Cash on hand ?

[DutchV]

For a lot of people that's really hard. We do a good job of F-ing over poor people in our country (well, in pretty much all countries). Harder for them to get loans, and at much higher rates. Payday loans are usury. Hard for them to buy things in bulk and save, because they don't have the money to do that. Etc. Unemployment benefits if you do get laid off are a tiny fraction of your pay. No medical coverage if you get laid off. Even if you do have medical coverage, most people are one serious illness or injury away from bankruptcy.

Makes it a ton harder to get ahead.

I agree people SHOULD try to have a few month buffer of cash (ideally in a bank account), but for like 50% of Americans more than a couple of weeks is just about out of reach and more than a month or two is just about impossible for like 80% of Americans.

IMHO, actual physical paper money on hand, enough to get out of dodge or for that gun you've been wanting that just happens to have been in your collection the entire time if your wife asks you "is that new?"

Unless my pay was pretty danged low, I can't wrap my head around keeping a YEARS salary physical cash on hand. Hell, even 6 months. Tens of thousands of dollars is pretty damn risky. As pointed out, Insurance is unlikely to cover its loss through fire or theft. Pretty unlikely police would ever toss my house on a warrant (or otherwise), but that level of cash probably WOULD raise eyebrows from the police or a DA. A grand or two in a safe probably wouldn't and is sure sufficient for probably 99.9999% of eventualities in life. I am not going to worry about that .0001% where the bank is closed and I somehow need several thousand in physical cash NOW.

My personal cash on hand is usually less than a thousand. I figure that's enough to get through a bad storm. My cash buffer is in the bank, safely stored but drawing almost no interest.

As for being poor, basic financial advice isn't hard to find.

Dave Ramsey:

https://www.daveramsey.com/dave-ramsey-7-baby-steps

This guy has some good ideas too:

https://www.mrmoneymustache.com/


There's also continued education and training so folks can get better jobs.

 

[jollymon]

My personal cash on hand is usually less than a thousand. I figure that's enough to get through a bad storm. My cash buffer is in the bank, safely stored but drawing almost no interest.

As for being poor, basic financial advice isn't hard to find.

Dave Ramsey:

https://www.daveramsey.com/dave-ramsey-7-baby-steps

This guy has some good ideas too:

https://www.mrmoneymustache.com/


There's also continued education and training so folks can get better jobs.

Dave Ramsey was a inspiration to get us on the right track years ago , Not that we were bad off , We had good income streams just didn't have guidance to wear to make it work for us , The poor can rise above their situation by work and on going education to make a better lot for themselves
If not they will not break out of their poverty , You can't just give them a way out that they don't work for a better life .

 

[ToolAA]

Dave Ramsey was a inspiration to get us on the right track years ago , Not that we were bad off , We had good income streams just didn't have guidance to wear to make it work for us , The poor can rise above their situation by work and on going education to make a better lot for themselves
If not they will not break out of their poverty , You can't just give them a way out that they don't work for a better life .

Dave Ramsey helped me too. Even though I was responsible for a budget if tens of millions at work, I hadn’t put much thought into managing my personal budget. My income was high but we were also spending a lot. I liken it to traveling down a class 5 rapids. As long as the income stream was flowing we were moving, but Dave Ramsey’s lectures helped me realize that you still have to navigate the boat through the financial rapids. Also sometimes you need to step back and pull the boat out of the water to assess where you are going. You also need to have a life preserver in case the boat flips over.

Now I make less money but we have more savings and I’m happier.


One more comment about what size bills to keep in your stash. I’m going to go against the grain here and say keep mostly $100’s on hand and maybe a small number if $50’s. Do not waste your time with anything smaller. In an emergency you will not be doling out small bills. Everything will be 3-10 times more expensive or more when you really really need it.

Ask yourself much would you pay for gas if you waited in line for 3hrs and the station had no idea if or when another fuel truck would arrive.

How much would you pay for a roof over your head when masses of people were forced to sleep in their cars?

Whatever number you can think of, there will be someone else with a bigger wad of cash ready to outbid you! Emergencies are not the time to haggle. Pay what whatever it takes and move on. Because tomorrow it will cost twice as much as today.

