"Emergency funds are for retards." Coli Poster

[Kyle C. Barker]

You can withdraw your funds AFTER the stock sales settle. That alone takes 3 days. I'm so tired of smart dumb nikkas on here man. A rainy day fund is important, particularly if you don't have a credit card.

It takes 2 days with tdameritrade negro.

Who's your broker?

 

[Sad Bunny]

He's broke

You not suppose to invest all the money you got, some money you just have put away just to have it put away

that's why its called emergency funds

taking money out from your investments eliminates the point of you investing, and you are too broke to be investing if you need to withdraw from those funds, which is why you need savings you don't touch lmao

Who is broke?

I agree with your post though.

I invest 15% of my HH income and I also have an emergency fund and a fun money account.

 

[Prodyson]

https://blog.massmutual.com/post/borrowing-from-your-401k-the-risks

The only thing you lose ( which should be obvious ) is the money you would’ve earned on the interest and ours we have to pay ourselves back the interest.

We’re talking about “emergency” funds so how much earned interest would you lose on emergency funds just sitting in your bank account...?

That’s only if it’s an approved hardship. It’s also assuming you pay the loan back within the given amount of time. And to be fair, if you have to take the loan in the first place, it doesn’t bode well for your ability to pay it back.

With regard to your question, it depends on how much the emergency fund is. If it’s just $1k-$2k, which should cover most emergencies, it’ll be very little lost. It also means you don’t have to sell your positions (assuming you’re pulling from a personal brokerage account).

 

[Luke Cage]

Hardship withdraws and loans are not the same,

Didn't say they were

 

[The Notorious K.I.M.]

That’s only if it’s an approved hardship. It’s also assuming you pay the loan back within the given amount of time. And to be fair, if you have to take the loan in the first place, it doesn’t bode well for your ability to pay it back.

With regard to your question, it depends on how much the emergency fund is. If it’s just $1k-$2k, which should cover most emergencies, it’ll be very little lost. It also means you don’t have to sell your positions (assuming you’re pulling from a personal brokerage account).

The oan generally comes straight out of your check. They have theirs before they even cut your check. Now if you quit or get fired and you can't repay, it's a withdrawal

 

[Big Blue]

It takes 2 days with tdameritrade negro.

Who's your broker?

You're right breh, my bad. I use Fidelity which is 3 days. I agree with you though. There situations when you need those funds immediately. If you can wait 2 days for something than it's not an emergency.

 

[The Realist Perspective]

Well, both of you are not entirely wrong. It's not wise to keep a lot of liquid cash. Keep it in a blue chip. It's easy to do. Robinhood makes retail investment available to everyone.

Rainy day - Drop into a blue chip
Emergency fund - Keep liquid cash enough to offset 2 months of expenses.

 

[Pimp]

He's not just talking about 401Ks and IRAs.

He was also talking about a brokerage account, ie the thing that can wire money to your regular checking account in 2 days. Some are fasterm


It takes 2 weeks to rollover from a 401K so he wasn't talking about that.

@Goldz-n-hoez talk to your boy

You get it. We're talking about regular brokerage accounts and i give up trying to explain to people who just don't get it.

 

[The Notorious K.I.M.]

Didn't say they were

actually you did. The person you quoted spoke on a loan and you started talking abiut hardship withdrawals. They are not the same.

 

[Luck]

That’s only if it’s an approved hardship. It’s also assuming you pay the loan back within the given amount of time. And to be fair, if you have to take the loan in the first place, it doesn’t bode well for your ability to pay it back.

With regard to your question, it depends on how much the emergency fund is. If it’s just $1k-$2k, which should cover most emergencies, it’ll be very little lost. It also means you don’t have to sell your positions (assuming you’re pulling from a personal brokerage account).

That’s not a hardship and the link differentiates the two...and I guess different employers/mutual funds brokers can adjust the flexibility for these types of things. Either way in my situation there’s a difference between the two also.

This topic a little too subjective to be saying someone is wrong or right tho because we don’t know everyone’s situation nor the severity of the emergency people are assuming here.

I keep a few grand in my checking account but I don’t consider that an emergency fund, even tho it would be in an obvious situation. Credit cards, family etc... or loan yourself.

Point is, dude isn’t wrong irregardless of anything else.

 

[Luke Cage]

actually you did. The person you quoted spoke on a loan and you started talking abiut hardship withdrawals. They are not the same.

I was talking about 401K.





on side note though, take this neg

 

[Pimp]

He's broke

You not suppose to invest all the money you got, some money you just have put away just to have it put away

that's why its called emergency funds

taking money out from your investments eliminates the point of you investing, and you are too broke to be investing if you need to withdraw from those funds, which is why you need savings you don't touch lmao

i remember the days i thought like this and actually had 100k sitting around waiting for an emergency that never happened. So i said fukk it and invested it with the rest of my money and it did very well. Idle cash stays in my brokerage account just im case there's a crash and i see opportunity. Only money you should have in the bank are for your monthly bills. Your emergency fund is technically your idle cash in your brokerage account which you can get the same day.

 

[Zero]

If you are a grown man saying "scary" I feel sorry for you.

I'm driving I had to find the post. Calm down.

Race for a plat thread on the road brehs

 

[The Notorious K.I.M.]

I was talking about 401K.





on side note though, take this neg

A 401K loan isn't a hardship withdrawal either.

 

[Master Teacher]

i remember the days i thought like this and actually had 100k sitting around waiting for an emergency that never happened. So i said fukk it and invested it with the rest of my money and it did very well. Idle cash stays in my brokerage account just im case there's a crash and i see opportunity. Only money you should have in the bank are for your monthly bills. Your emergency fund is technically your idle cash in your brokerage account which you can get the same day.

You just contradicted yourself

You said if you need money take out of your investments for an emergency, that eliminates the point of your investments

You're only suppose to be investing 10 percent of liquid net worth

so you a better investor than warren buffet

stop with the duck tales lmao, lmao at brokerage count

100k sitting around and still investing, you must be a millionaire right

I would hope so lmao

ducktale ass nikka lmao