We are talking all about our bank accounts in this video--one of our favorite money saving tips. How many bank accounts do we have and why do we have so many? Separating your money into multiple bank accounts can actually make it a lot easier to manage your money and meet your financial goals.
So how many bank accounts should you have? That depends on how you prefer to manage your money and what is going on in your life. We are sharing all of the bank accounts we have and why we have them. Let us know how many you have in the comments!
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We are Tasha & Joseph a millennial couple balancing kids, jobs, money, and life.
One Big Happy Life is our website which focuses on creating a life you love by finding the right balance between your personal and financial goals.
Life isn’t just about one thing but money touches on just about everything. Personal finance doesn't have to be complicated or overwhelming.
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You guys are great I keep educating myself with money, finances and credit. (Off topic: my credit is very close to great)... Today I just opened a savings account for Santander. I already have a checking & savings for TDBANK. I’m going to go for a third soon just doing more research on APYs and interest rates. So far I came across Capital 360 savings with a 1.00 APY. Major plus for me since I have a credit card with capital one.
I have eleven, but I'm young, single and childless so I don't need that many.
1. Regular cheque account that all my income gets deposited into (salary, for example) and my recurring debit orders come from (retirement savings, medical aid (which you guys call health insurance), disability and life insurance etc.) I don't do much else in this account and it currently holds about three months barebones expenses.
My emergency fund accounts :
2. A savings pocket at the same bank earning minimal interest, easily accessible for small emergencies, just transfer via my banking app to the main account.
3. My Emergency fund at a different bank that I have to transfer money from to access, making it a 24-48 hour delay.
4. My 32-day notice account at my current bank that penalizes me if I don't put in adequate notice to access the funds (MOST of my emergency fund was there before I went on hiatus, it works really well with my credit card cycle so that I never carry a balance, and I made sure my credit card limit is MUCH lower than my balance so I never see it as "free" money)
5&6. My two 6 month fixed deposits with a month's worth of expenses each.
Then my non-emergency fund savings
7. My main holiday savings for one big holiday a year
8. My mini holiday savings for smaller holidays or trips so that I don't dip into my main fund, which I've done so many times before and ended up not getting the holiday I'd saved for
9. My family fund. I have a really complicated relationship with money and family, and I realised eventually that if I didn't budget for this I'd a) give more than I could actually afford and b) feel resentful for their choices setting back my goals. This has been so liberating, because now I'm more confident in my NOs because I know the money available for my extended family is limited and not related to the rest of my finances, I no longer have guilt around breaking some generational cycles AND when I give money/pay for things it is with an open and light spirit with no resentment. I'd recommend this for ANYONE who is first generation financially responsible and is having struggles navigating the minefield that is survivors guilt.
10. My tax free savings account build up account. We have an account that's sort of like a ROTH (after tax contributions, tax free growth and tax free withdrawal) that I aim to save up the year before so that I can just pop it in and tick it off my box each tax year. I build up the amount in this account.
11. My discretionary investments build up account. To minimize costs, I try to invest in my discretionary, non tax advantaged accounts only once I've hit a certain lump sum. So I build that up in this account too.
It took me years to build up this system (and the funds to make it worthwhile) and now that I'm on an unpaid hiatus some of them are dormant (like the investment build up accounts), but they are free to run and keep my goals clear and segregated.
When I go back to employment, I'm going to add a house down-payment account and a car savings account, as well as an artistry funding account for all my creative endeavors that sometimes take a chunk of money on one time purchases (like my new yamaha keyboard😂🤷🏿♀️).
me and my husband have 6 accounts. an emergency savings, a bills account, an account for buying groceries, gas and other essentials our own frivolous spending account and my own personal savings for when i want to save my fun money for something
We have 2 chequing accounts (me and my husband have separate ones), 3 tfsa, and 2 savings. I am thinking of opening a couple more for my sinking funds instead of putting them in cash envelopes as I am getting paranoid of having lots of cash on hand haha
I recently found your channel and am really enjoying it. We have 15 bank accounts right now. 8 of those are ladder CD's. We have the same goal of having a CD roll over each month for our emergency fund as well!
