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Old 06-20-2021, 02:36 PM   #61
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For medical billing issues you'll want to use that cash to hire a lawyer...they'll know best whether to appeal or just pay.
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Old 06-20-2021, 03:43 PM   #62
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I'm another that has no worries about having a large amount of cash, especially the part about being sued or losing health insurance. At least for me, it's not even a concern, that's why I have insurance and a good medical plan.

Like others here I'm sure, I have enough cash stashed in currently low earning CD's to make your head spin. For me, after I hit my savings goal of investments and savings, I simply started socking away cash for no real reason other than not wanting to waste it or run the risk in the stock market anymore.

Do what ever makes you comfortable and maybe makes you sleep better at night. No right or wrong answer.
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Old 06-20-2021, 07:49 PM   #63
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@CaptTom would you agree that you desire liquidity, more than actual bank cash?

If it's liquidity you desire, you can hold bank cash, plus the entire gamut of financial assets in a taxable account. This insulates you from inflation, and exposes you to market risk. I think pb4uski is suggesting something like this.

What is your personal calculus on inflation risk vs market risk? Which is scarier? The goal would be to have funds available to pay for the medical procedure that was denied due to typographical error in the application.
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Old 06-20-2021, 07:54 PM   #64
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Big picture answer I'm getting is, no, there's no particular exposure I hadn't thought of by keeping cash.

My specific example (the only one I could think of) was a huge uninsured medical bill, for which they could take all my cash but I thought (maybe incorrectly) they could not take a 401k, home or automobile, at least until I die. I was thinking there may be other nuances I wasn't aware of. It doesn't sound like there are.

I'll probably stay the course. Yes, if there were better medical options I'd be in line for them. Short of voting, and not getting sick, there's not much I can do to fix that mess. Although I may look to see what Amazon has in gold doorknobs.
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Old 06-20-2021, 07:57 PM   #65
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@CaptTom the notion of a Swiss bank account again is suggested. Serious question - have you investigated whether or not you are able to obtain an offshore (legal) bank account? Does that avenue interest you?
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Old 06-20-2021, 07:58 PM   #66
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@CaptTom would you agree that you desire liquidity, more than actual bank cash?

If it's liquidity you desire, you can hold bank cash, plus the entire gamut of financial assets in a taxable account. This insulates you from inflation, and exposes you to market risk. I think pb4uski is suggesting something like this.

What is your personal calculus on inflation risk vs market risk? Which is scarier? The goal would be to have funds available to pay for the medical procedure that was denied due to typographical error in the application.
We were posting at the same time. I'll try to answer...

Yes, I think liquidity is the goal for keeping cash.

Personally, inflation is the one variable I worry about most. Because of that, I factored in a very conservative (high) rate. After five years of almost no inflation, I'm ahead right now. But that leaves me waiting for the other shoe to drop. My crystal ball isn't working all that well, so it's foolish to have an opinion. But that doesn't mean I can't worry about the sudden up-tick we're seeing. Again, all I can do is stay the course, and trust my plan.
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Old 06-20-2021, 09:39 PM   #67
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Any decent lawyer can drain your net worth and he/she doesn’t really care if it’s in cash or investments, property, or whatever. Its all fair game.
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Old 06-21-2021, 04:14 AM   #68
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Is there a way that a revocable trust could help protect assets? If so then which would be covered - IRA, taxable investments, cash, etc.?



Cheers!
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Old 06-21-2021, 01:46 PM   #69
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Any decent lawyer can drain your net worth and he/she doesn’t really care if it’s in cash or investments, property, or whatever. Its all fair game.
That's what umbrella insurance is for...seven figures to pay the plaintiff to go away...claims remain rare enough that that type of insurance is inexpensive.
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Old 06-21-2021, 06:54 PM   #70
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We were posting at the same time. I'll try to answer...

Yes, I think liquidity is the goal for keeping cash.

Personally, inflation is the one variable I worry about most. Because of that, I factored in a very conservative (high) rate. After five years of almost no inflation, I'm ahead right now. But that leaves me waiting for the other shoe to drop. My crystal ball isn't working all that well, so it's foolish to have an opinion. But that doesn't mean I can't worry about the sudden up-tick we're seeing. Again, all I can do is stay the course, and trust my plan.
@CaptTom if inflation is the variable you worry about most, all the more reason to invest in equities. Cash will be trash in a high inflation environment.
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Old 06-21-2021, 06:59 PM   #71
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That's what umbrella insurance is for...seven figures to pay the plaintiff to go away...claims remain rare enough that that type of insurance is inexpensive.


Just pointing out that being heavy in cash doesn’t attract lawsuits any more or less.
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Old 06-21-2021, 07:49 PM   #72
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@CaptTom if inflation is the variable you worry about most, all the more reason to invest in equities. Cash will be trash in a high inflation environment.
I'm no expert and I didn't find the chart I was looking for. I DID live through the stagflation of the mid 70's. During some periods of that era, EVERYTHING was trash. YMMV
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