re: Uh oh - savings

quote:

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you should do both if you are able.

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If you are able to max your Roth and max your 401, you probably don't need an emergency fund that badly b/c you can borrow $50K against your 2% HELOC without a problem. Keeping money in cash may still not be your best option.

But yes, using your Roth as an emergency fund is clearly better than keeping it outside a Roth, since the taxman won't take a slice off your returns.