Does this effect your credit score? In the U.K. having so many bank accounts work against you. I opened a new bank account when I was in my second year of university the bank penalised me for not making a set amount transactions which I was unaware of. I ended up closing that account as it was an account for my driving lessons and I already had two other accounts at different banks with no issues.
I have 1 chequing account and 8 savings accounts (all labeled specifically for their purpose. I.e., house fund, car fund, emergencies, travel, etc.). I like the idea of having a second "Fun" chequing account though!
Hi Tasha and Joseph, i have been watching some of your videos and i really like them. I love to see such a young prosperous family that had financial struggles just like many of us. Thank you so much. So far, my husband and I have each our own checking and savings and a family checking for shared expenses. We are looking to add a saving account, a vacation savings account, a business account for my contractor per diem jobs and a 529 for our sons college saving. Thank you!
Hi I just love your channel. I’m glad to see that there are other people who think like me, I have several accounts myself and when I went to the bank they looked at me crazy. Many people wouldn’t think to do that, I think its’ a great way to keep track and to see your progress on each item. I have 12 accounts and they are not where I’d like them to be due to job loss and health problems, but I’m still going forward.
I’m not married, don’t have kids, and I’m in college to become a nurse. 20 bank accounts is a lot but to each is their own. I think when I get my career, I will have two checking accounts and one savings account..
I love this! I have 2 checking and 3 savings account so far...Oh and a jar full of $5 bills that I'm saving for my next phone. At first I thought it was ridiculous to have this many accounts but the more saw the positive change it had on my budget the more I enjoyed adding more. And now that I seen other examples of people with more accounts I am now 110% on board! Whoo hoo!
This is a good strategy though I only have to budget for myself and I ended up having too many accounts. I’ve recently closed a few of them and I’m focusing on credit card debt reduction. Once I’ve cleared that, I’ll again be using one of the services that lets me separate money so as to save for multiple goals with one account.
I was going to say more, but I’ll save it for a video and blog post of my own!
I have 5 bank accounts and 2 CDs that I use as long term savings accounts. One CD is for my next car and the other is for my wedding. Then I have an emergency fund savings account, a vacation savings account and then a savings account for bills that I don’t pay every month like car insurance and house taxes. Then I have a checking account with a brick and mortar bank that’s 2 minutes away from my house and then I have a checking account with an online bank as well because they pay higher interest. The main reason I keep my brick and mortar bank is because my online bank doesn’t offer checks and I still use paper checks for certain purchases.
We currently have:
Credit Union: (this is for our Incorporated Business Account) 1 checking and 1 savings
For our personal accounts:
3 checking and 2 savings (that is split between two banks, one is a large bank that charges a monthly fee, we are going to be closing that one down soon. The other bank is local with no fees).
I have always only had two accounts: checking and savings. My husband has more. I never understood why. That always sounded convoluted to have multiple. But now I see the logic. All my expenses just came out of my one checking account no matter what it was for. We'll see as the family grows how that changes. Also may change once we purchase a house. But yea.. two works for me for now.
My brain hurts 😩 lol I have one bank account and many credit cards but I don’t use them much! I only use one credit card but I have my monthly subscriptions come out of the others and I just pay them off! I can never have 20 accounts 😱 keep in mind that this is coming from someone that unlocks her apt door and leaves the key in the door behind her! 🤦🏽♀️
I can't remember if your family is at this point, man I wish mine was! But the FIDC only insures up to $250K per account owner per type of account per bank. So it would only make sense to keep a limited amount of money in any particular banking institution.
