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[quote=Anonymous]Expenses vs. income matter, too. I'm the PP above who lost almost half her net worth between '05 and '08. Part of the reason we feel insecure is that our income and expenses match up almost exactly. We NEED both incomes. Our only "luxury" expense is private school for the kids, but our school district sucks. We only make $150K combined. We just really aggressively fund the 401K. So we have a lot of money tied up in accounts we can't access without a major penalty. It's nice to know it's there for an absolute crisis, but there's no guarantee it will still be there when we need it, and in the meantime, looking at our bank account balance on a Thursday, before one of us gets our next paycheck (we get paid alternate weeks, which is nice) is panic-inducing.[/quote]
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