I typically have between $100 to no cash in my pocket, depending upon when I last visited the atm. I mostly use cash for coffee, as I can tip a little, and I feel badly making the owner pay a credit card fee on a cup of coffee. Sometimes I use cash for a tip at a restaurant.
That's about it. It's not uncommon that I see a person on the street that I would give cash to, but I have none to give.
I don't expect that I will keep cash in my pocket five years from now.
At my local pub (which I used to go into at least 5 times a week), a couple of the bartenders commented about how it was odd that I always paid with cash, as apparently almost no one else did. Could be because it was just off-campus but there was also a significant amount of suit and tie kinda people that were regulars. I like cash.
I hear ya but this place was a bit different as "everyone knew your name." I even went to a couple of the bartender's weddings and still keep in touch with them ten years later.
That is the one benefit of paying with cash - if you are at a bar and need to go for whatever reason, you can drop down your money and just go. I did this once when an older gentleman was getting in my face and I couldn't get attention from the bartender to close my tab. Tender did get a shitty tip because I had limited cash, but also because I couldn't get his attention for the life of me.
With the exception of large purchases or purchases where I want a paper trail (think buying electronics or paying for medical or car repair bills) I deal exclusively in cash. Ever since I've switched over from using credit/debit to dealing in cash I've had better control over my finances and my credit card debt is near zero. I still keep receipts so I know where all of my money is going, plus the Sunday afternoon act of actually figuring out where I spent all of my money on the week prior also helps towards being aware of how and how fast I'm spending my money.
When I'm counseling people with money trouble I make them do this. It's cash for EVERYTHING where possible. (and I'm not suggesting you have money problems). But if some one wants to really get a handle on their finances... a written, posted budget and a cash only system is a GREAT way to start. The whole rewards card thing is great and all - but requires discipline.
Did you know that many credit cards will let you set up self-imposed spending limits? I think it's smart to have people live on a budget via cash, but it can be dangerous as well. My parents live almost exclusively on cash/debit. They destroyed their credit early in life. I grew up seeing what a boom/bust house looks like. Every two weeks our cupbards were full, then they weren't, then they were, then they weren't. Money management is SO important. Thankfully, I married the woman I did. She really changed me. For the better. We live within our means and it's a good feeling. But you're right, it requires discipline.
It's interesting you say that. The whole reason I switched to cash actually was because all the time now you hear about stolen credit card data. If I pay in cash, that's one less thing I have to worry about. I just discovered by accident that it allows me to control my spending habits better. It's so helpful that it actually overshadows my desire to keep my credit card data safe as a motivator to use cash. Now it's something I recommend to anyone to try out if I hear they're having problems with budget.
I've kept track of every electronic purchase for something like 14 years. So while I deal almost entirely on my credit card, I know at any given time how much is on my credit cards, how much is in my checking account, and what the net difference is. When planning large purchases, it's easy to forecast out upcoming expenses and paychecks to see how that balance is likely to change over the next couple weeks. Funny how we end up in roughly the same place, gauging our expenses, in completely opposite ways.
like tng, I roll the rewards points and spend almost entirely on my card. I like to carry a little cash - maybe between $2-60. I rarely use it though. I think because I grew up without a lot of money, I like the idea of having cash in my pocket... because I can... but it's a silly thing really. Now... when it comes to change... I am a recovering change addict. I have a recurring dream where I am in the driveway of my childhood home and I see a dime on the driveway. I lean down to pick it up and notice a nearby nickel. Only then I see a quarter and some pennies. I look around and there are coins everywhere. I experience deep childhood joy at picking up dollars worth of coins. I think this dream, and the earlier mentioned lack of money as a kid affected the way I feel about change. For a time, I used to have AT LEAST 2-5 gold dollars and AT LEAST two fifty cent pieces. I would use them for tips at the diner, or to buy lemonade from kids on the street. But when I used it at a store one time and the 17 year old behind the counter took like a solid minute to figure out what the 50 cent piece was and how much it was worth... I realized I should migrate back to the card. I think geography has a lot to do with it too. In a small town, I was all cash, coin ,etc. In Denver, I'm almost all card all the time.
