Cash Liquidity

[1MOREMOD]

I have some money in booze that's liquid.

[Rmtt]

Originally Posted by Run Silent

Funny how living below your means, paying yourself first in the form of appropriate savings plans, and investing wisely and for the long term seems to work out so well, isn't it? Almost like we made a plan for our money, isn't it?



Boring when it comes to finances isn't a bad thing.

But of course what would you and I know? Besides, I'm just a cheap accountant who bought himself a Ferrari for cash at age 42.



Rock on, man!


What was it that Dave Ramsey always used to say? Live for a while like no one else does, and later - you can live like no one else does? Something like that.

I also like "Don't be normal, normal people are broke."

It makes a huge difference to me in regards to enjoyment of life. When my daughter started college, she had plenty of scholarships that paid for about 80% of everything.

But it was nice to be able to pay the remainder up front each year without wondering what changes we would have to make in our budget to accommodate it.

I think one of the biggest things that works for us is that we still budget our household on what we made 15 years ago. As we got raises, we deferred them to our retirement or to savings. So we lived on about 60% of our current income for a long time. While my co-workers were buying huge houses, we settled down in something that fit our needs and no one else.

Then we just added upgrades along the years as we wanted to. Now that we are "empty nesters", my wife wants to make one more move. Our property value has been going up steadily, but they developed a couple of new streets behind us in the last year...so my property value really took off.

And as I had mentioned in another thread, we had a good friend that I had worked with for the last 20 years leave our company. He would get me into new places, or I would do the same for him.

But that places me next in line here for one of the VP Roles. I sat down with my boss a few weeks before I went on vacation, and laid out everything I/My group had done for the company. I was at the point where I didn't care anymore...and went for broke. It kind of spooked him as my friend who left was very valuable here. And he knows that I can go over to were he is at because it's a company we had worked at before.

Anyways, he told me he didn't want to lose me...so by the end of next week I find out what's going to happen. If things go Like I would like, it would make me the youngest VP in the company and comes with an increase of about 35% in pay.

And if that happens...it won't change anything. I will still live the same way I am now and treat it like I didn't even see an increase in pay. The extra cash will be going into one of our accounts for retirement.

[floridaorange]

Originally Posted by DETRoadster

Well it's not like it's a Kia forum...

Originally Posted by DETRoadster

Well it's not like it's a Kia forum...

Lol

[detroitm2]

People have way too much cash on hand.. It's not doing you any good sitting in saving. LOL I generally keep at least 10K in savings. everything else is in long/short term investments.

[corn18]

Originally Posted by detroitm2

People have way too much cash on hand.. It's not doing you any good sitting in saving. LOL I generally keep at least 10K in savings. everything else is in long/short term investments.

In this whacky world of negative rates, it might be doing better under a mattress. At least we still have some good options in the US for now. If US treasuries go negative, all hell is going to break loose.

[Run Silent]

Originally Posted by corn18

In this whacky world of negative rates, it might be doing better under a mattress. At least we still have some good options in the US for now. If US treasuries go negative, all hell is going to break loose.

Originally Posted by detroitm2

People have way too much cash on hand.. It's not doing you any good sitting in saving. LOL I generally keep at least 10K in savings. everything else is in long/short term investments.

Just need to know where to invest.

Currently receive 6.9% APY on one of my basic savings accounts sitting at the bank.

[corn18]

Originally Posted by Run Silent

Just need to know where to invest.

Currently receive 6.9% APY on one of my basic savings accounts sitting at the bank.

I want that! I am only using 2% real as my growth rate for the next 30 years and that's with a 60/40 portfolio. If I could get 6.9% on my cash, I would be a happy camper, indeed.

[Run Silent]

Originally Posted by corn18

I want that! I am only using 2% real as my growth rate for the next 30 years and that's with a 60/40 portfolio. If I could get 6.9% on my cash, I would be a happy camper, indeed.

Send me a private message and I will provide you the details. That rate was with a minimum average balance of $15,000 USD, but that isn't too terribly high.

[Joekerr]

Originally Posted by Run Silent

Send me a private message and I will provide you the details. That rate was with a minimum average balance of $15,000 USD, but that isn't too terribly high.

