32
[EU] How many months savings do you consider enough?
(lemmy.world)
Learn about budgeting, saving, getting out of debt, credit, investing, and retirement planning. Join our community, read the PF Wiki, and get on top of your finances!
Note: This community is not region centric, so if you are posting anything specific to a certain region, kindly specify that in the title (something like [USA], [EU], [AUS] etc.)
Having too much savings is plain stupid, as the inflation is eating them every day. I am keeping only 3 months and the rest I invest in an ETF.
Although I agree to some point, keeping too much in ETF increases the risk of it all going down the exact moment you need it since you loose the job at the same time the market crashes in a crisis.
You forget that I have a buffer of 3 months plus I live in Europe, so the money I will receive for unemployment would help me to further extend my financial cushion. I can create a standing order with a limit and only sell some ETFs if the price is reached, in order to reduce the financial losses.
Plus if I invest my money in ETFs long enough I would most certainly always be on the plus side.