Happy 2024, On the Money readers!
Rather than setting resolutions that I’m destined to break, I like to approach the new year as a financial reset. That is why I’ve spent the past few days reviewing our retirement and investment accounts. (Side note: I am pleasantly surprised to see how they performed in 2023.)
Less enjoyable: Emptying out my son’s 529 College Savings plan to pay for next semester’s tuition.
Ouch.
While I don’t have a list of goals for the coming year, I do hope to bolster my emergency fund. That’s money set aside for unexpected expenses like medical bills or car repairs.
Alas, many of us do not have enough savings to cover times of crisis. Almost four in 10 Americans would not be able to come up with $400, according to the Federal Reserve’s Economic Well-Being of U.S. Households report.
But when emergency savings are addressed through the workplace – such as through small, regular paycheck deductions, and perhaps boosted with employer contributions – it is more likely that we will be successful.
Here is how employers such as Delta, Starbucks and others are helping workers save for a crisis.