Are you carrying enough cash? Here’s what Clark recommends

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Are you carrying enough cash? Here’s what Clark recommends
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How much cash do you have access to without taking a trip to the ATM? Maybe you’ve never thought about it before, but Clark says it’s important that you know the answer.

Read more: Managing your money the old-fashioned way

Clark’s take: Never rely 100% on plastic

During a recent staff meeting, Clark asked a room of about 15 people whether they had at least $50 in cash on them. A few people immediately raised their hands, several were unsure and others admitted to relying 100% on plastic.

That’s something Clark later told his radio show listeners that he does not recommend.

“I’m somebody who’s always thinking about the what-ifs,” Clark said. “That’s why we have a supply of nonperishable food and a supply of water at home. And you always want to have a certain amount of cash because you never know what could happen.”

Clark explained that it’s within the realm of possibility for a foreign government to mess with our online banking, temporarily affecting the ability to use credit or debit cards.

Or it could be other events in life that bring on hardship, like something caused by Mother Nature.

“I have a belief that you cannot become too dependent on the electronics, whether it’s your phone or pieces of plastic,” Clark said. “A little bit of analog money (cash) is a good idea to have in your possession if the digital money doesn’t work.”

How much cash should you have? Clark recommends three days of “walking around” money, but you don’t have to keep all of it in your wallet if you’re concerned about that. 

Aside from this small emergency stash, everything else can stay in your bank account.

Read more: The one and only reason to have a ‘piece of trash’ debit card

Why debit cards are inferior to credit cards

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Michael Timmermann paid off his mortgage in two years. Now, he shares his money-saving tips on his blog, MichaelSaves.com.
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