Latest news with #emergencyfund
Yahoo
10 hours ago
- Business
- Yahoo
How a high-yield savings account with 'savings buckets' could supercharge your progress
Are you saving money for a vacation? A wedding? Car repairs? Chances are, you're working toward more than one savings goal right now, but you're lumping all of your spare money into one place: a traditional savings account. There's certainly nothing wrong with having just one regular savings account, but going that route makes it challenging to know how much you've really saved for each goal. If you're not careful, you could easily mix up your emergency fund with your savings for a down payment, for example. One way to avoid that problem is to open multiple savings accounts, each one dedicated to a different goal. However, to save a lot of time and effort — plus, grow your balance faster — you could open a single high-yield savings account that has "savings buckets" instead. This embedded content is not available in your region. Savings buckets, which are sometimes called sub-savings accounts, let you set up categories for each of your unique savings goals within one account. This free account feature, which comes with a handful of savings accounts, is like a set of digital envelopes you can use to build up and track your separate financial goals. For example, you can label one bucket as "House Down Payment," another as "Emergencies," and a third as "Holiday Gifts." When you make a deposit to your savings account, you get to choose if you want to keep the money in your general savings or move it to one of your buckets. Read more: Guide to the envelope budgeting system For accounts with this feature, the bank may offer anywhere from 20 savings buckets to an unlimited number, all of which earn the same interest rate as your general savings. These accounts also tend to have other savings-friendly features, like the option to round up your debit purchases and deposit the difference into a bucket. Eliminates the need for multiple savings accounts Can incentivize you to save more money Makes it easier to organize and track multiple savings goals Instantly transfer money between buckets Some accounts let you set goals and track your progress for each bucket Higher collective deposits can help you avoid bank fees and qualify for higher interest rates Mid- to long-term deposits usually earn more when invested in other types of accounts, such as certificates of deposit (CDs), 529 plans, or retirement accounts Interest rates are variable; savings account rates can change at any time Deposit amounts over $250,000 may not be federally insured Unfortunately, savings buckets aren't a common feature for savings accounts. But we've saved you the trouble of having to scour the internet to find a good option. Here are a few accounts that come with savings buckets and offer high interest rates — some up to 4% APY — to supercharge your savings progress. With Ally's online savings account, you can create up to 30 buckets. Ally also offers a competitive 3.6% APY with no monthly maintenance fees. To make things more convenient, Ally's "Boosters" let you schedule automatic deposits to the buckets of your choice. You can also opt to round up your debit purchases and transfer the money to savings once you've accrued at least $5. Read our full review of Ally. If you want the highest interest rates on an account with savings buckets, check out Betterment. All deposits earn 4% APY with Betterment's Cash Reserve account. Betterment doesn't use buckets per se, but you can input multiple savings goals and set up recurring deposits of your desired amount for each goal. Just note that Betterment is not a bank; it's a robo-advisory firm. So, its accounts have some unique requirements and features. For example, you have to open a Betterment Securities brokerage account before you can open a Cash Reserve account. Further, this account is a cash management account, not a regular savings account. With SoFi's online bank account, you can have up to 20 'Savings Vaults' at a time. Plus, your deposits earn up to 3.8% APY, depending on the total balance. SoFi also lets you input goals for each bucket and track your progress. Similar to Ally, you can opt to round up your debit purchases to the next dollar and have the difference deposited into the vault of your choice. Read our full review of SoFi. Wealthfront offers "categories," which serve the same function as savings buckets. With Wealthfront's Cash Account, another cash management account, you can set up an unlimited number of customizable categories within your account. And your balance earns 4% APY. Read more: The 5 best neobanks and fintech companies of 2025 For savings accounts that have savings buckets, there is not typically a minimum amount you have to deposit into each bucket. Yes. Regardless of whether you move your savings into a bucket or sub-account, it will usually earn the same interest rate. The number of savings buckets you can set up for your deposit account depends on the financial institution's policies. For example, Boeing Employees Credit Union (BECU) gives you 12 buckets while Wealthfront offers an unlimited number.
