Skip to main content
No. of Recommendations: 1
I handle my savings somewhat differently. My "freedom" account is not a set percentage but a set amount. For instance, I have figured out the catagories that I need for the irregular payments, such as $100 a month for the cars (tabs, maintenance, tires, brakes, etc.), $100 a month for the kids (sports, book club at school, PTA fees, camps, etc.), $50 a month for charity, $50 a month for gifts (christmas and birthdays), $75 a month for vacation, etc.

I know that I will have these expenses no matter what, so the percentage doesn't matter. I consider my freedom account payment to my second checking account (free with free checks at a credit union) to be an expense like paying the mortgage.

The other savings (efund and retirement) are then distributed in order of funding the efund then the retirement. Once we had 6-12 months of living expenses in the bank, we quit saving in the efund and put the rest into retirement (401K, IRA, etc.).



Print the post  


UGC Disclosure Notice Regarding Credit Card Posts
Community board discussions about credit cards are not provided or commissioned by banks who may have advertising relationships with The Motley Fool. Responses have not been reviewed, approved or otherwise endorsed by the bank advertiser. It is not the bank advertiser's responsibility to ensure all posts and/or questions are answered.
TMF Credit Center
The Motley Fool Credit Center arms you with real tools and simple messages, that will help you in every credit situation.
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.