I have 2 checking accts at 2 different banks (state, credit union): 1 food/home checks, 2nd online bill payments; 1 deposit savings acct not accessed by payments, 1 savings for larger annual expenses (home/car insurance, property tax), larger savings for emergency, contingency that has a better interest, CDs that mature throughout the year (did you get that idea from me?). Mom
One Big Happy Life thank you for replying so quick? Do you mind if I ask which bank that is? Mine is chase and right now I have college account so I don’t have monthly fees. But I know once I graduate and transition into normal checking account- I know they have monthly fees unless a minimum balance is kept.
I also use Ally and I have like 9 accounts with them. 5 checkings and 4 savings. 1 checking for monthly budget, 1 checking for DD and any incoming money, or anything that has yet to be decided. 3 checkings for the 3 credit cards I have. The money in those 3 always match up with the balances on the cards, so I can keep track of spending.
We have one checking and 2 savings accounts. One savings has a years worth of living expenses and the other is for day to day emergencies like tires. We have a brokerage account also and zero credit card debt . You have a lot of accounts!
I have 6 and use a spreadsheet to track all the different kinds of "accounts" you refer to. I do this because my savings accounts will give me higher interest if I have more money in a single account. Do your banks give you the same option and why aren't you using that?
We have 3 checking accounts and 3 savings accounts. I would be curious to see this on paper. I still can't wrap my head around it. Thanks for all you do. After using the DR plan and paying off all our student loans we found you guys. We are learning so much. Thanks again.
Mine are mostly through the same bank, so they all show up when i log in to that account. They are all attached to you, so you can access them, move money around, etc through their web portal or by going into the bank. They're all in the same place and the bank is happy to help you set up new accounts! Mine are mostly (except for one) savings accounts so that I don't have a debit card for them. I only access them by going in (online or in-bank). I do know some people who have different debit cards for different checking accounts so they can keep track of it directly as they spend, so it's more a matter of preference!
+PI86 It keeps everything organized, shows you exactly how much you have to spend on different things, and prevents unforeseen issues on one account (i.e overdrafts, etc.) from affecting your money for other things. For example, let's say you're going on vacation. If your rent money and vacation money are in the same account, overspending on vacation will cause you to be short on rent. If those monies are separate, you won't have that problem and will be aware of exactly how much you have for vacation because it won't be mixed in with rent.
Very interesting! We also use multiple Checking/Savings, we have 6! Can you guys talk more about the CDs and how they work?
I'm curious and I never thought of using them. Don't they usually have a term before you can withdrawal the money without penalty?
I just subscribed to your channel after watching this video and I just have to say that I absolutely love all of your content! .You guys are positive and uplifting and I pray your channel much success in the future!
i have two bank account, and its only becasue i wanted an account in two diffrent banks, for the limit on the insurance, once this will be filled i will open an account in a third bank,
when you make much more then you spend who needs to separate funds, responsibility is the key,
I employ many of the same strategies. I currently have 4 checking accounts and one savings account. But within my main checking accounts I have 6 different "inside accounts" set aside in the register. So if I split all of those out into their own accounts I would have 10 accounts total between checking and savings. And it is only me. No spouse or children!!
I only have 3 and I was thinking about consolidating all into 1, but after watching this video. I think I’m going to add more. Do you have all your accounts in one bank? My accounts are all in 3 different banks.
Have you ever tried budgeting using YNAB (You Need A Budget)? It really allows you to divide all of your budgets/expenses in the detail that you talked about without having so many bank accounts! Just a suggestion, you do what works best for you :)
YNAB is pretty expensive, but I've heard that it is good for most people. I just don't like paying for that. We are coming out with our own excel based budgeting system soon. Fingers crossed anyway. -Joseph
hey guys great video! right now I only have one bank account that I basically use it for everything >__< but only issues I have is setting a hard core budget. my question for you guys is how to do you setting on a budget goal?