Yahoo
21 hours ago
- Business
- Yahoo
Tony Robbins: 7 Tips for Building Financial Security in Tough Times
Money is an all-too-common source of worry and stress. We fear losing our jobs, stock market crashes or simply not being able to pay all of our bills next month. While we can't control the greater economy or even our job security, there are steps we can take to protect our finances as much as possible and ride out any waves that come our way. Learn More: Check Out: In a blog post, entrepreneur and author Tony Robbins outlined a few effective tips to build financial security, regardless of what's happening in the wider economic environment. Here's how to create financial certainty in an uncertain world. Don't let your financial fears get the best of you. 'When the world seems uncertain, most people freeze or panic,' Robbins wrote. 'But the most successful people in history — those who built fortunes and legacies — did so by acting when others were paralyzed by fear. Remember, where focus goes, energy flows. If you focus on what you can control, you'll find the power to act, even when the sky seems to be falling.' Some things you can do to gain control are to build an emergency fund for short-term needs and to plan ahead for long-term goals through retirement savings accounts and life insurance. Explore More: Robbins says that if you want to 'shift your results,' you first have to 'shift your state.' 'Don't let the news or social media dictate your emotions,' he wrote. 'Take care of your body, move, breathe deeply, and prime your mind every morning for strength and gratitude. Certainty starts from within.' Paying attention to negative speculation can make you feel more fearful than is necessary. 'In times of uncertainty, rumors and negativity spread faster than the truth,' Robbins wrote. 'Get the real facts about your finances, your job and your opportunities. Make a list of your assets, your skills and your connections. Knowledge is power, and clarity is the antidote to fear.' One of the best ways to gain control of your money and work toward financial freedom is to create a budget that includes room for saving, investing and paying down debt. 'Now is the time to get lean and strategic,' Robbins wrote. 'Review your expenses and cut what isn't serving you. But don't just focus on scarcity — look for places to invest in your growth. The greatest fortunes are made in times of crisis, not comfort. Invest in your skills, your relationships and your health. These are assets that no market crash can take away.' Having diverse investments will help shield you from swings in the market. 'Volatile markets do not have to determine your stress level, and with the right strategy, they do not have to disrupt your future plans, either,' Robbins wrote. 'Take the time to understand proven tactics — like asset allocation, risk management and the buy-and-hold strategy. Study what the world's top investors are doing. Diversification and discipline are your best friends in uncertain times.' In addition to investment diversification, also consider diversifying your income streams. This way, if one income source runs dry, you'll have others to fall back on. When you're feeling anxious, your instinct may be to withdraw. But instead, focus on growing your network. That way, if you do lose your job, you already have connections that can help you find your next opportunity. 'Don't isolate yourself,' Robbins wrote. 'Reach out to mentors, peers and people who inspire you. Proximity is power. Surround yourself with those who are solution-focused and resilient. Share ideas, collaborate and support each other. Together, you'll find strength and new opportunities.' Even if you're facing financial hardships right now, remember that this is a phase — and you can move past it. 'Every economic winter is followed by spring,' Robbins wrote. 'The people who thrive are those who refuse to let fear dictate their actions. They adapt, they innovate and they keep moving forward. Decide now that you will be one of those people.'More From GOBankingRates 4 Things You Should Do When Your Salary Hits $100K If a Financial Advisor Doesn't Ask These 5 Questions in Your Consult, Keep Shopping 5 Steps to Take if You Want To Create Generational Wealth Robert Kiyosaki: 5 Money Habits of People Who Retire Early This article originally appeared on Tony Robbins: 7 Tips for Building Financial Security in Tough Times
Yahoo
2 days ago
- Business
- Yahoo
Can the Stock Market Keep Rising Forever? Here's How to Prepare for All Scenarios.
The S&P 500 is near its all-time high, which may give more cautious investors pause. The key is to plan for all kinds of scenarios, diversifying across asset classes and stock types. You should also keep an emergency fund and stay educated about global and market conditions. These 10 stocks could mint the next wave of millionaires › The S&P 500 is at nearly 6,000 and only 3% off of its all-time highs. While many investors are excited about the prospect of the market hitting new highs, some investors might be wondering how high it can go. It's a question that investors have grappled with many times, and yet the market has always climbed higher. The S&P 500 has almost doubled over the past five years and delivered life-altering wealth for confident investors who have remained in the market over time. If this is something you worry about, it's a good idea to prepare for all different types of scenarios. The likelihood is that the market will, in fact, keep climbing, but smart investors generally have a broad, long-term strategy to cover their bases. Here's what to do to be well-armed for any scenario. Is there inherent risk in investing in the stock market, even in the "safest" of stocks? Absolutely. But is the alternative any safer? If you look over the past hundred years, you'd have missed out on incredible gains if you had taken the pessimistic stance. While the past isn't any guarantee of the future, it's a pattern that has repeated itself over and over again. During that time, investors who have resisted the temptation to panic sell