Does anyone still use physical cash? Why?

[deemus]

I'm on a different path than most. Not married, no children and have no desire to have either of those things. My parents died at young ages. I expect to do the same and I'll have some fun before then. I have a healthy income not rich, but doing okay. Have a nice emergency fund and no debts, so I spend money on shit I want. If I die tomorrow or next year or in 10 years I'd be pissed if I didn't spend my money on things that make me happy. Don't over spend, but don't be miserable either. You don't know what the future holds and could spend your while life planning for something that never happens. If I had it my way I cut off paying into social security as well. I won't be using it, so in my eyes it is theft. So are taxes.

Make sure you have a will and your executor knows specifics about where your stuff is at.

 

[ZX9RCAM]

Make sure you have a will and your executor knows specifics about where your stuff is at.

This.
My brother passed with no will, and no beneficiaries listed.

 

[TreyG-20]

Make sure you have a will and your executor knows specifics about where your stuff is at.

Absolutely!

 

[Geezer]

Sometimes you get a discount if you use cash. Sometimes, it's better to use credit.
Late December of 2019, we bought a new car. There were sales and incentives to sell off the 2019's before January 1st.

We got a good discount on the car and the dealer was offering 1.9% finance rate. I had planned to pay for the car but decided to finance it. On a 36 month loan, the interest charge was only going to be just under $600 for the term of the loan. So, we got the car, got to keep our money, and paying minimal interest. We are still paying some extra each month and will have it paid off early.

This time it made more sense to use credit.

 

[SURVIVOR619]

Budget your cash using envelopes. That's how folks did it before all these apps and whatnot...

 

[easy rider]

I was much like the OP for a good portion of my life. Although I now do have a credit card, I only use it once in a great while, and then pay it off to maintain the card. I load cash onto a Bluebird card (no fees) for paying online costs and bills.

 

[ScottDLS]

I really would like to use cash for everything, just because people don't do it that much, and because I think the government would prefer you not. However, it's virtually impossible. Before the Fauci Flu I traveled for business extensively, usually every week. I expect I'll be going back to that soon. Try to buy an airline ticket for cash. You can't. The airline won't accept it. Theoretically, I suppose you could find a local travel agent that would take your cash and book you the ticket... Hotel? You can't book a reservation without a credit card. You can pay cash at checkout, I guess. Try renting a car. I don't even think they take cash. The mortgage holders on my investment properties (personal house paid off) don't either. I can't pay my online bills with cash. I guess if cash means a checking account and buying money orders for "mail in" bills...but that's not really the anonymity of cash.

 

[Higgins909]

I like to think I'm doing alright with my money. I know some people right around my age that are being pretty unwise... They have toys/fancy stuff, but they have to be broke compared to myself, who is doing decent~. 6-1-2021 was the first time I tried to use my debit card at my banks free atm. I later discovered my card expired 1 day before. Maybe it was 31 days, not sure if it's on or after 5/21. Had a crappy work week... Got my new card and tried again. Turns out the smallest bills the ATM gives out is 20. So I gotta figure out how to get smaller bills. I ended up getting myself some dinner right after, using the smaller bills I already had. First time I ever used cash in a drive through.

I don't like the websites for some of my newer credit cards. One has a balance of nearly $40 but can only pay $20 unless I do it manually. Both of them I don't know if it's the billing cycle, but I'm not sure when one month is ending and the next is starting. Like I have X amount on the balance, but only spent Y which is half, for example. My first credit card makes sense.

I think by now you have a good understanding that using cash is a tool to get your financial life on track. Once you have to put back a bag of potato chips at the grocery store cuz you do not have the cash on hand to pay for it, then you really start to live within your means. It is not easy at first and takes discipline.

One thing I have noticed, when I'm grocery shopping is that I don't really keep track of cost. I kinda ponder if it's too expensive and/or if I really need it. I've watched some budget meal prep videos and they're keeping track while in the store. The house I'm in unfortunately needs a 3rd fridge/freezer for me to be able to meal prep. Which will probably not happen.

