Becoming financially independent, #FI #FIRE is a game changer for life. Although you may or may not retire early, reaching financial independence is the goal. It can be achieved by anyone that is focused. Plant the seeds, work your money, and you won’t need to work. You likely know it is important to establish an emergency fund. But, how do you optimize the return on those funds without risk?
Here’s what the “Rat Race Renegade™” (Boss Man Jax) is doing right now with his emergency fund. We’re getting a better return than most and here’s how.
Emergency Fund Management on #FI #FIRE
Step 1: research high interest rate online savings accounts. There are several that pay significantly more than typical banks. We have an online savings account with Marcus by Goldman Sachs with pays us 0.60% interest. Our AARP membership increases the standard 0.50% interest by 0.10% (therefore, 0.60%). I highly recommend Marcus right now because you get a better return without risking your money in the stock market, etc.
However, thanks to Marcus Referred, now you can get a Referral Bonus on top of the high-yield rate offered by Marcus’ Online Savings. Simply use the Marcus Referred link and open an Online Savings Account as a new customer, and for 3 months, you could earn an Annual Percentage Yield (APY) that’s 0.20% higher than the stated APY typically available at Marcus. See step 2 below before transferring funds to the account.
Step 2: don’t put all of your emergency funds into the account when you set it up, initially. If you have it, keep $10,000 aside and go for the $100 bonus offer which is available until 02/12/2021 for existing customers. After you fund your new Marcus online saving account, you can take advantage of the $100 bonus offer as an existing customer. Enroll as a new customer (no offer code required). Within 10 calendar days of enrolling, deposit $10,000 or more.
Keep the funds, plus your current balance in your account for 90 days. Done! Marcus will deposit $100 into your account within 14 days after you fulfill the bonus requirements.
This simple tactic gets you one step closer to #FI #FIRE. It takes less than 20 minutes to get an extra $100 plus more interest. That’s the same as making $300/hour, if you do the math.
Let us know if you decide to take action and get #FI faster. It is the little things that add up over time. Making $300/hour is a good start IMHO.
Think of this tactic as planting a seed in a vegetable garden. The more seeds you plant, the more you’ll harvest down the road.
And yes, the Rat Race Renegade™ walks-the-walk. Just implemented this tactic today and I hope you do too. – Boss Man Jax, the Rat Race Renegade™.
Additional #FI #FIRE Resources