I keep $2 bills in my wallet for just those reasons. Well, not lemonade. I don't see those kids often.
That is an EXCELLENT question. And the answer is, I shall (hopefully!) be moving into an apartment in Denver come the first or second week of January. The plan right now is to fly back home to Baltimore in the middle of December and then drive back to Colorado in early January. Between now and flying home, I've been busying myself with finding a place to live in the city (or 'burbs, wherever's affordable and cozy and central). Craigslisting mainly. So the answer is: soon. The alpacas say hello hubski
Aw steve, you are such a sweetheart. And guess who got a casting email soliciting submission videos for American Ninja Warrior Season 8. This guy. I need to shoot me a video soon.
I have $440 on me. This is unusual, soon I will have $40. I typically have around 20 bucks on me and rely almost solely on credit cards. I pay off our credit card bill in full every month. I'm a fan of the rewards points. I agree that in the near future people will rarely use cash.
I use cash as often as possible when buying small ticket items, especially from small businesses. I like rewards as much as the next guy, but if I go to my local coffee house and buy a coffee and a muffin for $5, I don't think it's right for them to have to pay on their already thin margins. I almost always have some cash on me, the exception being when my wife, knowing this information, uses me as an ATM, because she forgot to go. The proliferation of credit cards, obviously, is not free, as you well know. We're paying a high collective price for not using cash. Amex isn't giving me a free plane ticket every year out of the goodness of their heart.
Most credit card processors, for something like a coffee shop, will charge around 2.5 to 3% per transaction. They may include a $.05-$.10 fixed cost as well. Despite your statement, coffee shops actually have pretty robust margins. No doubt, they have small gross profit dollars per transaction, but the margins are pretty healthy. I suppose I am a consumer that thinks a coffee shop should be smart enough to build in credit card costs int o their business model. Otherwise, they're idiots. Cash is increasingly the exception and its not going to be around much longer, that's just the way it is. Businesses exist to convenience us, I as a consumer do not exist to offer convenience to the business.
Thanks for pointing this out, tng. I'd also like to say that credit card processing fees are part of the cost of doing business and if a business owner isn't making a net profit on his business because he didn't account for these fees, there are much larger issues going on than CC network fees. I feel similarly about my friend who is self-publishing her 3rd book of poetry. Each book has been funded by Kickstarter. I do not support her Kickstarter - if you are publishing and selling a book I think you should be able to front the cost of publishing and make the money back in the traditional way, not the "get everyone else to pay my expenses for me" way - especially as it is her third instance of doing this. Do it once, sure, that's cool and arty. 3 times? Now you are clearly relying on your friends' bankroll to make your dreams come true, because apparently you can't achieve them any other way. (I also know a small business owner who did a Kickstarter to help with his business operating costs. I was very negative about this as well. Businesses are not charities. If you cannot either front the money, or get a loan, so that you have the capital to run your business - then maybe what the world is telling you is "don't run a business," not "expect that the community will fund your business for free (and with zero accountability for that money) so that they can later fund your business by using it." )
Yes, I'm sure everyone prices it in. I'm not suggesting that business owners are stupid enough not to do that. I'm suggesting that 2-3% of our expenditures shouldn't be handed over to the banks. Finance already steals enough of our money. Voluntarily giving up cash contributes to their continued success in doing so. 2-3% on every transaction is essentially a sales tax that only benefits a very few people.
There is no doubt that it is a market ripe for disruption. It's one of the reasons I believe some form of cryptocurrency will eventually destroy the credit card industry. Till then, I'll be using my rewards card to get my points. I buy enough small ticket items a year to make for a significant amount of points. Why wouldn't I?
Not usually, maybe $5-20. I think I have the $2 bill I found the day I met insom in my wallet though...
I have a quite simple system for my simple finances. When my cash runs out, I get around 200€ from an ATM. Then I look up when my last withdrawal was. If it was under two months, I'll be more frugal until next time. No receipts or calculations. So I only use cash and have 50€ to 150€ on me with some more at home. I'm not even sure how to use a card to buy something. :-)
I have twenty euros from my last holiday, which I try to buy things with to see if anyone accepts it. Unfortunately I live in the UK. I have about £15. Over the last two years or so, contactless credit/debit card machines have become really popular which are much faster than using cash! If I run out of money on my Oyster card I can also use my debit card on the Underground...
