Who in the group creates special savings accounts to save for a specific goal.
At my credit union I have the following accounts:
Money market - emergency savings
- Vacation savings account for vacations.
- Car savings account for our next car purchase.
- Regular savings account for my big bills I paid twice year (property taxes and insurance). Usually transfer $600 a month but haven’t touch it once yet.
Does anybody else do this?
I don’t set up different accounts but I keep the totals I need for a given expense in my head. I’ve had enough for a new car sitting in a money market for close to 2 years. Waiting for prices to soften, I’m guessing by the end of this year.
My wife and I do this and have for 30y. It’s an electronic/banking equivalent to an envelope system.
- Emergency fund (S)
- HOI/RET - Homeowner’s insurance/real estate taxes (S)
- Auto Repairs (S)
- Safety eChecking - linked to debit or auto-pay bills (C)
- Safety eSavings - direct deposit savings (immediate transfer out) (S)
- HVAC Replacement (S)
- Deck Replacement (S)
- Driveway Replacement (S)
- Landscaping Redesign (S)
I have used a single account for all short term goals. I think maintaining a bunch of separate accounts sounds like a pain. This looks like a good compromise:
I break it up in Excel on my home computer…
I bank at a highly rated credit union that will not allow me more than one account, but I still love them. Smile