We haven’t yet reached a “cashless” society.
In fact, cash can still be a valuable element of your overall financial picture – if you employ it wisely.
But how?
Actually, you can find at least four good uses for the cash.
First, of course, you need it for everyday expenses – your mortgage, utilities, groceries, and so on.
You can also use cash to build an emergency fund containing several months’ worth of living expenses.
You could use this fund to pay for unexpected costs, such as a major home repair.
Cash can also be used to meet short-term goals, such as a wedding or a long vacation.
Finally, you can benefit from having cash in your investment portfolio.
For one thing, the presence of cash, which has a stable value, may help reduce the impact of market volatility on your investment mix, which likely includes stocks and stock-based funds, whose value will fluctuate.
Also, by having cash available in your portfolio, you can quickly take advantage of new investment opportunities.
By putting your cash to work in different ways, you can gain some key benefits – and help yourself keep moving toward all your financial goals.
This article was written by Edward Jones for use by your local Edward Jones Financial Advisor John Dickerson. Member SIPC.
