Still, I don’t understand what constitutes savings.

rebecca, it’s confusing! It gets complicated really fast, especially when you throw retirement fund contributions into the mix and if the savings rate is based on pre-tax income or post-tax income. Personally, I base my savings rate off post-tax income and I don’t factor my 401k contributions into this rate. I’ve prioritized saving for my Roth IRA, establishing an emergency fund, and short term savings that is essentially fun money to cover unplanned luxuries. I don’t have a travel fund as we’ve decided not to travel until 2018 while we focus on these other things. My total savings rate is quite high at 35.5% overall. It breaks down as 17% to the emergency fund, 13% to my Roth IRA, and 5.5% to short term savings. When the emergency fund hits our goal amount, the 17% can be used for other things. I hope I haven’t muddied the waters for you!

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