 

[Alea Jacta Est]

Wisdom. TAA

 

[Slowhand]

I just keep some ammo and a few John Wick coins... https://www.apmex.com/john-wick-coin

 

[eruby]

Yep... I've seesawed on the topic a time or two

Margery Daw approves of this post.

 

[Name Taken]

Another reason to "shop local". I've been in several different places when the card machine went down. Being a small town and a recognized customer, I was given the product/service and told to pay up next time.

I usually keep 40 bucks or so in my wallet but I don't replenish it as often as I should.

 

[Conundrum]

I got a $6 bill somewhere with Bill "Slick Willie" Clinton on it. Does that count?

 

[Blacksmith101]

In addition to the money you think you will need you may want to keep an extra stash of what I call Opportunity Money. Many people in the country don't have $400 available for emergencies.
40% of Americans don’t have $400 in the bank for emergency expenses: Federal Reserve
https://abcnews.go.com/US/10-americ...0-emergency-expense-federal/story?id=63253846

That translates to in times of Cash Only there will be people desperate for some cash to get what they need. That may result in Opportunities to buy things if you have available cash. Maybe your neighbor will sell that nice shotgun, or needs cash more than primers, someone on the forum may want to peddle his ass, or whatever it may be and it will be a buyers market if you are the only one with cash.

There is a difference in having money for things you will need and having a means of storing wealth. Money for things should be cash or easily bartered items; widely accepted and in denominations easily exchanged. It is hard to get people to accept gold or silver if they don't normally deal with it and it will be hard to get change for a $100 purchase if you want to pay with an ounce of gold. Gold is good for storing some wealth because it stores a lot in a compact transportable package an alternative to precious metals that has also been used is precious stones diamond, ruby, sapphire, etc. very portable and concealable but less liquid. So think your plans through as to what you expect to happen and how you will use your emergency money including how you will spend or convert it and how it will be received.

 

[Inigoes]

That translates to in times of Cash Only there will be people desperate for some cash to get what they need. That may result in Opportunities to buy things if you have available cash. Maybe your neighbor will sell that nice shotgun, or needs cash more than primers, someone on the forum may want to peddle his ass, or whatever it may be and it will be a buyers market if you are the only one with cash.

Never take advantage of people in times of crisis. That doesnt mean get a good price, just be fair about it.

Do not be surprised if they comeback to you when the crisis is over to buy the item back. If this is the case, do not be afraid to charge them a little interest, again be fair about it.

 

[Blaster229]

$50 in 1's thrown up in the air also makes a good distraction method if there's a group of people who look like they want to do you harm. Especially in foreign countries. YMMV

 

[ToolAA]

$50 in 1's thrown up in the air also makes a good distraction method if there's a group of people who look like they want to do you harm. Especially in foreign countries. YMMV

Its funny you say this. I had a friend who was about to get his ass kicked near Hammerjacks one night. He had exchanged some words with a guy at the bar. When he was leaving he noticed the same guy and another person follow him as he was walking back to his car. As the two guys were getting close he turned around and said “what? Do you guys want to rob me? He dropped a few bills pretending to fumble his wallet and one of the guys started to reach down to pick one up. At that point he kicked him in the face and ran. The other guy chased him all the way to his car where he had a bat behind the seat and that was enough to get the guy to back off.

Pretty stupid in some ways but this guy was just one of those types who seemed to find trouble all of the time, so I guess he knew what to do when he found it.

So yea I guess your idea might work in some circumstances.

 

[Blaster229]

Its funny you say this. I had a friend who was about to get his ass kicked near Hammerjacks one night. He had exchanged some words with a guy at the bar. When he was leaving he noticed the same guy and another person follow him as he was walking back to his car. As the two guys were getting close he turned around and said “what? Do you guys want to rob me? He dropped a few bills pretending to fumble his wallet and one of the guys started to reach down to pick one up. At that point he kicked him in the face and ran. The other guy chased him all the way to his car where he had a bat behind the seat and that was enough to get the guy to back off.

Pretty stupid in some ways but this guy was just one of those types who seemed to find trouble all of the time, so I guess he knew what to do when he found it.

So yea I guess your idea might work in some circumstances.