or give in to worries about how high the market can go have been well rewarded. Stay optimistic and remain in the market. Invest consistently in stocks that you've researched to meet your investing goals. Although it makes sense to stay in the market and invest consistently, you should always keep an emergency fund with enough money to cover three to six months of your daily living expenses. This way, if you need to generate cash, you can avoid selling stocks when the market is down when you may have to take a loss. Staying in the market means leaving your funds in the market over a long period of time so they can compound. That will require you to weather market drops. I don't say that as a maybe but as a given. Over 20 or 30 years or longer, there are going to be challenging times when the market drops and you're tempted to pull your money out. Having an emergency fund available will help you ride out the storms and stay in the game. If you're worried about how the market will perform, make sure you have your money diversified among asset classes and categories. Consider having about 25 to 30 stocks spread across a variety of industries, sizes, and across various categories tailored to your personal risk level and preferences. Considering what's happening with tariffs today, investors are also becoming more interested in putting some of their money to work for them outside the U.S. Beyond the stock market, you can and should invest in real estate, bonds, gold, and other assets. Many assets move in contrast with the market, and that's what hedging your assets is all about. If you're concerned about the direction of the market, reassess your strategy on a regular basis based on current and changing market conditions. Although "experts" can't tell the future and often offer differing opinions, you want to be aware of what's happening in the markets and in the world so you can make educated decisions and take decisive action when necessary. As part of your diversification efforts, make sure to have some solid, anchor stocks that can provide a bulwark under challenging circumstances. These are often slow-growing companies with stocks that are undervalued because their growth prospects are more limited than the new, hyped-up, exciting stocks of the day. They are well-established companies that can withstand the tests of time. These are the qualities that famed investor Warren Buffett often praises. His two longtime favorite and longest-held stocks, Coca-Cola and American Express, are both more than 100 years old and are still thriving today. Every investor should have some stocks like this to protect their investments. Ever feel like you missed the boat in buying the most successful stocks? Then you'll want to hear this. On rare occasions, our expert team of analysts issues a 'Double Down' stock recommendation for companies that they think are about to pop. If you're worried you've already missed your chance to invest, now is the best time to buy before it's too late. And the numbers speak for themselves: Nvidia: if you invested $1,000 when we doubled down in 2009, you'd have $373,766!* Apple: if you invested $1,000 when we doubled down in 2008, you'd have $37,140!* Netflix: if you invested $1,000 when we doubled down in 2004, you'd have $658,297!* Right now, we're issuing 'Double Down' alerts for three incredible companies, available when you join , and there may not be another chance like this anytime soon.*Stock Advisor returns as of June 9, 2025 American Express is an advertising partner of Motley Fool Money. Jennifer Saibil has positions in American Express. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Can the Stock Market Keep Rising Forever? Here's How to Prepare for All Scenarios. was originally published by The Motley Fool
Yahoo
3 days ago
- Business
- Yahoo
50 Habits That Will Prepare You for a Comfortable Retirement
A comfortable retirement isn't built overnight and it doesn't require a six-figure salary. What makes the difference are the small habits you build over time. Whether you're in your 20s or 50s the right habits will help you build the kind of retirement you want. The 50 habits below will set you up for a comfortable retirement. Explore Next: Check Out: 1. Start saving and investing early. Time is your greatest asset. The earlier you start, the more time your savings and investments have to grow. 2. Automate your finances. Set up automatic transfers to your savings, investing and retirement accounts. 3. Build an emergency fund. Save at least three to six months' worth of living expenses to avoid tapping into your retirement accounts during emergencies. 4. Take advantage of employer 401(k) match. This is free money. Always contribute enough to your 401(k) to get the full employer match. Read Next: 5. Contribute to an IRA. Use a traditional IRA or Roth IRA to grow your retirement savings tax-efficiently. 6. Diversify your investments. Don't invest in one asset class. Spread your money across stocks, index funds, ETFs and bonds to reduce risk. 7. Invest consistently. Use dollar cost averaging to invest consistently regardless of where the market goes. 8. Rebalance your portfolio regularly. Review your portfolio year and adjust asset classes based on your risk tolerance and goals. 9. Understand your risk tolerance. Pick investments that align with your risk appetite. 10. Avoid emotional investing. Stick to your plan despite the market swings. 11. Increase your retirement contributions annually. 12. Don't panic during market downturns. Don't panic sell your investments when the market is going down. 13. Stay invested long-term. Time in the market beats timing the market. 14. Shop for insurance annually. Compare rates for auto, home and health insurance to ensure that you're getting the best rates. 15. Use catch-up contributions. Contribute more to your retirement accounts once you hit the age of 50. 16. Avoid early withdrawals. Don't tap into your retirement accounts unless it's an emergency that deserves the withdrawal penalty. 