What’s Your Zero Balance?

Personal Finance: Try THIS With Your Money

What’s Your Zero Balance? A zero balance is a specific amount of money in your bank account that you do not touch; it can also be a secondary emergency fund — since a zero balance is usually liquid and easily accessible.

Example Zero Balance:

Total Money In Account: $11,318
Zero Balance: $1,000
Total Money Available For Use In Account: $10,318

Side Note: If you tend to like to spend, keep your emergency fund in an account that is less liquid that will require 3 or more business days to access.

Some people desire to maintain a certain amount of cash on them — physically — or in their bank account. Establishing a monetary number that you want to maintain in your bank account cultivates a habit of financial discipline; it makes it to where you never have less than a certain amount of money in your account.

The benefits of having a zero balance include the following:

  • Avoid overdraft fees

  • Maintain a specific level of savings in your bank account for emergencies

  • Always be certain of the least amount of money you have in your account

If you have never thought of implementing a zero balance, then you can aim to start today.

How much would you like to establish as your zero balance? $500? $1,000? More? Choose a number that works for you, and make it a goal not to touch this money— ever; this money is your zero balance. This is the amount you consider to be $0— even though it is more than that.


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Destiny S. Harris is a writer, poet, entrepreneur, teacher, and techie who offers free books daily on amazon. Destiny obtained three degrees in political science, psychology, and women’s studies. Follow her on Instagram, Facebook, or @ destinyh.com

This article is for informational purposes only, and it should not be considered Financial or Legal Advice. Not all information will be accurate. Consult a financial professional before making any major financial decisions.