Checking Account: How Much Money Should You Keep in Your Checking Account?
Checking accounts… Pretty much everyone has one, but what if I told you most people are using them incorrectly. Do you know how much money you should have in your checking account? Chances are, probably not. You see most of us have either too much or too little in your bank accounts.
For those who have too much, they feel wealthier than they actually are and spend excess money on non-essential items and as a result. This begs the question: how much money is too much to have in your checking account??
For those who don’t have enough money in their checking account, they feel uncomfortable and almost as if they’re living paycheck to paycheck- even though they aren’t. It feels like if an emergency comes up, they won’t be able to pay for it. So the big question becomes: How much money should you have in your checking account???
This video will fully explain just how much money you should have in your checking account. Welcome to money Monday.
Here’s How much money SHOULD be in your checking account: According to the Nerdwallet article: [How much cash to keep in Your checking vs. savings account] you should aim for 1-2 months worth of expenses in your checking account and another 3-6 months’ worth in savings. When it comes down to “how much should you save” I agree with 3-6 months.
According to the betterment article: [How Much Money Should You Keep In Your Checking Account]: you should keep 3-5 Weeks worth of expenses in your checking account. The biggest caveat in all of this is that the exact number comes down to your level of comfort when you check your bank account balance.
With that said- this boils down to checking and savings. There’s an ongoing battle of your checking vs. savings account. Generally, if you have both, and you have a good amount in your savings, you’ll most likely be more comfortable having less money in your checking account.
On the other hand, if you have little to no money in your savings, you’re generally going to be on edge and as a result keep more (too much) money in your checking account when some of that should be allocated to your savings.
My advice: take your monthly income (after tax) and subtract it from monthly expenses. That’ll give you a solid foundation of knowing what your number for each month is (that you’ll need to keep in your checking as a minimum). Then you’ll really know how much money should be in your checking account.
I’d also recommend having multiple checking accounts.
If you want to grow in your finances check out these books:
Think and Grow Rich- Napoleon Hill: https://amzn.to/39GznZ9
Total Money Makeover- Dave Ramsey: https://amzn.to/2vLdPvF
Rich Dad, Poor Dad- Robert Kiyosaki: https://amzn.to/2wsunJz
Money Master the Game- Tony Robbins: https://amzn.to/2lKFQPA
More financial videos:
MILLENNIAL FINANCIAL PLANNING: • Video
50/30/20 Rule: How to Manage Your Money: • 50/30/20 Rule: How to Manage Your MONEY
7 Places Your Money Needs to Go: • Video
BINGE WATCH MY VIDEOS:
OVERTHINKING? (WATCH THIS): • Video
How to Stop Caring What People Think About You: • How to Stop Caring What People Think of You
Why You Shouldn’t Tell People About Your Goals: • Why You Shouldn’t Tell People About Your G...
50 30 20 Budget: • 50 30 20 Budget | Tips on Budgeting and Sa...
Overcoming Fear of Failure (MOTIVATIONAL) • Video
How to Make Your Success INEVITABLE • Video
How to Turn Your Talent into a Business (Step-by-Step) • Video
Great Books:
Emotional Intelligence 2.0: https://amzn.to/2nbzARk
How to Win Friends & Influence People: https://amzn.to/2nhWlmo
Extreme Ownership: https://amzn.to/2nbLmeu
The Principles and Power of Vision: https://amzn.to/2mbGbuY
Money Master the Game: https://amzn.to/2lKFQPA
Millionaire Fastlane: https://amzn.to/2njeCjy
About Me:
Hey, I'm Reggie Bryant! This channel is all about personal growth , intentional living, and success. This is where share my knowledge, inspiration, and past experiences to help you improve your life. This channel serves to provide insight and wisdom in all aspects of life for you to apply immediately. I focus heavily on mindset, habits and mind-blowing concepts that challenge and even change the common way of thinking. This is all to improve your life and get the results you've been looking for.
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