17. Harvest tax losses. Strategically realize losses to offset gains and reduce current tax liability 18. Track your expenses. Know where your money goes so you can cut back when needed. 19. Create and stick to a budget. Without a budget, you won't know how to allocate your money. It also helps keep spending in check. 20. Pay off high-interest debt. Prioritize paying off high-interest debt like credit cards, followed by other debts. 21. Live below your means. Spend less than you earn to free up cash for savings and investments. 22. Avoid lifestyle inflation. Don't increase your spending when your income increases. 23. Shop around before major purchases. Make sure you're getting the best possible deal out there. 24. Cut unused subscriptions to save more. 25. Cook at home to save money. 26. Shop with a list. This helps prevent impulse buying and stick to your budget. 27. Wait 24 hours before large purchases to prevent emotional spending. 28. Treat yourself tax. For every item you splurge on, transfer the exact same amount to your savings. 29. Buy quality items that last rather than buying cheap stuff repeatedly, costing you more over time. 30. Review your bank statements monthly to know where you're overspending. 31. Use cash back and rewards strategically. Don't overspend simply to get cash back and rewards. 32. Use credit cards responsibly. 33. Negotiate your salary and ask for a raise to increase your income. 34. Maximize workplace benefits like professional upskilling. 35. Build your network with professionals to open doors for better opportunities. 36. Invest in your education for better career opportunities. 37. Create multiple income streams. Taking on side hustles can boost your income. 38. Use windfalls wisely. Channel bonuses and tax refunds to your retirement accounts. 39. Plan career transitions carefully. Consider timing, finances and benefits when changing jobs to maximize long-term wealth building. 40. Consider working longer. Delaying retirement for a few years can give your retirement savings a boost. 41. Set retirement goals. What do you want your retirement to be like? 42. Estimate your retirement expenses to determine how much you need to save for retirement. 43. Maintain good health. Healthy habits can help reduce medical expenses as you age. 44. Maximize your HSA. Health Savings Accounts offer better tax benefits and can function as retirement accounts after age 65. 45. Track your Social Security record. Make sure your earnings history is accurate for future benefits. 46. Delay Social Security if possible. Waiting until 70 boosts your monthly benefits. 47. Talk to a financial advisor. Get expert guidance whenever possible. 48. Consider Roth conversions. Convert traditional IRA funds to Roth accounts to reduce future tax burdens. 49. Create a will. Ensure your assets are distributed to your heirs. 50. Review estate plans regularly. Review every three to five years or after major events. More From GOBankingRates The 10 Most Reliable SUVs of 2025 This article originally appeared on 50 Habits That Will Prepare You for a Comfortable Retirement Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
3 days ago
- Business
- Yahoo
Cash Is Out: Gen Z Turns to Credit Cards in Emergencies
Credit One Bank Survey Identifies Generational Differences Regarding Personal Finances and Preparation LAS VEGAS, June 17, 2025 /PRNewswire/ -- Credit One Bank, a leader in the credit card industry, published findings from a comprehensive survey exploring attitudes and behaviors toward emergency spending and "Rainy Day Funds" across generations. The study, which analyzed responses from 1,000 U.S. adults ranging from Generation Z (Gen-Z) to Baby Boomers and beyond, found that while 65% of Baby Boomers who have cash/debit card(s) report maintaining a dedicated cash reserve for unexpected expenses, only 38% of their Gen Z counterparts do the same. Despite Gen Z's willingness to discuss money matters openly, their lower rates of cash saving underscore a gap in access to resources and foundational financial knowledge. Other key findings include: 60% of American cash/debit holders aged 18–34 do not have a cash emergency fund, compared to 35% of those aged 55+. 24% of American credit cardholders have a designated emergency credit card used solely for the purposes of an emergency; 76% of respondents do not. "The data we've uncovered underscores a profound shift in how Americans prepare for the unexpected," said Steve Min, Chief Credit Officer at Credit One Bank. "While older generations have long viewed cash as their primary safety net, younger consumers are increasingly turning to credit lines to bridge gaps in their emergency planning. At Credit One Bank, we believe in empowering all cardmembers with the tools and guidance they need to build a balanced financial strategy: from growing cash reserves to responsibly managing credit. As payment behaviors evolve, our goal is to support every generation with innovative products, clear insights, and personalized advice so they feel confident no matter what financial emergency arises." All figures, unless otherwise stated, are from YouGov Plc. Total sample size was 1,150 adults. Fieldwork was undertaken between 10th - 11th April 2025. The survey was carried out online. The figures have been weighted and are representative of all U.S. adults (aged 18+). About Credit One Bank Credit One Bank is a financial services company and one of the fastest-growing credit card issuers in the U.S. Founded in 1984 and headquartered in Las Vegas, Credit One Bank offers a full spectrum of credit card products including cash back and points-based cards as well as high-yield certificate of deposit and savings accounts. Credit One Bank is also an official partner of the Las Vegas Raiders and the Official Credit Card of NASCAR, the Vegas Golden Knights and Best Friends Animal Society. Learn more at in our Newsroom, or on social media (@CreditOneBank) on Facebook, Instagram, YouTube and LinkedIn. Contact Information Scott Matulis Public Relations Director O: 702.957.5327 M: 818.451.8918 View original content to download multimedia: SOURCE Credit One Bank
