I'm planning to keep maybe $10k or so in BofA checking for regular living expenses, then about $30k-$50k cash reserves in a Fidelity CMA (held in core MM fund). The CMA assets would be used for bigger, lumpy spending (new roof, new car, etc.). The total of these two is about 2.5%-3.5% of total assets so shouldn't affect investment returns too much.Thank you all for the feedback and suggestions! Very insightful, and I'll have to think more on if I want all my cash at one institution. I hadn't really considered problems like that before.
Good to know that my plan will likely work if I go for it. Losing out on 1500$ or so in interest with the current method, which is a bit more than I'd like, so I think I'll move most to Fidelity but keep a (smaller) emergency fund in BoA, at least enough to give me a small buffer to cash out ibonds if something truly horrible happens at Fidelity, i.e. it's down for a week due to a black swan infosec event or something similar.
Statistics: Posted by GaryA505 — Thu Jul 25, 2024 12:09 pm — Replies 7690 — Views 1030012