I have a checking linked to my savings. I keep emergency fund and an extra months worth of bills available. I only transfer enough to cover my bills and expenses as needed. Then I have a separate higher interest savings at another bank with auto withdrawal from my checking. And at the same bank I have a Roth with auto deposits weekly as well. I use a budgeted cash envelope weekly for groceries, gas, a coffee, lunch with friends etc. So 4 accounts total. I’m debt free and used nothing but pencil and paper to budget monthly. But I break down to weekly so it’s super easy and organized and way less daunting. I gave up budgeting too far out. Just overwhelming and unrealistic. Things change too often.
No, my spending accounts and the business account are at a different bank. I love my banks (USAA and Navy Federal), have been with them for over 15 years and want to maintain a relationship with them. Otherwise we'd have all of our accounts at one bank.--Tasha
3! One I’ve had since a kid, one my husband and I opened up jointly and another one we opened up to get the free money offer. I want to start organizing our accounts like you guys just explained. So far we know what bill comes out of what accounts but I want to make it more simple. Someone commented about how “complicated” your situation is but it’s really not. I feel like my finances are more complicated with my 3 accounts than with your 20 😂.
So basically Tasha your Yale education will be free with PSLF? I just read up on Yale Law's financial aid. It's awesome and you're so tactful! I don't think PSLF will be around for me by the time I graduate medical school (in my first year) but yall have got me at least thinking in the right direction :)
True which is so great for all those already enrolled! I can't be in a repayment plan yet let alone in public service since I am still in school. 3+ years of schooling still left. THankfully my debt burden wont be as crazy as some numbers I hear. But 180K+ is still significant! Whitecoat Investor also runs a great blog and forum for all the medical folks
Yep, that's correct! For what it's worth, every proposal to end PSLF has always grandfathered in people currently enrolled in a degree program. But it's always a good idea to have contingency plans.--Tasha
Dizzying! Then I did the math - we have 1 family checking (all combined including fun money), 1 family savings (came with the checking), 1 online savings for emergency fund, 1 kids savings account, and 2 small business checking accounts, so 5 total accounts + retirement buckets. And one spreadsheet to rule them all! :)
Another awesome video! I have six bank accounts. 2 checking accounts and 4 savings accounts. Between those accounts I separate regular income, extra income, sinking funds, emergency funds, and children's savings. I pull my fun money out in cash.
I don’t get this? Why make it so complicated? Why don’t you figure out all the expenses you have in one year, and transfer 1/12 (plus’ some) of this in to your expense account? Then have you can have everything auto drafted. What ever you want to save, put in a savings account? I don’t even think about expenses and bills...
Hi, that's exactly what we said that we do in the video. We transfer one month's worth of household expenses into our expense account. The other checking accounts are for very specific purposes where it makes sense to not comingle funds (paying our household employee, our business account, and our personal spending accounts). If you don't have a spouse, children old enough to have checking accounts, a business, or a household employee then your financial situation is a lot less complicated to begin with.--Tasha
The problem is not that Facebook and Google are the only advertising platforms. The problem is that they are considered mainstream media and without these two, the trend of cryptocurrencies gaining legitimacy is delayed. That is right, I said delayed not blocked or prevented.
The World Has Changed.
Five years ago, when bitcoin was unknown to most people, this might have been a fatal move. Today is a different story. I recently traveled to a remote mountain town in the interior of Mexico. Everyone I met had heard about Bitcoin and eyes lit up with excitement when I ask if I could pay for lunch with bitcoin.
Today are dozens of websites dedicated to cryptocurrencies, either holding them, exchanging them or just writing about them. Probably the most effective advertising remains on Google, it is called Google Search and it is free.
If someone wants to learn about owning bitcoin or any other currency, there is a ton of educational information.
The Flipside Is Being Ignored.
Not All Regulation Is Inherently Bad.
If we examine the full spectrum of regulation to this point on a global scale there is one common target most everywhere. That is the practice of exchanges. So far there has been little or not regulation, threatened or enacted, to protect investors from loss of funds due to security breaches.
Capitulation Is A Good Sign.