What’s cash?

When you say have money in “cash,” what does that mean?

“Cash” is a highly liquid form of asset that adds stability to your financial life. When I say cash, sure I mean the cash in your wallet. (Everyone should carry a bit of cash even in today’s digital society.) Or the cash hidden at home or in your safe.  

The cash I most focus on is the cash in the bank as it is covered by Federal Deposit Insurance (FDIC). This comes free to you with your bank accounts. FDIC: Deposit Insurance FAQs Credit unions also have insurance on your cash accounts at no cost to you. As a result I consider both institutions safe for cash accounts. Deposits Are Safe in Federally Insured Credit Unions | NCUA 

Checking accounts, Savings Accounts and Certificates of Deposit at credit unions or banks are insured. Consider these as the cash in your portfolio and most important, the cornerstone in your financial life.