There is a lot of good advice here. I also recommend listening to Dave Ramsey. Take his advice, the advice here, and incorporate it into your own plan.

24/25 is when I moved out of my parents house.

I do see some holes in your budget, you stated you use your credit cards for the cash back(STOP THAT) but I didn't see a line to pay the CC's. I also didn't see a lone for your cell phone bill. I also didn't see a line for any monthly subscriptions(Netflix, Xbox Live, etc.). They add up.

I've bought one of his books a while ago. One of my problems is to buy books off Amazon and put them on my shelf and never read them. My parents were renting a house and had me at 18. I am nowhere near that. It might be family trend... My budget is supposed to be the limit, cash or credit. I talk about the budget more under Glenn's quote.

Can you live off of only a $400 a month consideraing outlay for food, shelter, utilities, clothing, toiletries, guns & ammo (I am assuming you spend something on them being you are on this site, Internet access, a computer or smart phone and on and on? If so, please tell us all how you do that. Is it that you live like a pauper, are a hermit living in a cave, are you in the military and having the basics supplied, are you in jail and likewsise having all the basics supplied, or do you live with your parents (or other relatives) and sponge off of them? No offense meant with those questions; it is just, with all due respect, I do not see how anyone can live by spending only $400 per month. That is of course if you live a semi-normal life in the USA. Of course, if you can do it, please let me know how because I might want to join the club - so to speak.

Right now I'm probably spending close to $1000 month. If I can even cut it down $100 a month, over 6 months, that's $600, which is more then the $500~ I get from cash back CC, over a year. Currently my budget lists all of my major monthly expenses except the random stuff I will buy. But I'm not keeping to the budget for anything besides insurance on that list. Living rent free at parents.

They do not make me pick up any bills. I use their internet/power/water/etc. There is a family Netflix account, but I'm not really into any of that to buy it myself. I'm still on their phone plan. I'm not sure how much I cost on their plan, because it's one big bundle of atnt services. When the time comes, I'll get the cheapest plan I can and never use my phone. T-mobile at least used to have one, good if your phone was a paper weight.

What I have to ask is why the OP is asking about how to handle cash & credit& age 25? When I was 13 my dad said if I was going to be driving @ age 16, my ass needed to be saving money! At 25 I had been out on my own for 7 years.

My dad taught me about money pretty young. I was cutting grass for money plus other jobs kids did back then to learn if I didn’t earn it I wasn’t having it.

I get it it that some kids are never taught about money while young, or their parents are stupid about how it works! My wife still to this day is an idiot with her money, then again so are her parents. Her mom made a comment about the wife going to college and how great that was! My comment back was why in the phoc would you push a high school drop out into $30K debt?

I really think part of it is a generational thing, but I grew up quite differently on top of that. When I was a kid, money for me was birthday money and what video games could I buy with it. I don't think I was raised to be independent at all.

 

[Txhillbilly]

Make sure you have a will and your executor knows specifics about where your stuff is at.

Wills are OK, But I prefer putting everything in a Trust.
My land and house are in a "Ladybird Trust" that goes to my sister. When I die, it automatically transfers into her name - No Taxes or Inheritance taxes.
All of my other assets are in a Trust with everyone that I want it to go to listed.
Checking & Savings accounts have Power of Attorney's on them so my sister has immediate access to them when I die.

Uncle sugar has stolen enough from me while I've been living, he ain't getting chit when I checkout!

 

[baboon]

What do you do for a living? At 25 I was one horn dog MOFO, how does that work living @ home? It does not sound like your staying with your parents because one is sick & you are helping out. Do both of your parents support you living @ home with them? Any brothers or sisters?

 

[Wolfwood]

Hotel? You can't book a reservation without a credit card. You can pay cash at checkout, I guess.

