STITCH: How much do you keep in a checking account? Explained.

STITCH: How much do you keep in a checking account? Explained.
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Joe Lilli
 

  • @melindacoles7046 says:

    Wow. I’m shooting too low πŸ˜‚ I try to keep a buffer around $500 to $1k in my checking and so far that is working for me so I’ll keep doing this for nowπŸ˜…

    • @D.R._Iris says:

      Same. $400 buffer.
      But if you never are late on anything then technically a buffer at all is JUST precautionary for if someone charges something that they shouldn’t have (like a scammer or a business that accidentally charges you twice).
      But if you have an awesome bank you can always just call and they’ll refund you, so it doesn’t make you go negative, while the bank figures things out with the one who charged you.

    • @cameronm7445 says:

      In the same boat at about 300-500 before the next check. My buffer just stays in an hysa and is easily transferable (1-3 days) should I really need it. If that money won’t come in time, I can also look towards a credit card. Maybe these 10k+ folks just make good money and it’s no matter

    • @D.R._Iris says:

      @@cameronm7445 “Easily transferable” should be a few SECONDS. What bank are you using that it takes days…?

    • @mtntundra says:

      Same

  • @Anngrl69 says:

    I’m building up to a $10,000 emergency fund and recently had to pull out $600 to make sure I didn’t overdraft πŸ˜“

    Was a good lesson not to be too zealous with putting cash in the HYSA before knowing I can pay all my bills

    • @D.R._Iris says:

      @@Anngrl69 Do you have a $1,000 Emergency Fund? Why take from the 10k EF before the $1k EF account?

    • @Glock19Atlanta says:

      Agree. Also, in addition to my HYSA, I have a secondary normal savings with only a couple grand as backup money in case you need to transfer $600 to checking instead of your HYSA money

    • @oluchinwagboso7996 says:

      Yeah I’ve done that too and now I just keep the buffer. We live and we learn 😊

    • @terrancepinkney777 says:

      I just reached that goal and transferred that money to my new HYSA @5.25%. I also have a secondary just in case I need a little extra.

    • @D.R._Iris says:

      @@terrancepinkney777 this is SO cool seeing other people with multiple accounts; instead of me being the only one ❀️

  • @rebeltheharem7028 says:

    I keep an accurate record of how much I have due and when, so I only keep the bare minimum in my checking account, which is about 1k at any given time. Everything else is in my HYSA, which is slowly fed into my investment account with reoccurring weekly investments.

    • @jerrykwan150 says:

      Same, though i am to a lesser extent because i am only helping with a few bills at home. I usually try to keep 200 as a Zelle/safety buffer and 2k in the bank associated savings as a rainy day fund while anything else is in the hysa (it takes 4 days for that to transfer, hence the rainy fund).

  • @isaacl6402 says:

    I keep my emergency fund in my checking. Its usually around 10k but I want to keep a good amount in there in case I get a call from my AD to buy a Rolex πŸ˜…πŸ˜… then I’ll need 10-15k in cash

  • @EvanKnightIsGood says:

    My paycheck gets deposited into my checking account, but from there I move the money to various high yield savings accounts and pay bills. My goal is to have $0 in my checking account by the time my next paycheck hits as if I overdraft it will just pull the money from a savings account. I have a large emergency fund in a high yield savings account.

  • @terrancepinkney777 says:

    I just started my HYSA @5.25% I’m never going back!

    • @terribels says:

      Same! I started this month, and I”m at 7% if I keep the same or higher maintaining balance. Keeps me motivated.

  • @izzyinsc says:

    Keep about $10 in checking πŸ˜… Rarely use a debit card and transfer money to make payments on my credit cards

  • @AndrewOjeda says:

    At the end of bills and everything, I aim to keep it around $200….. Maybe playing with fire, but moving money from HYSA to my checking doesn’t take too long and I tend to be on top of where everything is.

  • @lionessrising says:

    Haaa after bills maybe $50. Checking account is for expenses lol

  • @SPYgirl199812 says:

    5$ right now
    Just paid bills so

  • @magicprincesslive says:

    I keep about a $500 – $1000 buffer in my checking account on top of what my regular monthly expenses are (rent, bills, etc.) 20 – 30% of every paycheck gets moved to my HYS account as an emergency fund and to pay for the taxes I owe every year, and the rest goes straight into my stock account.

  • @ericagon1 says:

    Why keep anything in your checking account, if it could be in a saving account paying you 5% and just as easily accessed?

  • @societykrew says:

    I only use it to fund my brokerage accounts, cc bills, HYSA, and any bills that can’t be paid with a credit card lol

  • @dis6wood says:

    I keep one penny in my checking. I use a credit card for everything

  • @don951 says:

    I use my brokerage cash management account as my primary bank, so I can transfer from money market (5%) to checking and have instant access.

  • @aliali-ce3yf says:

    where does the money come from that banks use to pay you interest?

  • @MKK-wg7fz says:

    I keep 2-2.5 mo expenses in checking.

  • @jamiewoodward4732 says:

    My money instantly goes into investments unless I don’t see anything of value at the time

  • @lordpuppyrd7989 says:

    No need to have that much. Your pay schedule and bill schedule is a closer representation. Just depends how detailed you want to go. If you get bi-weekly you may be able to get away with half the amount since your funds replenish every other week.

  • @pisodemarcia says:

    Just watchout cuz if you take your $$ before time you get penalty fees

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