Some people who trained me recommended this for some overseas shit holes. Also having a zippo lighter or two. They make for good bartering items.

 

[sailskidrive]

Some people who trained me recommended this for some overseas shit holes. Also having a zippo lighter or two. They make for good bartering items.

Yeah... zippos for trading or "thank yous"

Loose bills for a distraction. T
Throw away wallet with some bills in it (anchored w/ tape) and used single use debit card
Sweatshirt w/ available hood; a hat, and sunglasses so you can easily change up your look in seconds
Real wallet around your neck or velcro'd inside your pants
MicroSD card w/ encrypted jpgs of your passport, drivers license, and CC company contact info under a bandaid inside your sock
Metal Pen, because they hurt
If it's cool where you are going wear anti-cut kevlar reinforced arm gauntlets under sweatshirt. Pack them like socks in your luggage
Leather belt with a reasonable size buckle -
Hk4, Walther PPK, or a Gyrojet ;-)

 

[welder516]

Lots of trouble but a toss down wallet may get a re-direction of an azz whooping . Put some singles and some fake cards and stuff .

 

[erwos]

$0. Seriously. I don't use physical cash anymore except for the few places that specifically make me do so (like... most gun matches). Bank runs happen in a hyperinflationary environment, because sitting on cash (physical or electronic) in a hyperinflationary environment is a terrible idea. You go take it out and spend it, or invest it, or whatever. Any other circumstance, like where the government is seizing deposits or banks are failing en masse, is either already hyperinflationary or will be shortly.

If you want to have a thousand bucks in case the local power is out for a couple weeks, I guess I could see that, but I just don't think huge amounts of cash make sense as a prepper play.

ETA: keep in mind I am a huge proponent of having a large savings account. Just don't see physical cash as being a big thing.

 

[jollymon]

$0. Seriously. I don't use physical cash anymore except for the few places that specifically make me do so (like... most gun matches). Bank runs happen in a hyperinflationary environment, because sitting on cash (physical or electronic) in a hyperinflationary environment is a terrible idea. You go take it out and spend it, or invest it, or whatever. Any other circumstance, like where the government is seizing deposits or banks are failing en masse, is either already hyperinflationary or will be shortly.

If you want to have a thousand bucks in case the local power is out for a couple weeks, I guess I could see that, but I just don't think huge amounts of cash make sense as a prepper play.

ETA: keep in mind I am a huge proponent of having a large savings account. Just don't see physical cash as being a big thing.

Can't get my mind around not using cash , Your cards and accounts can be turned off if the government thinks you maybe a risk or threat and the ever present threat of hacking and poof it's gone , I have been in places were it was cash only after storms for weeks , If your going to keep your wealth keep it in gold and silver and by all means keep some in the bank for normal bill paying . Also tipping in cash keeps it off the income radar for all those who work had and don't get the application they deserve , Tip well for good service and do it in cash.

 

[Donald1818]

$0. Seriously. I don't use physical cash anymore except for the few places that specifically make me do so (like... most gun matches). Bank runs happen in a hyperinflationary environment, because sitting on cash (physical or electronic) in a hyperinflationary environment is a terrible idea. You go take it out and spend it, or invest it, or whatever. Any other circumstance, like where the government is seizing deposits or banks are failing en masse, is either already hyperinflationary or will be shortly.

If you want to have a thousand bucks in case the local power is out for a couple weeks, I guess I could see that, but I just don't think huge amounts of cash make sense as a prepper play.

ETA: keep in mind I am a huge proponent of having a large savings account. Just don't see physical cash as being a big thing.

personally I look at life as a risk assessment.
I do not know what will happen today, tomorrow, or ever.
but it seems more prudent to do some things and less so, to do other things.

I strive to be a student of life, and that is very hard thing.
--

If you don't hold the keys to the bank, your not in control of your own personal property.
-just my thought.

D

 

[Alea Jacta Est]

Anybody who has experience with disasters knows cash is king when the SHHTF

YMMV

 

[Inigoes]

Anybody who has experience with disasters knows cash is king when the SHHTF

Not only that.

Sometimes on the weekend, a sweetheart deal of a cash price jumps into your lap, and the bank is closed.

It's nice to have a little something-something to put your money where your mouth is.