Reply to What to do with small savings account?

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[quote=Anonymous]If you have 115k in liquid savings and max out your TSP's you are in decent to good shape assuming you didn't start your TSP at 0k two years ago. Remember to include home equity in your retirement plans.

You have 15k in checking which is probably too much unless you need to be cutting 5k checks regularly.

Checking - to pay stuff under say $500 in the right here and now. Keep maybe $3-4k in this one.

Money market - money earning interest, protected somewhat if someone filches your ATM card number, access this maybe 1x a month or so for things like "vacation," "transmission falls out," "brother needs $10k bail money." This is where you'd keep your 3-6 months of emergency $$$. Consider any money taken from this as a loan that you need to pay back.

I'd put the remaining money in 5-10 year maturity municipal bonds. No tax hassles, a decentish return, and they can be converted back into cash without too much of a problem (you might lose some of your principal, though, but you'd get it all back if you held to maturity.) [/quote]

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