Among the small-big dilemmas of savers, one concerns the amount of money to have on the current account to stay calm. The doubt is very timely because with inflation skyrocketing, the non-interest bearing account is in a certain sense the number 1 enemy of savings.
So let’s try to dispel the doubt: here’s how much money to keep in the current account depending on income and lifestyle.
What is the current account for?
We must start from the assumption that living without c / c is difficult but possible. We use it to credit the salary o the domiciliation of utilities or in online purchases or for wire transfers, etc.
Of course, you could also opt for a prepaid with an IBAN and replace one product with another. And this especially in the case of the very young or those who have a very low level of trading with their account.
In a nutshell, therefore, a c / c is the evolution of our personal purse. But he interacts with a financial intermediary (usually a bank) and is much more advanced and technological, as well as expensive. It also manages liquidity that is usually not suitable for a purse.
The perfect number of tools to own
According to some family budget experts, the exact number of accounts to hold would be three (details here). A main one for the salary credit (and other income) and the debit of fixed expenses. Then one with which to manage the variable expenses and finally a 3rd account for the sums to be put to bear.
However, these tools must also be managed in light of their costs. Both the actual ones, such as stamp duty and account keeping costs, and those in terms of loss of purchasing power.
So here’s how much money to keep in your checking account depending on your income and lifestyle
At this point, let’s see the exact liquidity to keep on your account.
Needless to say, there is no definite, dry and univocal answer, and this for at least three considerations. Everything depends on how much we collect (income from self-employment and / or employee, annuities, etc.) and we spend on average per month, plus the unexpected. The latter by definition do not know either when they will manifest themselves or how much they will affect.
Now, leaving aside the unexpected expenses, the experts argue that 3 to 5 months should be kept on the account. Then any surplus becomes simply a luxury in light of the current inflation. In this article we have explained why those who have money on non-interest bearing deposits will have to prepare for the final sting.
A simple remind
In conclusion, it would be enough to always keep a small detail in mind in order not to feel bad. The current account is a savings management tool, not an investment tool.
Therefore only those sums sufficient for ordinary administration should be set aside on it. All the rest, on the other hand, must simply be made to bear fruit, in order not to suffer terrible losses in terms of purchasing power.
In fact, in this article we have seen that 10 thousand euros deposited on a non-interest bearing current account after 20 years they even come to halve.
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