Ludwig Portfolio

Cash Planning & Budget

2026 Investment Cash Requirements

Planning Year: 2026

Total Annual Cash Required

$276K

All properties combined

Total Owner Contribution

$109K

Net cash needed annually

This Month

$25.5K

April requirements

Next Month

$22.5K

May requirements

Liquid Cash Position

$134,589.5

US Bank Money Market Account

Current Annual Yield

0.01%

~$13/year

Potential Annual Yield

4.5%

~$6057/year

Optimization Opportunity

By moving your cash to a high-yield savings account or money market fund, you could earn an additional $6,043.069/year (~$504/month) while maintaining full liquidity for property expenses.

Quick WinFDIC Protected
Recommended 3-Tier Cash Strategy
Balance liquidity, yield, and accessibility for optimal cash management

Tier 1: Emergency Reserve

Instant access for unexpected expenses

Critical

Recommended Amount

$30,000

Suggested Account

Ally Money Market

Expected Yield

4.25%

Covers 3-4 months of property expenses. Instant access with check-writing capability.

Tier 2: Operating Cash

Near-term expenses and owner contributions

Important

Recommended Amount

$50,000

Suggested Account

Marcus HYSA

Expected Yield

4.40%

Covers annual owner contributions ($109K total). 1-2 day transfer time to checking.

Tier 3: Investment Reserve

Maximize yield while maintaining liquidity

Optimized

Recommended Amount

$54,590

Suggested Account

Vanguard Money Market

Expected Yield

4.96%

Higher yield for excess cash. Can be moved to Tier 1/2 within 1-2 days if needed.

Projected Annual Interest Income (3-Tier Strategy)

$5,988

vs. Current Income

+$5,974

High-Yield Options Comparison
Current market rates for liquid cash accounts (as of Q4 2025)
AccountTypeYieldMin BalanceLiquidityFDIC

US Bank Money Market

Current

Current holding - very low yield

Current Account

0.01%

$0InstantYes

Marcus by Goldman Sachs HYSA

Top-tier HYSA, no fees, easy transfers

High-Yield Savings

4.40%

$01-2 DaysYes

Ally Bank Money Market

Competitive rate with check-writing

Money Market

4.25%

$0InstantYes

Wealthfront Cash Account

Highest yield, $8M FDIC coverage via partner banks

Cash Management

4.50%

$11-2 DaysYes

Vanguard Federal Money Market

Higher yield, not FDIC but extremely safe (govt securities)

Money Market Fund

4.96%

$3,0001-2 DaysGovt Securities

Fidelity Government Money Market

High yield, govt-backed securities, no minimum

Money Market Fund

4.92%

$01-2 DaysGovt Securities

Implementation Notes

  • No lock-up periods: All recommended accounts allow same-day or 1-2 day transfers back to checking
  • FDIC coverage: Consider spreading across multiple banks if total exceeds $250K per institution
  • Rate monitoring: High-yield rates fluctuate with Fed policy—review quarterly
  • Tax consideration: Interest income is taxable—factor into annual tax planning
  • Easy setup: Most accounts can be opened online in 10-15 minutes with instant funding