If you want to pay cash at checkout, I will charge your card on check in, to encourage you to not "forget" to stop bu the desk on the way out.

Make a reservation directly with the property, ask them about a 4 pm hold. No card nessecary, but you better get here by 4 pm, or atleast call the property if you are on your way and running late, usually they will hold it for you. Otherwise at 4pm, if the desk guy is running low on rooms or doesn't like your last name he can and will cancel it!

Booking.com will 95% mess up your reservation, but will force a reservation through with no guarantee. Be sure to call the property directly if you are using an online service or other travel agency to make sure they didn't eff it up.
Then pay cash on check In. You might need another 100 bucks for a refundable deposit or put down a card incase you get drunk and shit on the carpet.

 

[MikePotts]

5 Reasons a Man Should Still Carry Cash

Cash is no longer king. According to a U.S. Bank survey conducted last year, half of people only carry cash half the time, and among those who do carry cash, nearly 50% carry $20 or less. In another survey done just this year, only 41% of Americans said they regularly carry cash, a number that […]

www.artofmanliness.com

 

[no2gates]

I always carry about $200 in my wallet, and have more at home.
I rarely use cash (only use it to buy ammo, guns, and magazines), but I know that my wallet can't be hacked unlike the credit card networks.
If shit goes down, at least I can buy some food and fill my tank.

 

[jordanmills]

I use credit cards regularly, mostly because it's a lot more convenient. A dollar is a dollar from the perspective of a budget, as long as you keep track of it. As long as you don't charge more than you plan to spend in a month on your card, the budgeting works the same (but you have to know yourself and know what will work for you, so it may not come out the same for everyone).

For locally-owned stores and personal purchases, cash is better. The local store pays less in fees, and it's a lot easier for an individual to accept cash than credit. And cash always works even when phone lines or credit processors go down.

 

[Coyote9]

Cash is a sweet travel partner, gas around .05 per gallon discount, MIGHT find that pawn shop treasure... when I tip and the staff has EARNED a bonus , I leave 15% on the debit and some cash for the bonus. Gunshows- I deal and accept cash ONLY. I keep a couple grand in my emergency go bag mostly in $20 bills. IF the inflation kicks up I'll put most of my cash stash back into interest bearing accounts, until then I enjoy the security and flexibility that cash on hand allows.

 

[baboon]

Tipping agree with it or not should be done with cash!

 

[deemus]

Wills are OK, But I prefer putting everything in a Trust.
My land and house are in a "Ladybird Trust" that goes to my sister. When I die, it automatically transfers into her name - No Taxes or Inheritance taxes.
All of my other assets are in a Trust with everyone that I want it to go to listed.
Checking & Savings accounts have Power of Attorney's on them so my sister has immediate access to them when I die.

Uncle sugar has stolen enough from me while I've been living, he ain't getting chit when I checkout!

Not heard the term "Lady Bird Trust" before, but yes, trusts in general are awesome and generally avoid probate.

Many are unfamiliar with trusts and won't take the steps to move assets into a trust. Thus my will comment. Trust would be better, but a will is important if you dont have a trust.

Did you mean a POD on your bank accounts?

edit: link to article discussing Lady Bird Trust:

What is a Lady Bird Deed in Texas? Benefits / Disadvantages

What is a lady bird deed in Texas? Explore the benefits and disadvantages of using a lady bird deed in Texas, and what it could mean for probate when...

thomas-walters.com

 

[ZX9RCAM]

Be sure that you have a beneficiary for all your accounts.
My brother didn't.
I'm the last of the family, and having to jump through hoops.

 

[kbaxter60]

IF the inflation kicks up

Haven't been grocery shopping in quite a while? :-)

 

[mm54943]

OP has apparently never dealt with shady businesses. Try using a credit card in a strip club and see how fast you learn that cash is the only way to go. Even I'm not stupid enough to have ever made that mistake.

Unfortunately I made that mistake in my younger days. Got shit faced at a strip club and woke up to a $600 tab.