I think the best reason would be to consider what would happen in an emergency situation that goes beyond just yourself - war, natural disaster, etc. What woul

I think the best reason would be to consider what would happen in an emergency situation that goes beyond just yourself - war, natural disaster, etc. What would happen if you needed to flee with very short notice? What if an emergency caused enough chaos that you couldn't take a loan from your 401k, possibly because the electrical grid is down? Are these scenarios likely? No. Are they a possibility? Yes. There is some inherent risk in earning that return on your emergency fund. Maybe it's not much but it's there and it's something to be aware of.