Emergency Funds?
I was thinking about emergency funds, and realized, that for DH and I, we invest our emergency funds in stocks. Wowsa, usually people suggest keeping 3-6 months of cash on hand.
But then I realized that part of the reason we do this is because we keep a lot of cash on hand in general. We have about $15k invested in a taxable account as our EF. We also have $15k cash on hand probably going to hit about $20k soon to pay DH's tuition bills which are $10k/semester = $30k/year.
So I always have a pretty large cash stash. Does this make sense? Do you keep your EF in cash? Is this a bad idea?
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