Avoid overdraft fees while maximizing your earnings. Discover the ideal checking account balance and learn how high-yield savings and CD options can grow your surplus funds.

How Much Money Should I Keep In My Checking Account? | CFCU

“How much money should I keep in my checking account?” is one of those simple questions that really deserves a simple answer. Fortunately, we’ve got one. By following a few simple rules you can strike the perfect balance of saving and fun so you can live your best life.

How Much Money Should You Keep In Your Checking Account?

Having enough money in your checking account to handle things like unexpected expenses helps reduce stress and keep you on top of your expenses. But keeping too much there can mean missing out on opportunities to invest and save for the future. So let’s break down the things you should consider to make the right choice based on your wild dreams.

What’s the average checking account balance?

The most recent data available from 2023 puts the 

average amount in Americans’ checking accounts

 at $62,410. However, that doesn’t tell the full story, as the median is just $8,000. That number is far closer to the true average for most everyday folks.

That said, while the national median can give you some idea of what to aim for, there’s no one-size-fits-all answer. Personal factors like your m

How much money should I keep in my checking account?

Most financial experts recommend using a simple formula to determine how much money you should keep in your checking account: two months worth of living expenses in addition to a 30% buffer for safety.

Start by gathering bank and credit card statements along with bills for the past several months. Then, take the expenses within those documents and 

 into fixed expenses (those that don’t change each month like a mortgage payment), variable expenses (those that change every month like water bills or groceries), and discretionary expenses (things like buying a new computer that don’t occur often), alongside money that goes into things like savings.

Adding your fixed expenses to an average of your variable and discretionary expenses should give you a good idea of your total monthly expenses. Remember, this doesn’t have to be perfect, the goal is just to get a rough idea of what you typically spend in a month.

Adding that 30% buffer mentioned above is important to be prepared for emergencies. It also helps avoid overdraft fees and ensure you maintain a minimum balance if your account requires one.

The right account can also help a lot here. CFCU’s 

 has features like a $50 overdraft buffer to help out when you need it. But beyond just having a buffer, this account has no monthly fees and no minimum balance, so you can spend more on the things you want.

Figuring out how much you should keep in your checking account is about more than just expenses, you also need to think about your income. How often do you get paid and how predictable are those payments? The less predictable your income the more money you should keep on hand just in case.

Of course, it can be tough to understand your income and expenses when they change from month to month. The 

 can help. With tools to track expenses and cash flow, it makes it easy to stay on top of your finances and create some predictability.

If keeping two months expenses plus 30% in your checking account is good, keeping even more in there is better right? Not exactly. Money in your checking account isn’t taking advantage of higher interest rates you can get in places like 

. Anything above that minimum should really go into long-term savings.

High-yield savings accounts represent a middle ground between checking accounts and things like CDs. This money can be accessed in an emergency but is still kept in a place where it can earn interest and grow far faster than if it stayed in your checking account. That’s why you should keep 3-6 months worth of expenses in an account like this.

 offers 10% APY on your first $1,000. That means $100 a year that compounds with time to help give you financial security. Plus, it’s just $5 to open, comes with no fees or no minimum balance, and earns credit union dividends. Keeping money there means being ready for an emergency while ensuring your money grows for the future.

CDs and Money Markets for longer-term savings

For money you know you won’t need to access even in an emergency, CDs and Money Markets offer a great way to let it grow faster. Unlike investments in stocks, you’re guaranteed a set rate of return in exchange for keeping the money there for a specific period of time. The longer you keep your money there, the more it earns.

 options that make it easy to maximize your returns while minimizing hassle. Plus, CDs and Money Markets are not based on what’s happening in the stock market or economy, so they’re a good way to protect against volatility.

