Discussion about how and how much low- and moderate-income households save is hampered by the fact that key terms are fuzzy. How long does money have to be set aside before it is considered saving? Are savings account balances an accurate representation of savings behavior? For the households we studied short-term savings dominates long-term savings. Many households seem to be setting aside substantial amounts of their income, but spending down these savings within the year. Short-term saving has not received adequate attention in programs and policies for lower-income households.