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Difference Between Savings Account and Emergency Fund, According to Financial Activist Dasha Kennedy

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Difference Between Savings Account and Emergency Fund, According to Financial Activist Dasha Kennedy

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Most Americans have different bank accounts to serve different needs, from basic checking accounts for daily transactions to certificates of deposit for long-term savings. If you have multiple savings accounts, at least one should be devoted to an emergency fund. In fact, money blogger and influencer Dasha Kennedy says you shouldn’t consider a savings account and emergency fund the same thing.

Find Out: 9 Things the Middle-Class Should Consider Downsizing To Save on Monthly Expenses

Discover More: 7 Reasons a Financial Advisor Can Grow Your Wealth in 2024

In a recent Instagram post, Kennedy referred to savings accounts and emergency funds as “cousins, not twins.” The self-proclaimed “financial activist” also laid out some of the main differences between savings accounts and emergency funds:

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Savings Account

In her post, Kennedy wrote that a savings account is “ideal for planned expenses and achieving short- to medium-term financial goals.” She also called a savings account “perfect for setting aside money for specific future purchases or experiences.”

Example: If you’re planning to buy a new laptop next year, use money from your regular savings account.

Check Out: 5 Unnecessary Bills You Should Stop Paying in 2024

Emergency Fund

This fund is “strictly for unexpected, urgent expenses that you can’t cover with your regular income or other savings,” Kennedy wrote, adding that the fund should serve as a “financial safety net for emergencies.”

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Example: If your car breaks down unexpectedly and requires immediate repairs, dip into your emergency fund to pay for it.

Which Expenditures Warrant Savings vs. Emergency?

Here are some other guidelines Kennedy shared in terms of which expenditures should come out of which account:

Scenario

Savings Account

Emergency Fund

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Planning a vacation

 

Sudden job loss

 

Buying holiday gifts

 

Saving for a new phone

 

Medical emergency

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Buying concert tickets

 

Unexpected home repairs

 

Sudden legal expense

 

Planning for a baby shower

 

Unexpected travel expenses

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The amount of money you should keep in your emergency fund depends on different factors, most having to do with your location, household size, income, and monthly expenses. As a general rule, you should aim to save enough money to cover at least three to six months’ worth of expenses. A good place to build an emergency fund is in a high-yield savings account that can help you grow your balance faster.

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This article originally appeared on GOBankingRates.com: Difference Between Savings Account and Emergency Fund, According to Financial Activist Dasha Kennedy

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Baker McKenzie Welcomes Finance & Projects Principal Matthias Schemuth in Singapore | Newsroom | Baker McKenzie

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Baker McKenzie Welcomes Finance & Projects Principal Matthias Schemuth in Singapore | Newsroom | Baker McKenzie

Baker McKenzie today announced that leading project finance lawyer Matthias Schemuth has joined the Firm’s Singapore office* as a Principal and Asia Pacific Co-Head of Projects in its Finance & Projects practice, alongside Partner Jon Ornolffson in Tokyo.

Matthias joins the Firm from DLA Piper, bringing more than 20 years of experience in the energy and infrastructure sectors across Asia Pacific. He advises sponsors, developers, commercial banks, multilateral lending agencies, and export credit agencies on the structuring and financing of large-scale projects. His practice also spans international banking, structured commodity and trade finance, with a strong focus on emerging markets. Matthias has been consistently recognised by Chambers Asia Pacific and Who’s Who Legal as a leading project finance practitioner.

James Huang, Managing Principal of Baker McKenzie Wong & Leow in Singapore, said: “We are excited to welcome Matthias to our team. His expertise and proven record in managing teams will be invaluable as we expand our regional and global finance offerings for clients.”

Emmanuel Hadjidakis, Asia Pacific Chair of Baker McKenzie’s Banking & Finance Practice, commented: “Asia Pacific is seeing strong momentum in infrastructure development, energy transition investments, and cross-border project financing, much of it centred in Singapore. Having Matthias on board will further enhance our ability to help clients seize opportunities in the region’s evolving energy and infrastructure markets.”

Steven Sieker, Baker McKenzie’s Asia Chief Executive, added: “Matthias’s appointment underscores Baker McKenzie’s continued commitment to investing in exceptional talent across key markets to support our clients in navigating today’s increasingly complex business and regulatory environment.”

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Matthias said: “I’m thrilled to join Baker McKenzie and contribute to its strong growth in Asia Pacific. The Firm’s global reach and local depth provide an unparalleled platform for delivering innovative projects and financing solutions to clients in this dynamic region.”

With more than 2,700 deal practitioners in more than 40 jurisdictions, Baker McKenzie is a transactional powerhouse. The Firm excels in complex, cross-border transactions; over 65% of our deals are multijurisdictional. The teams are a hybrid of ‘local’ and ‘global’, combining money-market sophistication with local excellence. The Firm’s Banking & Finance lawyers are ranked in more jurisdictions than any other firm by Chambers.  

Matthias’s hire continues the expansion of Baker McKenzie’s global team. His joining follows the recent arrivals of Carole Turcotte in Toronto; Tom Oslovar in Palo Alto; Jenny Liu in New York and Palo Alto; Helen Johnson, Mark Thompson, Nick Benson, Kevin Heverin, James Wyatt and Michal Berkner in London; Jan Schubert in Frankfurt; Todd Beauchamp and Charles Weinstein in Washington DC; Dan Ouyang, Winfield Lau, and Ke (Ronnie) Li in Beijing, Shanghai, and Hong Kong; and Alexander Stathopoulos in Singapore.

*Baker McKenzie Wong & Leow is the member firm of Baker McKenzie in Singapore

 

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3 finance stocks to buy on rising 10-year Treasury rates

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3 finance stocks to buy on rising 10-year Treasury rates
The Federal Reserve gave investors an early Christmas present by lowering interest rates by 25 basis points (i.e., 0.25%) marking its third rate cut this year. In the past, a change like this in the “long end” of the interest rate yield curve has triggered a predictable, investable pattern. Typically, this pattern would be bearish for finance stocks, particularly banks—investors would buy bank stocks when rates rose and sell them as rates fell….
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Reservists’ families protest outside Finance Minister’s home

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Reservists’ families protest outside Finance Minister’s home

Dozens of protesters from the “Religious Zionist Reservists Forum” and the “Shared Service Forum” demonstrated Saturday evening outside the home of Finance Minister Bezalel Smotrich in Kedumim.

The protesters arrived with a direct and pointed message, centered on a symbolic “draft order,” calling on Smotrich to “enlist” on behalf of the State of Israel and oppose what they termed the “sham law” being advanced by MK Boaz Bismuth and the Knesset’s haredi parties.

Among the protesters in Kedumim were the parents of Sergeant First Class (res.) Amichai Oster, who fell in battle in Gaza. Amichai grew up in Karnei Shomron and studied at the Shavei Hevron yeshiva.

Protesters held signs reading: “Smotrich, enlist for us,” along with the symbolic “draft order,” calling on him to “enlist for the sake of the State’s security and to save the people’s army – stand against the bill proposed by Bismuth and the haredim!”

Parallel demonstrations were held outside the homes of MK Ohad Tal in Efrat and MK Michal Woldiger in Givat Shmuel.

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Representatives of the “Shared Service Forum” said: “We are members of the public that contributes the most, and we came here to say: Bezalel, without enlistment there will be no victory and no security. Do not abandon our values for the sake of the coalition. The exemption law is a strategic threat, and you bear the responsibility to stop it and lead a real, fair draft plan for a country in which we are all partners. It’s in your hands.”

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