Savings Accounts

**hugxlaughxsmilexlove** · 08-01-2008, 10:31 PM

Ok.. Finally opening my own EF Account - now I have a question..
After you bank your EF, do you open more than one account for "other savings"? I see a lot of people have EF, vacation, this and that and something of the other.. what do you do? One account or multiple accounts for specific items? I can't just put my money in a hiding spot, not how I work.. trying to go from a money spending addict to actually SAVING some money, hehe!

In a few weeks here I will have three girls.. They are ALL having their own accounts for savings (even $5 a week, they get an account in their name).. but now I have to think about other accounts..

* Pregnant Woman Thinking *

**Natalie** · 08-01-2008, 10:49 PM

You could have a Certificate of Deposit (CD) for a further out savings goal: retirement.

Then, a Money Market account for another big savings thing: EF, new car, kid(s) college...

And the actual Savings account for on the spot emergencies, like, say, your kid just broke her arm, car repairs, that kinda stuff.

Just my 2 cents.

**Michelle68** · 08-01-2008, 10:53 PM

We actually have an EF account, another savings account for medical expenses, another savings account for home and car repairs and, finally, a savings account for vacations, holidays, birthdays, etc. For me, it helps to keep it all separate.

--Michelle

**treeluva** · 08-02-2008, 04:30 AM

My Baby EF is for just that.... unforseeable EMERGENCY expenses.

Other than that, I am setting up subaccounts for specific items... i.e. Tuition, New Fridge (mine just went out and a friend is nice enough to lend me their extra one until I can save up for a new one) Christmas, etc.

I am a spendaholic. I am trying to reform myself, but I know my own tendencies. So, having this subaccounts actually kind of helps me because I can see my progress towards savings for a specific thing and it keeps me on track.

**Ceashels** · 08-02-2008, 06:53 AM

Do banks still offer things like "Christmas Club accounts?" I would love to have a travel club account! It isn't unreasonable to have 2 different accounts open for different uses in the bank. We keep our "virtual" accounts written in the computer (for him) and on the whiteboard (for me).

**Michelle** · 08-02-2008, 07:18 AM

Right now I just have a checking account and our EF in ING.

My kids each have their own savings accounts, which I hope to transfer to ING (for the better interest rate) soon.

Then we have our 401K's, and Ufunds for the kids' college accounts.

**Momto2Boyz** · 08-02-2008, 07:22 AM

Most banks still have Christmas club and Vacation club accounts.

We just have our regular savings, then in my own ledger, I keep seperate "accounts" for various things, but it all stays in one account at the bank.

**DonnainME** · 08-02-2008, 07:30 AM

I need to get some savings going. We only have $25 in our savings right now - the minimum to keep it open.

I think I will ask them about multiple accounts on Monday. I do know at our bank, you don't get interest in a savings until you have $100 in there.

**nodmicks** · 08-02-2008, 08:24 AM

I have accounts for, EF, vacation, medical, school/clothing, tags, gifts, ins., heat,home repair, car repair,hunting, vet,.
3 are in ING and the rest the bank lets me have sub accounts.
$ is transferred into those accounts on a set basis just like a bill.

**ladykemma2** · 08-02-2008, 08:34 AM

i have a checking account for the bills, then a savings account for the emergency fund. i have it mentally divided, "$4000 of this is for taxes, $2000 is for new air conditioner..."

**The Muse** · 08-02-2008, 10:44 AM

I keep a mental note of how much in in my EF, but keep all of my savings in the same account. The only time I'll open another account is when the balance in any account hits $100K, which is the limit for FDIC coverage.

I think whether or not you need seperate accounts varies by person. If you're prone to spending, it probably makes sense to have different accounts.

**Marie78** · 08-02-2008, 11:56 AM

I don't have a lot of money saved yet, so I don't have an account with my bank for savings (at my bank you need a minimum of $250 in your savings at all times and you can't drop below or they start deducting money from your savings for just having it open). Not to mention I would probably only earn a few dollars a year in interest with the amount of savings I have right now and it's not worth it to me (incase I fall below $250 in the savings account).

I separate my free checking account into several categories on my own ledger paper: Checking (enough to cover all of my monthly bills and extra towards my debts), Christmas, EF, B-day Gifts, Car Maintenance, Eye Care, Dental Care, Dr's Co-pays, Vet Visits, clothing, Hair cuts, vacation, and Long-term future savings.

I am only putting half as much as I would like to each month in every category because I am working on CC debt reduction and that should be completed in less than a year. Then I can fully fund these separate accounts and open a savings account without the fear that I will drop below $250 and the bank will start taking my money away from me.

**MomToTwoBoys** · 08-02-2008, 02:14 PM

We have two savings accounts between DH and I. DH's savings account is partially earmarked for DS #2's dental work (we pay and then the insurance company reimburses us via check, so he deposits the check and then I move it into savings until he withdraws from it and gives it to me). My savings account is earmarked also for DS #2's dental work (I put the money from DS's dentist work that DS gives me into my checking account, then I move what I don't spend on it into my savings account). While that's all the more confusing, it works for us. Right now the only thing I have my savings account being used for is when DS #1's bus fee comes out (that's 165 per year and is not able to be spread over the school year). I simply transfer the 165 from savings into my checking account to cover the check. The rest of the time, my savings account is there as an EF buffer. DH's savings account is also an EF buffer. We just plan on putting enough into both savings accounts to cover any house renovations. The big ones on our list right now are:

new roof
new bathroom
new half bathroom
new furnace

We're looking at putting 1k a month into savings and then after the debts are taken care of, we can bump that to $1,500 a month.

**peanut** · 08-02-2008, 06:27 PM

Right now I have four accounts. Three are joint with DH.

~ One is chequing for everyday expenses.
~ One is savings for taxes and insurance.
~ And the other is our Emergency Fund.

Any extra money goes into the Emergency Fund account until it's built up 6 months expenses. That is money for vacations, etc. I must admit, mixing it with the EF hasn't worked too well for us. DH and I are talking right now about possibly setting up another account just for vacation and big ticket expenses...like a new car.

The other account is an ING account with money for DD#2's university education. It is composed of the rent money she's paid us the last few years.

Jean

**monkeywrangler71** · 08-02-2008, 07:01 PM

I just use one savings account and one operating account. I have a certain threshold which I try to maintain in the savings account, then keep the rest mentally earmarked for whatever it's for and transfer it to the operating account just before it's needed.

When things were tight, I had separate accounts for everything - sort of like the envelope system but with accounts instead of envelopes. It made things easier at the time, but if I did that now I would get stuck with too many service charges.