Planning For Short-Term Goals Without Sacrificing Long-Term Savings | Ep. 262

• Listener in early 30s wants to know where 10–20% savings should go once emergency fund is funded, and how to plan for short-term goals without sacrificing retirement.

• If no emergency fund exists, open a high-yield savings account (Tiffany uses Ally at ~4%). Start with a baby emergency fund of $1k–$2k, then build to 3–6+ months based on job security and personal comfort.

Do what makes you feel comfortable. Ignore all the noise about 'your money's not working for you.'

• The 10–20% figure usually refers to retirement contributions. Even small amounts ($10–$20/month) should start early because time is the biggest factor in compounding.

The more time that you have, the less you'll have to put in on the outset and the more it has time to grow.

• Contribute at least up to the employer 401(k) match
• Max a Roth IRA if no Roth 401(k) option
• Increase 401(k) contribution percentage
• Open a taxable brokerage account for additional buckets

• Goal: have tax-deferred, tax-free, and taxable accounts so you can manage taxable income in retirement.

• If you have near-term goals (home, family, car), prioritize saving for those while still capturing the 401(k) match. You can work multiple goals simultaneously, but focusing on one at a time speeds progress.

Save up for the goals because you do still have time. However, just make sure that you are at least getting up to your match.