Simplicity may lead us back to cash

There was a time, just as my college years were ending and social-networking was on the rise, when it seemed cash was going the way of the landline telephone and vinyl record.

Plastic was the way to pay. My bank card was second only to my license in line of purse importance. Even as I started to pay off debt, I preferred to use my debit card. My logic? It comes out of my account, my cash in hand, anyway. With cold, hard plastic, spending felt more convenient and secure.

So for most of my adult life, carrying cash has been a rarity -- until now. I'm just over a month away from paying my last major debt, the one most young professionals wrestle with: the infamous student loan.

I thought that once I beat that beast, I would feel some financial freedom. But I don't. Like a lot of people, I've gotten increasingly uncertain about the future.

Recent unemployment figures, at 9.5 percent nationally, remain troubling.

The number of people signing on for unemployment recently reached the half-million mark for the first time this year. It's hard to tell when this economic downturn will steer upward.

In the meantime, what can we do?

Save.

I've always had a monthly budget, and once a year I go on a spending diet. That's not enough anymore. I'm looking to upgrade my emergency funds from a few months of living expenses to a year. I have friends with full-time jobs who are looking for part-time gigs to add to their savings.

It's all about protecting yourself from impending financial doom in this inconsistent economy.

Now, I don't plan to give up going out all together, but I'm looking at cash to help me be better organized. With my debit card, it's too easy to spend outside the lines.

My boyfriend introduced me to Dave Ramsey's envelope system. It's a nod to the old days when grannies kept cash packets to divvy up their monthly spending. Groceries, weekend fun, gas -- each gets an envelope.

And when the money is gone, that's all, folks.

It takes discipline, but it seems the cash-only concept is catching.

The New York Post recently reported that many eateries are ditching the plastic and saving on fees.

And even the great Bob Dylan, who hosted a show recently in California, isn't taking cards. His show didn't offer advance sales; all tickets ($60) must be purchased at the door and in cash.

Some may find it odd, but I think it's cool.

That means no ticketing fees and less debt. Older people always say if you live long enough, trends come back around.

I think real money is taking its turn again, and it might be good for all of our financial futures.

Maybe it's the sickly green color, or the fact that you actually see it dwindling as you pay.

But by using cash, the spending really registers.