Figuring out how much money belongs in checking, savings, and tools like CDs is simple once you know the basics. But even if you’re just getting started with figuring out your personal finances, CFCU can work with you to figure it all out!

 always enjoy personalized services alongside all kinds of tools to help you learn how to build personal wealth and enjoy financial freedom. Join over the phone or in person to enjoy everything we offer plus free financial counseling.

How Much Money Should You Keep in Your Checking Account

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Help is available now. See how we’re helping Michiganders find food support, make the most of every dollar, and keep moving forward.

How Can Michiganders Find Support with SNAP Benefits Right Now?

Help is available now—during the federal government shutdown and beyond.

—our state’s version of SNAP—is at risk. Many members may experience 

 around their benefits in the weeks ahead.

To help bridge the gap, Starlight has added hundreds of food banks and food assistance resources to their Benefits Finder. 

Instantly locate nearby food pantries and meal programs

Check eligibility for food assistance programs

Get directions and contact details—all in one place

Access it right from your phone, whenever you need it

Because no one should have to wonder where their next meal will come from. And with the right tools, we can make sure no one has to. 

Tap to learn more and download Starlight now

Is your checking account helping you make the most of your dollar?

We get it—with uncertainty in the air stretching every dollar becomes even more important. That’s where the cashflow boosting features of your 

 can make a real difference. It’s designed to give you breathing room when you need it most.

 Life happens. That’s why we don’t charge overdraft fees on the first $50 you go over. It’s a little cushion to keep you covered.

 Get your paycheck up to two days early—automatically. Because you shouldn’t have to wait to take care of what matters.

Breaking up a bigger grocery trip or an unexpected big purchase is easy. There’s no new app, no extra account—just flip on flexible payments for eligible purchases on your CFCU debit card right in our app.

It’s everything you need to handle the ups and downs of daily life, built right into your checking account.

Because taking care of yourself and your family shouldn’t be hard. Whether it’s finding food resources through Starlight or finding financial relief with 

We know that support looks different for everyone. But no matter what, we believe in walking with you every step of the way—helping you save a little, breathe easier, and keep dreaming wild. And, remember, all of our Michigan members always get 

How to get CloseEnuff™ checking and the Starlight government resource app 

 now. It only takes five minutes and five bucks to get started.

The wildest dreams are best shared, so we do our best to support yours!

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*APY = Annual Percentage Yield. Rate offered may change at any time. The minimum balance to open the account is $5.00. The 10.00% APY is earned on balances of $.01 to $1,000.00. Balances of $1,000.01 and above earn an APY of 0.10%. Fees could reduce earnings. Federally insured by the NCUA.

APY Disclaimer*

We’re proud to announce that we are now the Official Partner of the University of Michigan Women's Ice Hockey Club. By standing with U-M Women’s Hockey, we’re helping create a future where Michigan’s women athletes don’t have to choose between chasing their sport and staying in the state they love. Our support is about more than ice time—it’s about leveling the playing field and investing in women's sports. 

Leveling the Ice: Official Partner of the University of Michigan Women's Ice Hockey Club!

That’s why we’re proud to announce that we are now the Official Partner of the University of Michigan Women's Ice Hockey Club

Right now, women athletes in our state face a tough choice: fund their own club ice hockey experience or leave Michigan to play varsity somewhere else. In a state that lives and breathes hockey, that just doesn’t add up.

By standing with U-M Women’s Hockey, we’re helping create a future where Michigan’s women athletes don’t have to choose between chasing their sport and staying in the state they love. Our support is about more than ice time—it’s about leveling the playing field and investing in women's sports.

Because the wildest dreams—like breaking barriers and rewriting history—deserve every chance to shine. And we’re honored to play a part in that journey.

University of Michigan Women’s Ice Hockey

 is helping all Michiganders Dream Wild™!

By standing with U-M Women’s Hockey, we’re helping create a future where Michigan’s women athletes don’t have to choose between chasing their sport and staying in the state they love. Our support is about more than ice time—it’s about leveling the playing field, investing in women, and sparking the momentum that could make U-M the first elite varsity-level women’s hockey program in Michigan.

