Selling stock to set up Emergency Fund?
25 y/o with no real emergency fund set up. My accounts are as follows:
$83,000 : 401K
$19,000 : Taxable Brokerage Account
$1000 : Normal Savings Account
After a quick estimate, 3 months of living expenses for me would be about $6,300. I plan on keeping the $1000 in the savings account to have flexibility on credit card payments, so an emergency fund in an HYSA would be starting from $0.
I have been able to comfortably put an automatic transfer of $300 a month into the brokerage account. If I switched this automatic deposit to an HYSA, it would take 21 months to reach $6,300. I have at least $6,300 worth of stock that has reached long term capital gains. Would it make sense to sell off any portion of stock to fully or partially set up an emergency fund?
Posted Jun 4, 2026, 12:46 AM UTC