Here’s how a normal CD ladder is setup – You have a lump amount to invest in CDs. Instead of buying one CD, for a specific maturity date, you spread your investment out, over several CDs, all with different maturity dates. For instance, assume you had $10,000. You could create a CD ladder which looked like this – Amount Term…
Category: Savings
Savings Account Allocation Breakdown
I’m a big fan of setting goals and creating plans – both short-term and long-term. It’s important to me to clearly define my financial goals, because I’m trying to live my life without borrowing money. Obviously, this means that I need cash – and quite a bit of it – in my savings account. I only have one savings account,…
Updating My Non-Retirement Savings Chart
One of my goals for 2008 is to rebuild my non-retirement savings. In 2007, we purchased a new-to-us minivan and in early 2008, we had a new baby (and purchased several baby-related items). These expenses worked together to dramatically reduce our non-retirement savings and I’ve been working diligently to rebuild them. I just made a transfer from my primary checking…