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The ribbon’s been cut, the doors are open, and the energy is still buzzing!

 Grand Opening brought together friends, community partners, and members from across Michigan.

With a great crowd and luminary guest speakers, including West Bloomfield Township Supervisor Jonathan Warshay, West Bloomfield School District Superintendent Dr. Dania Bazzi, Neighborhood & Housing Development Officer for Oakland County Khadija Walker-Fobbs, and Michigan State Representative Noah Arbit, it was a day full of smiles, connection, and a shared excitement for the wild dreams ahead.

This new space isn’t your typical branch—and that’s exactly the point. We designed it to feel less like a bank and more like a place to Belong.

When you walk in, you’ll notice there are 

, just friendly team members ready to welcome you and walk with you toward your financial goals.

Beyond the new branch experience, we wanted to create a place where people come together, whether it’s for financial guidance, community events, or just a friendly hello.

To that purpose, our newest branches include a 

 for local groups to meet during and after hours, a wall of secure 

(What’s an ITM? Imagine an ATM that offers all the same services as a traditional drive-thru experience by connecting you with a Michigan-based team member through video chat!)

Outside, you’ll even find an 

—because we believe that connection and Belonging shouldn’t stop at the door.

As we open our doors in West Bloomfield, we’re not just expanding our footprint, we’re deepening our roots. This branch represents the next step in how we serve: 

people-first, community-inspired, and future-focused.

To everyone who joined us in celebrating (and to those we can’t wait to see soon), thank you for helping us make this dream real.

7400 Orchard Lake Rd
West Bloomfield, MI 48322

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A New Chapter in West Bloomfield: Our New Branch is Open!

Big change ahead: The federal government is phasing out paper checks for both Social Security and IRS tax returns. Here’s how to set up direct deposit before the deadline!

Paper Government Checks Are Going Away—Here’s How to Be Ready

Paper checks are officially on the way out.

Starting September 30, 2025, the federal government will no longer send paper checks for benefits such as Social Security payments, tax refunds, or other government payments.

Instead, everything will move to direct deposit or a prepaid card.

For some, this change feels overdue—direct deposit is faster, safer, and more reliable. But if you’re still using paper checks, don’t worry. We’re here to help you keep your wild dreams on track!

Here’s how to make the transition simple:

 account with us, you’re good to go to the next step!

If you don’t already have a checking or savings account with us, now’s the perfect time. New accounts are quick to open, taking only five minutes and five dollars to get started. And you’ll have peace of mind knowing your money goes straight into a trusted, accessible, and local account.

Don’t already have a membership or account?

Easy Direct Deposit is only the beginning. Explore all the ways we’re helping your social security and IRS checks go further with 


Our routing number is: 272483743. When you need it in the future, it’s always easy to find in your CFCU app or at the bottom of our website.


In digital banking, tap the account you want to use, then tap the eye icon under MICR Number to see the account number you’ll use for all direct deposits.


This is what Social Security or the IRS will use to send your deposits directly.

 for tax refunds and enter your CFCU account details from step 2. If you’d like, stop by a 

—we’ll be happy to walk you through it.

With our digital banking, you can set up instant alerts to let you know when your deposit hits. No more waiting by the mailbox or wondering when the check will clear.

We know change can feel overwhelming, but you don’t have to do this alone. Our team is here to make sure you’re set up and confident before paper checks disappear for good. 

Switching to direct deposit isn’t just about compliance. It’s about speed, security, and convenience. Your money gets to you faster, without the risk of losing a check in the mail. And with our digital tools, you’re in control every step of the way.

Why trust us with your federal direct deposit

Boost your social security check by up to $1,000 


Get paid just for getting direct deposit! Earn up to $1,000 for opening a new CloseEnuff™ checking with direct deposit. 

