBI-x8/" rel="nofollow">FiLife Experiment</a> =-. Then I think you are right on. The way I read your post made me feel as though you were talking about keeping very little liquid. $25k could definitely be enough for you. As long as you have access to more money if need be it might not need to be as liquid as sitting at the local bank. Cash erodes, so it could very well be in your best interest not to keep too much cash. You said it best when you talk about each person’s situation and comfort levels.
.-= Evolution Of Wealth´s last blog ..FiLife Experiment =-.

]]> By: The LeanLifeCoachhttp://eliminatethemuda.com/2009/12/emergency-funds-do-you-really-need-one/#comment-150 The LeanLifeCoach Fri, 18 Dec 2009 11:56:10 +0000 http://eliminatethemuda.com/?p=729#comment-150 Evolution As I eluded, we had an emergency fund and continue to hold a small amount in cash, but in retrospect we held the fund too long. The amount of money necessary for one to feel comfortable will vary from one person to the other, but at some point even with a 2008 event you still have enough to deal with the majority of risks. To use your own post as an example; If I don't die, have insurance and I have prepared a major medical issue is really the only risk that almost no amount of money would be able to fix. In retrospect, I think I would have liked to phase out our emergency fund somewhere around $50-$60K. To your point, only having 10K and risking half may not leave you in a comfortable zone. Worst case $25K would leave us with several months worth of routine expenses. As for insurance, yes I carry a lot. My wife and children will not have to worry about finances if I were to pass away or become disabled. Evolution
As I eluded, we had an emergency fund and continue to hold a small amount in cash, but in retrospect we held the fund too long. The amount of money necessary for one to feel comfortable will vary from one person to the other, but at some point even with a 2008 event you still have enough to deal with the majority of risks.

To use your own post as an example; If I don’t die, have insurance and I have prepared a major medical issue is really the only risk that almost no amount of money would be able to fix.

In retrospect, I think I would have liked to phase out our emergency fund somewhere around $50-$60K. To your point, only having 10K and risking half may not leave you in a comfortable zone. Worst case $25K would leave us with several months worth of routine expenses.

As for insurance, yes I carry a lot. My wife and children will not have to worry about finances if I were to pass away or become disabled.

]]> By: Evolution Of Wealthhttp://eliminatethemuda.com/2009/12/emergency-funds-do-you-really-need-one/#comment-149 Evolution Of Wealth Fri, 18 Dec 2009 04:57:09 +0000 http://eliminatethemuda.com/?p=729#comment-149 Do you prepare for the bad things that happen at all? I try to understand your point of view. You really don't need it in cash and technically you might even be able to argue that your index fund is more liquid than your CD. The CD probably has a surrender charge. I'd rather have the index fund. The problem with the index fund is 2008. The problem is when you think you have $10 or $20 grand available and you then 2008 hits and you really only have $5 grand. That could be a problem. Why not head that problem off at the pass? I'm just wondering, do you carry insurances? .-= Evolution Of Wealth´s last blog ..<a href="http://feedproxy.google.com/~r/EvolutionOfWealth/~3/iRaelnBI-x8/" rel="nofollow">FiLife Experiment</a> =-. Do you prepare for the bad things that happen at all? I try to understand your point of view. You really don’t need it in cash and technically you might even be able to argue that your index fund is more liquid than your CD. The CD probably has a surrender charge. I’d rather have the index fund. The problem with the index fund is 2008. The problem is when you think you have $10 or $20 grand available and you then 2008 hits and you really only have $5 grand. That could be a problem. Why not head that problem off at the pass? I’m just wondering, do you carry insurances?
.-= Evolution Of Wealth´s last blog ..FiLife Experiment =-.

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