How will this change in income affect the family's emergency fund needs? How much should they save annually for the next three years if they want to build up Joseph's college fund to $20,000, assuming a 3 percent rate of return and ignoring taxes on the interest? (Hint: Use Appendix A.1 or visit the Garman/Forgue companion website.) What savings options are open to the Hernandezes that could reduce or eliminate the effects of taxes on their savings program?