Here's a problem that a very few people are lucky enough to have: How do you store millions of dollars in cash?
Believe it or not, this could be tricky.
If you'll need the cash soon for, say, a big construction project, then it has to stay liquid and easily accessible.
If you had $10 million in $100 bills, you could, in theory, shove it under your mattress. That much cash would occupy about 4 cubic feet of space, or about the size of a large suitcase. But you might well have trouble sleeping, and you'll need a sturdy frame to handle the extra 220 pounds.
The sheer logistics of getting $10 million in physical cash, however, makes the prospect of actually storing it unlikely. Multiple banks (and probably the Federal Reserve) would be needed to round up so many bills. You would also have to do a lot of paperwork to prove that you are not laundering money. And once the bank hands over the cash, you would definitely need a way to securely transport all those stacks of $100 bills.
Of course, you could always deposit your treasure in a bank,but the FDIC only insures accounts up to $250,000 (joint accounts to $500,000).
To insure the full amount, you'll need to spread it out over 40 accounts in 40 different banks (or 20 banks if it were in joint accounts.) But, again, there would be paperwork. Cash transactions over $10,000 must be reported, and if the bank thinks your transaction is fishy, they're obligated to file a suspicious activity report. The banks will also have to verify the source of the funds — so be prepared to provide some documentation.
But if you overcome all these obstacles, which bank would you choose? According to Dave Ramsey, if you have millions in legitimate money, a few strong regional banks are the safest choice — not new banks or megabanks. If you choose banks with solid financials, FDIC coverage isn't as important.