I very rarely have cash on me. Larger bills break down into smaller ones as well as change, making my pants bigger, which is lame and annoying. Additionally, it's near impossible to find all cash businesses anymore. My favorite coffee shop has a POS system that takes credit cards but has no field for tipping, which is outrageous. It literally forces me to either buy a coffee and not tip the baristas (shitty) or not patronize their establishment anywhere close to what I do now (even shittier in my view). Because I'm simply not going to make ATM runs with service fees left and right before I get my morning cup. The hassle alone isn't worth it. Basically my solution is that when I'm in there with cash (maybe 10% of the time) I just drop a 20 in the jar and call it good until next time. When I do have cash, I always make an effort to store some 1's in my car for said coffee and for the guys that dry my car after the car wash (another place I pay with a card with no ability to tip the employees), but it's never long before that stash is exhausted. Also, just checked my pockets. No cash as predicted.
Isn't it? Another of my favorite coffee shops does iPad signing that simply presents three tip options in boxes: 1$, 2$, 3$, with a small "other amount" button underneath. I bet that setup drives more tips than cash even. When tipping is as easy as touching a button it's effortless. But in the absence of that screen option, screen signing will absolutely result in lower tips. No cash change places back in the hand creates too much friction.
Huh. Interesting. I always tip at least a buck when I have cash and with the button that stays the same but sometimes I hit the 2 or 3 dollar one. But I've worked in the service industry so I'm probably a lousy example of the average person even anecdotally.
I have a what we call "НЗ" [ehn zeh], meaning "untouchable stash" (a Soviet relic), of money in the house, and I store everything I don't spend during the week there so as to come up with more money for stuff I'd like to buy - a new laptop, a semi-pro photocamera, so on. My parents send me money through the Gazprombank credit card (since we're in different cities), and while it does wonders to my spending as I cash out only as much as I need, I prefer to take all the cash and keep it on my person. Plus, there's always about a hundred rubles in my coat's pocket since I no longer spend cash on public transportation due to monthly tickets. It isn't much, but I can buy a cup of coffee or a loaf of bread even if I don't have any banknotes on me.
This is pretty interesting. I tend to use my card wherever I can but that doesn't cover nearly enough of the occasions where I'd spend money to say that I don't need cash and so I usually try to have what must be about 15 USD on me. Firstly, taxis only take cash and actually I think they prefer coins. On campus I don't think any of the food vendors take cards and while there are ATMs it's quite a schlep with queues and all. Not to mention that most of these transactions are going to be like 2 USD so the POS card charges wouldn't be pretty. Bars/clubs are another one - minimum card transaction is often about 6 beers' worth so obviously it's best avoided. I also don't think I've ever seen anyone pay entrance with a card. It would be nice if something like m-pesa would take off because after all that, carrying cash is a bit of a liability. Some people are saying that they have like 40 USD which is a bit much for me to risk... edit: my roommate informs me that he never carries cash (mugging risk), and that he draws money when he does need it.
Hmm. So I have an expense card for work, which means I am supposed to use that card and only that card (not cash) 99% of the time, basically whenever at all possible, on transactions that are applicable "business/travel expenses." I've run into cash-only taxis once or twice, but it's my understanding that in D.C. and even less metropolitan areas such as Richmond, VA, Square or other credit card readers are commonly used by cab drivers in order to make using a charge card possible. I was actually told there isn't a single cab in DC without a CC reader (truthiness may vary, but it was an attestation from a resident, so it is what it is). You might live in an area where that isn't the case, but it strikes me as unusual for taxis not to change with the times, and we do live in a digital era now. Square can even let you send/receive cash for free (although I'm pretty sure you aren't supposed to if you are acting as a taxi driver or etc) and it converts your cell phone into a card reader. POS card charges on vendors are not insignificant, but they're usually pennies on the dollar. While on small transactions that can actually cause a vendor to lose his profit or even lose a few cents (net negative), it's a) the vendor's problem aka the cost of doing business, and b) kind of how things work - you aren't going to make money on every transaction as a person running a business. Unless you have a real reason to care about the person you're paying (like: want to support small business; personally care about them; etc) I don't think it should be a reason not to use your card - but you may feel differently and that's okay. I just kind of feel that it is an expected, known cost of doing business for any and all vendors that enter the money-playing game. I also have never seen a minimum card transaction requirement at a bar or club, but again, I'm not sure where you are located. For a long time those minimum requirements weren't legal, anyway. They became legal, kind of, As far as I can tell it's only legal for credit cards, due to those aforementioned limits, but where I live that's 2 rum-and-diets and I live in a cheap drinking area. Sure, it's 5 pabst since they're cheap (not including tip) but I'm really not familiar with the scenarios you're describing. As for entry fee though, yeah, I think it always has to be cash. I confess I take out money when I need it for a specific purpose and that's the only time I ever have cash usually.
