Dear readers,

Every few days, I get asked the same question in slightly different forms:

"Becca, how much cash should I be keeping on hand?"

It usually comes up in conversations about bank instability, inflation, or the always-looming possibility of a currency reset. And while I try to stay grounded and informative (not doomsday-ish), this is a totally valid question—especially given what history teaches us.

Let’s take a quick walk through the past (don’t worry, no test at the end). The U.S. has already gone through two major currency transitions:

1. The Continental Dollar (1770s): It was the first paper currency issued by the Continental Congress during the Revolutionary War. Overprinted and unsupported, it quickly collapsed in value, giving birth to the phrase "not worth a Continental."
2. The Greenback to Gold Transition (1870s): After the Civil War, the government moved to redeem its paper currency for gold. The catch? Redemption wasn't at face value. Holders of paper money lost out unless they converted at just the right time. Sound fair? Not really.

This moment was a preview of the instability that can arise when trust in paper currency is shaken. But perhaps more critical was what came later: the U.S. officially went off the gold standard in 1971 under President Nixon, severing the link between the dollar and real, tangible value. This marked a monumental shift—currency was no longer backed by anything but trust in the government.

In 1971, President Nixon closed the gold window, ending the dollar's convertibility to gold entirely. Since then, the U.S. dollar has operated as a fiat currency—backed not by tangible value, but by confidence in the government and financial system. (And let’s be honest—confidence in the government? That’s doing a lot of heavy lifting. Ha!) This shift away from the gold standard marked a turning point in monetary history. While we don’t reference this change to alarm, it’s important to understand how fundamentally our money has changed—and why it's worth thinking critically about what gives your savings real, lasting value today. The gold standard era may be behind us, but the need for tangible, reliable forms of wealth is as relevant as ever.

Some scholars have argued that abandoning the Constitutionally implied gold and silver standard for lawful money goes against the spirit of what the Founding Fathers intended. After all, the Constitution clearly states that only gold and silver shall be legal tender for debts. And yet—here we are, decades deep into a fiat system with not a nugget in sight. You’d think ditching the gold standard would have at least caused a ruckus, but nope—not even a slap on the wrist. Did it protect the citizens of this country? Not exactly.

And speaking of gold... curious about how much is really left in Fort Knox? Yeah, so am I. It's kind of like trying to find out what's really in Grandma's mystery casserole—no one's quite sure, and asking too many questions might get you a nervous smile and a change of subject.

More recently, we can look to Argentina, where a reset wasn’t just a historical footnote but a lived reality. One of our clients, who lives part-time in Argentina, shared how overnight, her currency’s value changed. Her bank balance didn’t budge—but what she could buy with it suddenly dropped by more than half.

To put it plainly: the government forced people’s U.S. dollar savings to be converted into the local currency (pesos), and the conversion rate was nowhere near fair. People instantly lost as much as two-thirds of their money's value. They still saw the same number in their bank account—but it could only buy a fraction of what it could the day before. Prices for everyday goods skyrocketed. Groceries, gas, and essentials became harder to afford. The reset was devastating—and it didn’t just affect the wealthy or the poor. It hit everyone. Middle-class families who thought they were financially secure suddenly found themselves in survival mode.

Why did this happen? Because the value of the U.S. dollars in their bank accounts was only as strong as the system backing it. And when that system failed—when trust in the peso and Argentina’s financial leadership collapsed—those dollars didn’t hold up. People still had money in their accounts, but what it could buy dropped dramatically. That’s the tricky part: nothing looked different on the screen, but everything was different in real life. It’s a stark reminder that when the value behind a currency breaks down, it doesn't matter how much you have—your purchasing power, not your balance, is what truly counts.

And if that still feels a bit far off, let me ask you this: how much did a loaf of bread or a gallon of milk cost 10 or 20 years ago? Now compare that to today. That slow drip of rising prices is inflation—but what happens when the drip becomes a tidal wave and the rug gets pulled out from under us all at once? That’s not theoretical. That’s exactly what Argentina lived through. And it's a warning worth paying attention to.

Here in the U.S., we often assume our financial system is untouchable. We’ve benefitted from the dollar’s global dominance for so long that we’re often the last to recognize the signs of change. The petro-dollar system that’s helped sustain our economic power is weakening. And as history shows, the fallouts of currency resets are never kind to those caught unprepared.

So, back to the question: how much cash should you keep on hand?

There’s no one-size-fits-all answer, but here’s a framework I share with clients:

• Keep enough cash at home to cover basic expenses for 1–2 weeks in case of short-term disruptions (power outages, bank holidays, etc.).
• Keep 6 to 12 months of expenses in the bank for stability and access.
• Beyond that? Consider putting excess cash into the currency of gold. Yes, gold is a currency—it’s just not accepted at the grocery store... at least not yet!

Everyone is tied to the dollar through annuities, life insurance policies, pensions, IRAs—you name it. But here's the hard truth: if the dollar fails, you’re not promised anything other than being paid... in dollars. And if those dollars go the way of Argentina’s pesos—losing half or more of their purchasing power overnight—what good is that promise? Your account might still say $100,000, but what if that only buys $30,000 worth of goods? That’s not security. That’s a silent erosion of everything you’ve worked for.

This is why we strongly advocate for having 20–25% of your net worth outside of the dollar, held in something physical and enduring—like gold and silver. It’s not just an investment. It’s protection.

Imagine being on the cusp of retirement—or already there—only to find that your savings no longer cover your basic needs. For many, that could mean putting dreams on pause, selling off assets, or even going back to work. After decades of careful planning, that’s not the retirement anyone envisions. But that’s exactly the kind of risk you take when every piece of your financial future is tied to a single, vulnerable currency.

We’re not saying pull your money out of the bank and bury it in your backyard—because if there’s a currency reset, that paper might make better kindling than savings. But history’s greatest hits (and some modern remixes) show that currencies don’t always play fair. Being thoughtful now might just save you later.

Have a question for a future Ask Becca? Send it my way at info@stjosephpartners.com—I’d love to hear from you!

And if this article hit a little too close to home and you're wondering how to start reallocating or diversifying your savings, let’s talk. In addition to writing this column, I help families every day find the right balance for their situation. There’s no better time than now to have that conversation—and I’d be honored to walk through it with you.

Here’s to asking good questions, learning something new, and keeping your financial footing solid no matter what surprises the world has in store.

Until next time, Becca


Past performance is not indicative of future results.