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donothing

Dryer sheet aficionado
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Jan 19, 2011
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Columbia, SC
Anybody consider taking, say $40-50k (or other substantial amount) out of your savings account and just sticking it in your home safe? There are some so called financial gurus that are leaning that way. Saying things like "If your money is just blips on a bank computer, if you don't have physical possession of your money you don't really own it" etc
 
The amount I'd need to sustain FIRE if the computer blips disappear is way more than I'd want to keep at home. Keep a few dollars in case the ATM networks fail, yes, but it's impractical to be prepared for every remotely possible economic meltdown.
 
Why on earth would you do this? Risk of theft, fire, flood, etc. is all up there. A few thousand for just in case, sure. 40 to 50k?
 
My feeling is that it would be a mistake to keep a large sum of money at home. Most home safes are not really that secure. And even worse, you may be forced to open your safe under duress.
 
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Sounds like prepper thinking, and if you want tangible valuables to hold onto, why not keep some precious metals around the house? At least if your house does burn down, there's a chance you might be able to recover them.

I try to use credit cards for everything (balance paid off each month), so I keep as little cash around as possible.
 
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Heck, anything that would make that blip make your money worthless just because you do not have physical possession will also make that $40K or $50K worthless...

No GOOD reason to keep that kind of money laying around...
 
I have thought about it but if could not leave it house without worrying so I just keep it in the bank. I used to keep about three grand here and again I worried so I now keep only a few dollars:D
 
While I have at least $50k cash equivalent sitting around investment accounts earning approximately the same as it would buried in my backyard (nuttin'), I'd worry about being able to store it at home safely.

I used to have about $20k in Englehardt 10 oz silver bars here at home. My State Farm agent would not provide a reasonably priced rider to my home owner's policy to protect it. So, I sold at a nice profit but not nearly the profit I would have made had I hung onto it until today.
 
I could see doing that with $1-2k at most, but not $40-50k. Too many things to go wrong in relation to the potential benefits.

That said, I usually only have whatever is in my wallet (usually $100-250) and I do have $100 in 1972 silver dollars in a drawer somewhere around here.
 
azphx1972 said:
Sounds like prepper thinking.
Click to expand...

Or, more likely, an Illinois politician........ ;)

The chosen method of storage for one of our prior Secretary of State was in shoe boxes on the closet shelf.
 
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If I was inclined to do this, and I'm not, I'd put the cash in a safe deposit box.
 
is this a mayan end of the world question.

my opinion is that if really is the end of the world money won't be needed
 
I think keeping a few thousand at home is very prudent. During the worst of Sandy, many people were in dire, albeit temporary, need of cash as businesses were not accepting checks or credit/debit cards. ATMs, if working, had restrictions on what you were allowed to withdraw. This is not a doomsday scenario. It happens and cash on hand is cheap insurance. Also, what if there is a computer error on your account? One woman in my city had a 7 figure electric bill. Of course it will be straightened out in short order, but if you auto-pay and don't have multiple sources of ready cash(alternate liquid accounts) you have to shut down any spending until it is fixed. I would rather continue my life in progress until things are back to normal.
 
human743 said:
I think keeping a few thousand at home is very prudent. During the worst of Sandy, many people were in dire, albeit temporary, need of cash as businesses were not accepting checks or credit/debit cards. ATMs, if working, had restrictions on what you were allowed to withdraw. This is not a doomsday scenario. It happens and cash on hand is cheap insurance. Also, what if there is a computer error on your account? One woman in my city had a 7 figure electric bill. Of course it will be straightened out in short order, but if you auto-pay and don't have multiple sources of ready cash(alternate liquid accounts) you have to shut down any spending until it is fixed. I would rather continue my life in progress until things are back to normal.
Click to expand...

And this sort of thing is why I keep a couple thousand in cash around. But 50k? If you were in the kind of situation where you needed this much cash, you would probably be better off with MREs and shotshells.
 
I've thought about it but the risk is too great. This year I had an experience at a hotel with the in room safe. My valuables were locked up and the safe battery went dead. I was unable to open the safe. The maintenance lady took about 20 seconds with a philips screwdriver and a hex socket to open the safe. Your never as safe as you think you are.
 
I agree with the few $thousand folks -- enough to get through a bad storm. If you lean toward the "prepper" way of thinking you should be stocking guns, gold, and food, not cash. Who will take your cash when it all comes down?
 
donheff said:
Who will take your cash when it all comes down?
Click to expand...


Some guy with a can of tuna who thinks that eventually paper currency will be good again someday (maybe) will sell it to you for $6,000. That is, if he thinks he has tuna to spare!

I agree with the few $k folks too.
 
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We have enough food on hand (dried pasta, peanut butter, freezer food) to get us through a power outage. When storms are forecast I gas up the SUV, point it out of the garage so we can drive away if we need to.

I keep an emergency $20 and 20-euros in my wallet. If the Mayans come to get us next Friday, I don't think cash will help.

A friend of mine had his house burn to the ground last year. The contents of his fireproof safe consisted of white ash (paper contents) and melted jewelry.
 
youbet said:
Some guy with a can of tuna who thinks that eventually paper currency will be good again someday (maybe) will sell it to you for $6,000. That is, if he thinks he has tuna to spare!

I agree with the few $k folks too.
Click to expand...

They could really be in need of some toilet paper as well.
 
jebmke said:
A friend of mine had his house burn to the ground last year. The contents of his fireproof safe consisted of white ash (paper contents) and melted jewelry.
Click to expand...

I was afraid of that. It'll be the bank for me!
 
I think the financial gurus giving this advice have ownership in home safe manufacturing companies.
 
jebmke said:
A friend of mine had his house burn to the ground last year. The contents of his fireproof safe consisted of white ash (paper contents) and melted jewelry.
Click to expand...


Just to be clear, there are no fire PROOF safes.... just fire resistent.... they give a rating on what kind of fire they can protect against.... such and such temp for such and such of time....


Here is an example...

ETL Verified 1/2-hour fire protection for CDs, DVDs, USB drives and memory sticks up to 1550°F
 
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