No. of Recommendations: 10
Even if you do have a robust retirement fund, if you withdraw more than you should one year to cover an unexpected cost, that could potentially throw off the rest of your retirement plan. Also, considering it's unlikely you'll only face one unexpected expense over several decades in retirement, overspending each time you face one of these costs could lead to running out of money too soon later in life.

That's a very long and complicated way to say "If you withdraw too much you will be in trouble."

It's a really stupid article. Likely written to fulfill her daily quota wordcount.
Cleverly, there are no comments allowed to he column.

Otherwise I would ask her, "What do you do after you've tapped your emergency fund? Leave it alone in its depleted state? Refill it so it's available for the next emergency?" Oh, but I see she has an answer for that. "Start your retirement with an emergency fund that is large enough to cover every expected emergency for the rest of your life. Enough to cover 20-30 years of emergencies."

Useless crap. This is Money Magazine level of uselessness. But Money Magazine folded a long time ago. That's why I do not bother reading stuff like that.


As you said, your entire net worth is your portfolio. Mentally separating a chunk of it and pretending that is somehow outside of the portfolio is just nonsense.
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