Authorization

I borrowed a strategy from my 401(k) to build up a cash emergency fund 2 years ago, and I'm never turning back

I borrowed a strategy from my 401(k) to build up a cash emergency fund 2 years ago, and I'm never turning back
martin-dm/Getty



Saving money can sometimes feel impossible when you live in a high cost-of-living city or have lingering debt to pay off.




I've always contributed automatically to my 401(k) and just learned to live without that money. Two years ago, I decided to implement the same strategy to build up a cash emergency fund.




I set up my direct deposit so that a specific amount of money from each paycheck goes into my high-yield savings account at Ally.




Then, I budget whatever is left over in my checking account for other expenses and discretionary spending.




Visit Business Insider's homepage for more stories.



It was about two and a half years ago that I realized I had no real emergency fund.
I live in one of the most expensive big cities in America, where saving money can feel impossible at times, but that was my only excuse.
Immediately after starting full-time at Business Insider, I began contributing to my 401(k). The money was taken out of my paycheck before I even saw it and I learned to live without it. I felt really good about how much I was saving, until I realized I had a paltry cash cushion to fall back on.
See also:
Leave a comment
News
  • Latest
  • Read
  • Commented
Calendar Content
«    Февраль 2020    »
ПнВтСрЧтПтСбВс
 12
3456789
10111213141516
17181920212223
242526272829