Good morning Dinks. Remember a few weeks ago when we discussed your idea of a perfect money world? There are a couple of reasons why I personally don’t think we will ever live in a world without cash and in a world that is run by virtual money.
For starters not every store accepts debit or credit cards right now so I am pretty sure they won’t be adapting new systems such as Bitcoin any time soon, at least not in my lifetime. Some places run their business on a strictly cash only basis. The second reason why I don’t think we will ever live in a world without cash is because there are several advantages when paying for purchases with cash.
4 places that are strictly a cash only business:
Your corner store. Think about the last time you ran to the corner store to pick up something small. Does the corner store near your house accept debit or credit cards? They probably accept cash only unless you spend a minimum dollar amount.
Mom and Pop restaurants. There is nothing like an authentic homemade cooked meal that you don’t actually have to cook yourself. I have a favorite Mexican restaurant where I usually grab lunch on Saturday afternoons while I’m out running my weekly errands. I always have to hit up the ABM before I grab my veggie burrito to go because this restaurant is strictly a cash only business.
Street vendors. Whether you are buying a wallet or a hot dog, street vendors in cities all over the country accept cash only. I don’t know about you, but I love grabbing food on the go and I love buying unique items from street vendors that aren’t sold in every GAP around America.
The car wash. The car wash near my house is attached to a gas station and you can only pay with a debit or credit card if you are also buying gas. If you want to only get a car wash then you have to pay in cash only.
Coffee shop. No one wants to be waiting in line longer than they have to for their morning coffee. With the exception of the new MasterCard and Visa PAYPASS touch and go system, cash is the fastest form of payment.
Why you should always want to pay cash:
You can negotiate the price. I love getting a good deal. I don’t know about you but there is a sense of pride that comes over me when I negotiate the price of my purchase. When you pay with a debit or credit card there are paper trails and taxes involved. When you pay with cash you can negotiate the price and the vendor can choose not to declare the purchase. It’s a win-win situation.
You will save on taxes. The most recent item I bought and didn’t have to pay taxes was new luggage. I walked into a store in upper midtown NYC and offered to pay cash for my new rolling luggage. The sales man told me “no problem”. Instead of paying $59.99 plus taxes for my luggage I paid $50 cash and walked away. Totally a great purchase.
You can’t spend more than you want to. When you live on a cash only budget you can’t over spend. You can’t make impulse purchases and you can’t pay more for an item than you want to. This is a major advantage to always carrying cash and leaving your credit cards or debit cards at home.
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