Image : Colin Watts on Unsplash

More of us are relying on debit and credit cards to get through our daily lives. A 2017 survey from US Bank found that 50 percent of respondents carry cash with them less than half of the time. Of those who do carry cash, 76 percent have less than $50.




But we’re not quite at a cashless society yet, thankfully, and a good ol’ $5 bill still comes in handy. So, how much cash do you keep on you day-to-day?

As with most money questions, there’s no right or wrong answer, just what you’re comfortable with or have found works for you. Personally, I’ll take out anywhere from $40 to $60 per paycheck and wait for that to run out before I take out more, unless I need cash for something specific. That’s usually enough to get by in New York City, where the bodega rarely accepts a card for purchases under $10 and every other restaurant is cash-only.


This Reddit thread offers various rules of thumb:

“Carry enough to get home. If that just means a taxi across town, then $20-40. If that means buying a new tire in the boonies, then it means $300.” - StructuralGeek

“My rule of thumb is 120% the cost of a tank of gas.” - AstroturfingBot



“I keep $20 in my wallet, and $20 in my glove box for gas emergencies.” - duotoned



“Good rule of thumb is to carry at least $ 500 in 1s so you can make it rain.” - hazpat



Beyond emergencies, there are other reasons to carry cash:

You’re using the envelope budgeting system

You need to tip someone (cash is always preferable)

Your cards are suspended/you frequently overdraft

And a million other random occurrences in which cash is preferable to cards. What’s your cash rule-of-thumb?


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