A lot of small businesses in NZ will require a minimum transaction amount (usually $20) to use a credit card, and quite a few don't accept credit cards at all (but we do have a robust debit card system that has been in place for decades). Taxis here have an additional surcharge (fixed) for any card use. In Australia most taxis charge a percentage fee for card use - 5 or 10 percent, which seems outrageous to me, but it partially pays my salary, so I just grin and pay cash when I'm in Oz.
In Australia, the banking system simply doesn't have checks in any capacity. (I had a coworker. His name was Brian. He talked a lot, and had once lived in Australia. Every conversation with him was a game of "How long until he mentions Australia?" That aside, the fact that checks simply aren't a part of their banking system at all fascinates me and I think is also rather forward-thinking of them. I hate checks.) I know in the US, at least it used to be, that gas stations would charge you more per gallon if you used a card. Thing is though, using cash mandates that a person be at the station to take your cash, which means the employer is paying someone to be there. It's actually much cheaper to make people pay all through machines, aka using credit/debit, in the long run.
Not necessarily - there are machines that will take cash. That's the case for a lot of parking-garages here, and also things like car washes. No reason there can't be a cash-accepting machine at a gas station.Thing is though, using cash mandates that a person be at the station to take your cash
I moved here in '98 and I had a checking account for about a year or so before I got rid of it. Checks (cheques) are still around, but most people just don't have personal checks any more. Tax refunds come in a check, if you don't want to give the IRD (our IRS) your bank account details; also, I got a reparation check not long ago from the police; the funds came from the guy who stole my car last year, as part of his sentence.
Haha yes I suppose this is confusing, I'm not talking about metered taxis but rather minibus taxis which operate more like public transport. They only drive certain routes and you just get on and off wherever along the way. At the moment there are a number of reasons why expecting them to have card machines would be strange but in terms of the future it's certainly possible that this might change. As for the meter taxis, here there are two options: you can either use the fancier "brand name" guys which are starting to have card readers more often, or the pirate style guys who drive busted 1990 Camry's and take the taxi sign off the roof when the cops are nearby. Needless to say they don't take plastic. As for POS I was under the impression that certain account/card packages do carry charges for the user. Otherwise I don't know why they would list it as a charge in the brochure? Like you say most people (myself included) don't worry about the cost to the vendor so ja... Minimum transactions are just a thing here then I suppose, it might again have to do with preventing people from making large numbers of card transactions and racking up fees for the business - perhaps the fees are relatively higher?
Yup. I had about $40, but then my sister needed lunch money. So, now about $30. I always keep cash on me, because the economics of high school. Friends may need loans, or I might need to a drink from the vending machine, or bus money. Plus, I don't need my bank knowing every purchase I make, and I tend to have plenty of cash on hand, because making deposits is a hassle.
I had a VFW meeting last night and they only take cash. Otherwise, it's 2015. Why would I go somewhere that doesn't take a card? I can lose cash, it can be easily stolen, I can get the wrong change back and not notice. The only thing you should use cash for is illegal drugs.
I've wondered if the universal "quick $60" option at ATM's is at least in part driven by purchase of eighth-ounce increments of marijuana.
I do exactly the same as you. I use my card for everything except coffee at my local coffee shop. Any coins I get as change go in the tip jar (usually ten cents, plus a dollar). I don't remember the last time I had coins in my pocket.