I’m so happy I discovered this Reddit because there seems to be a lot of great information floating around here. I was talking with a co-worker the other day about savings accounts and retirement accounts. In my personal situation at any point in time if I have an emergency I have a credit card for the extreme short term and then I can take loan on my retirement account. The money typically arrives with 10 business days.
My question is why would I amass 30-50k in a savings account that yields at the very, very best 3% and I may never touch this money, when instead I could be maxing out my 401k contributions? Obviously a retirement account has the opportunity to make way more than 3%. I would much rather the 30-50k be in a retirement account than a savings account.
Am I missing something? I know if this was 15 years ago and I had zero money in my retirement account to draw from I would need savings. Past me should have a created a savings them for an emergency but since I didn’t have an emergency (thank god) and I’m now in the situation that I’m in, should I create a savings?
Submitted May 07, 2019 at 08:30AM by mattsh33 http://bit.ly/2VbRxKU
