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Old 09-17-2017, 11:18 AM   #21
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I have a GIC ladder, but as interest rates have been ridiculously low for the last couple of years, I have not renewed the last couple of GICs as they matured. So currently I have about 2 years (24 months) expenses in cash.
I did count GIC's or CD's as the same a cash, as long as I could cash them out within a time frame that I would not have already run out of cash (about 1-2 years).
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Old 09-17-2017, 11:20 AM   #22
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I keep about 2 months of cash between checking and savings... And each quarter I transfer money around to fund the quarter (some comes out of an inherited IRA - so I need to transfer it out as part of the RMD)... I transfer that to short term money fund - in my regular (vs tax deferred) brokerage... then monthly transfer that month's allotment. So at the beginning of the quarter I have 3 more months of cash. My husband also has a bunch of IRA CDs - about 3% of our portfolio... but I just let those roll... not part of our cash flow.

All of this is a good reminder... I went and looked at my current AA in quicken... and I definitely need to rebalance.
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Old 09-17-2017, 11:22 AM   #23
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We run pretty lean in terms of cash...I would put it at about 3 months worth of expenses. We do have a HELOC that is available in the event we need a large amount of cash in a short time period. We opened the HELOC in 2013 and haven't drawn on it yet.
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Old 09-17-2017, 11:26 AM   #24
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I am guessing you spend the dividends as they come in.

Yep, my savings is gold and silver but I haven't "saved" anything is 6 months or so, just finishing up a large project that should allow me to save again


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Hahahah, thats the direct opposite of the poster above,.
I used to keep a good years worth of emergency fund when I was working but never had to dip into it so it all went to gold
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Old 09-17-2017, 11:28 AM   #25
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I am retired, so I keep 0 months of cash in our portfolio. Our checking account is different. I keep about one week's worth of expenses in our checking account.

I pay everything with a credit card. If I need to pay a credit card bill, then I sell something in the portfolio and have the proceeds show up in my checking account and use online billpay to pay the credit card.

As for "cash flow", I get dividends from time to time and use them to pay bills or if not needed to pay bills, I invest the money within minutes or hours from when it shows up in my portfolio.

This is somewhat like living paycheck-to-paycheck except it is paycheck-on-demand. Credit cards provide all the buffer I need.

We were once locked out of our checking account for 3 weeks, so any cash in there was unavailable. While it was irritating, it showed me that we could readily survive.
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Old 09-17-2017, 12:25 PM   #26
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I did count GIC's or CD's as the same a cash, as long as I could cash them out within a time frame that I would not have already run out of cash (about 1-2 years).
In a full GIC ladder, I would usually have GICs maturing in 1,2,3,4 and 5 years. Once again, the definition of "cash" defines the answer. The accounting definition of "cash and cash equivalents" uses a cutoff of 3 months, or 90 days, unrestricted.

https://www.accountingcoach.com/blog...sh-equivalents
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Old 09-17-2017, 01:02 PM   #27
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About 12mo in cash (Synchrony Savings at 1.2%), and a (short) 3/6/9/12-mo CD ladder with another 12m worth of "cash"
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Old 09-17-2017, 01:18 PM   #28
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Counting checking, savings and CDs, we also have about 8 years worth in cash. About 30% of our investable assets.
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Old 09-17-2017, 01:20 PM   #29
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About to retire and currently have 24 months of cash. About 12 months in stable value fund (2% last quarter) and 12 months in Amex savings 1.15%
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Old 09-17-2017, 01:23 PM   #30
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One year in a safe deposit box; two year's in a stable value fund.
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Old 09-17-2017, 02:08 PM   #31
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Right now, we have about 3 years of spending held in cash.
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Old 09-17-2017, 02:09 PM   #32
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In a full GIC ladder, I would usually have GICs maturing in 1,2,3,4 and 5 years.
Factoring in current CPP, OAS (which for DW will increase in November), dividend & interest income, which will exceed our current rate of expenditure, we have enough in GICs to last to the end of time.
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Old 09-17-2017, 02:16 PM   #33
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Currently have about 4.4 years of cash between checking and savings accounts, but am actively seeking certain types of investments to reduce the cash hoard to more like 6-12 months' worth.
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Old 09-17-2017, 02:48 PM   #34
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12 to 18 months living expenses, or 4 - 7% of investable assets. I rebalance to 7% early each year.
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Old 09-17-2017, 02:49 PM   #35
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So far the combination of capital gains distributions at the end of the year and quarterly dividends has been enough to for me to schedule a regular monthly deposit to my checking account that just happens to be my self-decided "paycheck" each month. That's been working fine for over three years now and effectively means I'm keeping as much as six months and as little as one month in cash.

But I'm currently living on less than half of what I calculated I could before I decided to retire. I suppose at some point in the future if my monthly expenses double to meet my projections I would need to start selling shares of something.
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Old 09-17-2017, 02:51 PM   #36
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Factoring in current CPP, OAS (which for DW will increase in November), dividend & interest income, which will exceed our current rate of expenditure, we have enough in GICs to last to the end of time.
Good for you!
I just turned 60 but have done the math and it makes sense for me to wait till 65 before starting CPP. I expect to have OAS fully clawed back, so I'm not counting on anything from that source.
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Old 09-17-2017, 03:02 PM   #37
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One year in a safe deposit box; two year's in a stable value fund.
Just curious why a safe deposit box and not an FDIC-insured interest-bearing account? Sure, rates are low currently but it's >0.
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Old 09-17-2017, 03:04 PM   #38
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Oh, I'm watching this thread with interest. Inherited a brokerage acct from Dad which was largely in high-ER mutual funds which I sold, so I'm sitting on a fairly large amount of cash right now.
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Old 09-17-2017, 03:17 PM   #39
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....., but am waiting for the next recession or collapse of market before doing that.
Great, I was just admiring my net worth.
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Old 09-17-2017, 03:17 PM   #40
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About 3 years in savings and CD's combined...
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