Jillian Nel

CFP®, CDFA™
Personal Finance, Retirement, Insurance
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“Jillian Nel, a CERTIFIED FINANCIAL PLANNER™, directs a financial planning practice for Legacy Asset Management, Inc. Jillian is committed to educating and empowering clients and the general public about the importance of financial planning.”
Firm:

Legacy Asset Management

Job Title:

Director of Financial Planning

Biography:
Education:

BS, Business Administration, University of Colorado at Boulder

Assets Under Management:

$340 million

Fee Structure:

Asset-Based

CRD Number:

5055280

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    Banking
How much money should I keep in my bank account?
80% of people found this answer helpful

The general rule of thumb for a rainy day or emergency fund is 3 to 6 months' worth of essential/fixed expenses. The range is based upon how many earners exist in the household. If it's just you or you are the sole earner for the household, the recommendation is 6 months. For a household with 2 earners, the recommendation is 3 months, as it is unlikely you will both lose a job at the same time.

You do not need to include taxes, savings and discretionary expenses, unless you want to be conservative in your estimation or you have kids at home and feel better about extra cushion. You do need to make sure to include liability payments, insurance premiums, groceries, gas, utilities and other essentials. Some people also include health insurance deductibles within this emergency fund total amount. 

If you want to get a quick idea of what this number is without going thru all of your expenses, look at your net monthly income on your paycheck (i.e. gross income less fed withholding, payroll & 401K) and multiply it times 6 (if you are only earner). This number includes discretionary expenses, but at least you will get a rough idea of the amount you need  in a rainy day fund.

September 2016
    Retirement, Retirement Savings, Retirement Living
How much money should I withdraw from my retirement account to live comfortably?
80% of people found this answer helpful
September 2017
    Real Estate, Taxes
Is a home in a revocable trust considered a personal property for purposes of taxes when it is sold?
50% of people found this answer helpful
June 2017
    Career / Compensation, Taxes
How should I manage my extraordinary tax year?
50% of people found this answer helpful
August 2016
    Marriage / Divorce, Taxes
Should we be filing our taxes jointly or separately?
50% of people found this answer helpful
August 2016