It is worth asking the loan company if they will stretch out the payment term. That would lower the payments for you, preserving the emergency fund. Mortgage companies can do this in cases where the mortgagee pays off a chunk of the principal.

No. Way. Not at all. Agree with PP that emergency fund is more important now, esp. on one income and given that the rate is so low.

Are you saving more into the 35k each month? In other words, is it growing? It should be!

What on earth would you do for an emergency fund if you liquidated all your savings? You barely have a 6 month emergency fund. With one spouse a SAHM, you should be aiming for more like 9-12 months.

No way. Not with that low interest rate.

We have 35k in a savings account as an emergency fund and about the same amount in student loans with a low interest rate (~2%). One of them was originally 40k but is now only 15k, but due to a term of the agreement our monthly payments are the same as they were before it was paid off. If we pay off that loan entirely, we'll have $200/mo. more in disposable income. I'm not sure if we should -- the extra cash would help, but I just left my job to SAH and we're more fragile on one income. Monthly expenses around $5-6k. Should we pay this off?