One of the things about the personal finance and early retirement community is...well, keeping cash. Yes, your purchasing power diminishes over the years due to inflation. Cash doesn't make money. Cash needs to be invested, not kept.
We take a different route - we have nearly four years of living expenses in an Ally savings account that, at the moment, is making about 1.8% interest. Hardly the gains of the stock market, but we're also setting ourselves up to use that cash once the market flips, avoiding a sell-off of stocks in a down market.
Are you guys/gals cash hoarders, too? If so, how many years of living expenses do you have?
P.S.: That cash in Ally isn't our only stash. The majority of our net worth is in investments.
Submitted August 05, 2018 at 12:56PM by SteveAAdcock https://ift.tt/2M5JDlI