I can't participate, but I am curious - I know you don't have a mortgage, but what are mortgage rates in your area? My guess is, they are significantly lower than 6.9%. And if so, is there not a forthcoming issue?

[UncleWede]

"And then that bus hit me. But I took all my cash to heaven with me"

[TURBO8]

Originally Posted by Run Silent

Send me a private message and I will provide you the details. That rate was with a minimum average balance of $15,000 USD, but that isn't too terribly high.

What bank?

[PhatLyfe]

Originally Posted by Run Silent

Just need to know where to invest.

Currently receive 6.9% APY on one of my basic savings accounts sitting at the bank.

Can you tell us What bank? we are interested in your knowledge as well and FDIC insured?

[Run Silent]

Originally Posted by Joekerr

I can't participate, but I am curious - I know you don't have a mortgage, but what are mortgage rates in your area? My guess is, they are significantly lower than 6.9%. And if so, is there not a forthcoming issue?

I sent you a PM.

Originally Posted by TURBO8

What bank?

Originally Posted by PhatLyfe

Can you tell us What bank? we are interested in your knowledge as well and FDIC insured?

I try to keep too many details out of public forums. Feel free to message me if you want additional details. No, not FDIC insured.

[Rmtt]

Originally Posted by Run Silent

Send me a private message and I will provide you the details. That rate was with a minimum average balance of $15,000 USD, but that isn't too terribly high.

If you don't mind, I'm going to PM you as well. Definitely better than what I'm seeing. I've got a few savings accounts scattered around with between $10K-$20K in each that I sometimes forget about because they sit their stagnant.

[XutvJet]

Originally Posted by Run Silent

Funny how living below your means, paying yourself first in the form of appropriate savings plans, and investing wisely and for the long term seems to work out so well, isn't it? Almost like we made a plan for our money, isn't it?



Boring when it comes to finances isn't a bad thing.

But of course what would you and I know? Besides, I'm just a cheap accountant who bought himself a Ferrari for cash at age 42.



Rock on, man!

What was it that Dave Ramsey always used to say? Live for a while like no one else does, and later - you can live like no one else does? Something like that.

I also like "Don't be normal, normal people are broke."

Amen. The wife and I have the same mindset when it comes to finances. Live below your means. Period. But we also like nice things, we just have much less of them compared to our friends and family. My M235 is the fanciest thing we have. What I paid for it new is much less than what most people are paying for nicely loaded domestic full size trucks (f-ing crazy). My neighbors constantly note how I'm the fancy guy with the BMW all the while they're standing next to their $60K F150 and a house with a huge mortgage.

We're in our mid-40s and our modest house was paid off 5 years ago. We carry no debt. We use our credit card almost exclusively and it's always paid off every month. Every year we get 4 to 6 free roundtrip flights from the points.

In the event I were to loose my job, we would reduce our discretionary spending, and the emergency fund could cover us probably 10 to 14 months before I'd have to tap into our investments.

Our biggest expense is food and alcohol. We eat mostly organic, lots of local/free range meat and cook for breakfast, sometimes lunch, and always dinner. I like craft beer and whiskey. When we go out to eat, I don't ever sweat the bill. It is what it is. Food is very important to us.

We don't worry about money because we live well below our means. It's sometimes hard to see others buying lots of toys, second homes, boats, race cars, etc. but I'd rather enjoy what I have and make due with less. Too much stuff starts to own you.

[XutvJet]

Originally Posted by detroitm2

People have way too much cash on hand.. It's not doing you any good sitting in saving. LOL I generally keep at least 10K in savings. everything else is in long/short term investments.

I would imagine most that have $100K in "cash" likely have $1M+ in investments, excluding their home. It's all relative and your risk tolerance. I'm fine with the income/growth of my investments and my "cash" does generate some income as well. Being able to access that cash and without taxation/penalty within 24 hours is a huge plus too. For me, $10K wouldn't cut it. My CC bills are can vary from $5K to 12K/mo depending on what we buy, home repair, work and/or leisure travel, rare big purchases, etc. Having to sell a short-term investment would be a pain. Then I have to deal with it at tax season as well. I'm also not a huge fan of short-term investments. Too volatile. Too time consuming to deal with.