The question often comes up regarding storing our emergency funds in a home safe. The main reason always seems to be security of our cash and easy access. Are there any benefits to this sort of thinking? What about drawbacks?


The main benefit for keeping cash at home is to have immediate access to it. There may be a reason for it, such as paying a large bill with cash or just because we don’t trust the bank with our cash.

You may also have access to the funds if there is an issue with the bank or their online system.


First, keep in mind that you may lose your stash. It is possible that you will be robbed and the thief will end up with all of your savings.

Next, your house could catch on fire and the cash would not be covered under your insurance policy. This would be make an already terrible situation even worse.

Another thing to consider is that your money is not working for you. You can even argue that with their low return rates, savings accounts are still bringing in more money that your hidden cash.


There is almost never a reason to store a large amount of money in a safe. Your best bet is to store it in a savings account or better yet find an investment.

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