How Much Cash Should You Carry?
Picture a man named Isaac who has read that cash machine fees add up. He arrives in his new country, withdraws $2,000 in one go to avoid them, and walks around with it in his wallet. The fee he saved was $9.
In the second week, in a crowded market, his wallet disappears. He does not feel it happen. He loses $2,000.
Isaac does the arithmetic that evening. If he had taken out $200 every week at $9 a time, the fees would have been $36 a month. The $2,000 he lost is about 55 months of those fees. It was a large price for a small saving.
He makes a new rule. In his wallet, he carries enough for two days of cash spending. At home, in a small safe or a hidden place, he keeps about a week of cash. Nothing more. He takes out a larger amount once a month, from a machine inside a bank, during the day. He asks his home bank to refund machine fees, and he finds out that it does.
He also learns what kind of cash matters. Small bills, because change can be hard to find. Local currency, because markets and taxis may not take anything else. A few larger notes tucked away, for the day a card fails.
Nobody in this is a villain. A busy market is a place where a good many people are close to a good many wallets, and most of them are shopping. A pickpocket is one person in a crowd.
You might say fees are fees and cash is cash. Both are true. A small fee paid on purpose may cost less than a large loss that happens by accident.
You could decide how much cash you need for two days, and carry that. You could keep a reserve in one place at home. You could split what you carry between two pockets, so a single loss does not take it all.
What is the cash rule you wish you had known on your first day? Tell us in the comments. Someone reading may be about to withdraw their first handful.
Tell us in the comments