Learn More

Save more, faster with 10% APY* High Yield Savings 


Build savings quickly with 10% APY* on your first $1,000, plus a boosted rate beyond that. 


We're a for-impact community credit union dedicated to the success of our local communities and neighbors... not global balance sheets. That means we do what's right for members and Michiganders every chance we get. 

Paper checks may be going away, but your money isn’t. We’ll make sure it always lands safely where it belongs—right in your account.



! Or, if you prefer a helping hand, stop by your local branch or call our Michigan-based Care Center today at 

Member Checklist:
Be ready for the end of federal paper checks

Open a checking or savings account with us—if you don’t have one yet.

Log in to your CFCU app and confirm everything is correct.

Set Up Direct Deposit with the U.S. Treasury

Social Security Administration: Get Your Payments Electronically

IRS: Direct Deposit Information for Tax Refunds

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Paper checks are going away. Here’s what you need to know.

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Our Student Credit Union members saved $47,782 in 2024! All while learning how to save, plan, and manage their money for an impossibly bright future. And that’s only the beginning...

The Power of Student Credit Unions

Save. Spend. Give.

Saved by the Student Credit Union members in 2024!

Learning through doing:
Molding a money savvy future for Michigan

We believe that setting kids up with financial skills from a young age is one of the strongest ways to build economic prosperity in our communities. We’re working to help students in 50+ schools across the state learn by doing through our Student Credit Union program. From marketing to operations, the kids run it all. Giving them hands-on experience and financial knowledge that’ll help them thrive into the future.

Celebrating a 30-year partnership with Northville schools

In celebration of over 30 years of growing financial wellness in Northville Schools, we partnered with the district and the Northville Education Foundation to launch a $20 Student Savings Starter program. For any kindergartener and fifth grader in the district who opened a CFCU account we’d deposit the first $20 on us! The extra boost for kids helped drive an overall 30% jump in SCU membership across the state in 2024.

Beyond the experience gained, the impacts of the student credit unions truly add up with $47,782.39 saved among all students for an average account balance of $359.27 per student in 2024. At well over $300 bucks, that’s more than the median checking account balance in the lowest percentile of US households in 2022!* And a great start for the kids powering Michigan’s future.

Want to put your kid on the right track OR create a Student Credit Union at your school? 

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Ignite their Impossible Dreams

Retirement might feel far away—but for Gen X, it’s closer than you think

, president & ceo, Tansley Stearns, is sharing insights on how Gen X can take charge of their financial future and realize their wild dreams.

70% of Gen Xers say they can't afford to retire—They're right if they don't do these 8 things - MSN

Retiring in 2026? 6 financial traps to avoid at all costs - Yahoo Finance

Why retirement planning feels tough for Gen X

Between raising kids, helping aging parents, and building careers, it’s easy to push retirement to the back burner. But planning for your future isn’t selfish—it’s essential. As Tansley shared, the right steps now can give you the freedom and flexibility you’ve always dreamed about later.

Here are a few takeaways from Tansley’s tips that can help get you get started today:

Automating savings means you won’t miss what you don’t see. A 

 savings tool or an automatic savings challenge, like our 

 can take the sting out of building savings by making it feel easy and routine.

Freeing up high-interest payments gives you more to save. If you're a member, you can take advantage of 

 to help boost your financial fitness and tackle debt that may be holding you back.

While banks are profit driven, local credit unions are not-for-profit financial institutions. That means that they put the needs and goals of their members first, which can lead to lower fees, higher rates, and friendly services better crafted to help you hit your personal 

Retirement isn’t just bills and budgets—it’s about creating the freedom to live the life you want. That's why we've partnered with 

 to help you dream even bigger and guide your growth with retirement planning, investment services, 401k rollover services, and more.

 can feel intimidating, but you don’t have to figure it out alone. As your Michigan-based, for-impact community credit union, we’re here to walk with you—helping you build a future where your 

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You Belong here, because we believe You Are Enuff

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