This is going to be one of those posts that could be in half-a-dozen threads, and I'm going to catch the ire of the financial planners here (this is why I said I'd need to start a topic about "Personal Philosophy(ies)")... we keep no tax vehicle accounts like 401K, SEP, IRA... except for an HSA. I am constantly using post tax funds (unless i can use a 1031 exchange) to invest in other opportunities. We have one large, unsecured, cash account at Ally Bank that earns high interest (relatively speaking, at 2.25% currently for high balance, during "normal" times a long time ago, it was between 5-7% and acts like a regular checking account...basically an "unlocked" CD) that effectively serves as a savings account/emergency fund/whatever fund. We have a normal USAA checking account for bills. I have business checking accounts for each business entity that carry balances appropriate to what I need for each entity. The rest, a big pot, is in a brokerage account where I let it run on the defense stocks I mentioned and the swing trading I do for fun/rapid income for new near term opportunities. This is the pot that is the "college fund and everything else fund."
I believe in investing in oneself and in more businesses/assets that provide revenue streams. I have no desire to put my trust in accounts that exist at the whim of Congress and that I don't have access to without penalty or interest.
Lboy said I was an idiot for firing my CPA for pushing a SEP on me all the time, but I wouldn't have started a restaurant last month (and bought another distressed one) had I had those funds locked up in a SEP, CDs, or anything else. I'd rather pay taxes now, create more wealth/revenue streams, and have control than worry all the time about what is or isn't going to happen in the future.
I know I have more "risk tolerance" than most for doing this, but I see it just the opposite. I'm diversified across just about every asset class that exists, paper and real, while most kid themselves into thinking they are diversified across paper alone. I feel far greater peace and security knowing that if any one leg of my assets "fails," I've still got 5-6 other legs, almost all of which generate positive cash flow to keep building on what I have. I don't know fuk all about agriculture, custom kitchens/baths/cabinetry, or restaurants, but have businesses in all three (all three overseas, but export from two of them, one of them to the US). I'm a problem solver. I see a problem/opportunity, find the right people, and solve it with a business or by buying in. That's how I got into all three of those business areas.
This was fast and dirty with a ton left out, but you get the idea.
PS (and Kiyosaki haters have at me!!! ;) ).... you're house ain't an asset, it's an expense! ;)