Kevin Bacon says he never leaves home without $200 cash in his pocket

Forget credit cards — Kevin Bacon is a cash guy.

"I never walk around with less than $200 or $300," he told Wealthsimple.

He traces his affection for cash back to his early days in the workforce, when he moved to New York City after high school to work as a busboy and waiter.

"My relationship with money was very loose," the actor, currently starring in the Amazon series "I Love Dick," told Wealthsimple. "I had no budget, no savings, no credit cards, and no bank accounts. I was a cash-only kind of guy."

He continued:

"I'd get paid out at the end of the night, spend some of it at the bar, wake up the next day, and check my pockets to see how much money I had left. There was never a budget or any kind of longer-term financial plan. I'd make money, spend it, pay rent, spend more money, and hope that when the end of the month came around, I'd have enough to put up another month's rent."

There are two schools of thought when it comes to carrying cash: One argues that since it's more psychologically difficult to part with the paper rather than swipe a card, it makes you think twice about purchases and spend less over all.

The other school finds the built-in spending tracker element of using a debit or credit card incredibly handy. Wondering where your money went? All you have to do is log into your bank's site. (As far as debit versus credit, credit cards are generally considered preferable because they're insured, and because you get rewards. Just as long as you're paying them off every month in full!)

Bacon told Wealthsimple that he's made a real effort to understand how his money is managed, rather than outsourcing it. "Understanding money may not be everyone's idea of a good time, but it's a necessary evil," he said. "If you're a creative person who doesn't understand money easily, you may not want to admit how essential it is. But ultimately if you stick your head in the sand, you'll be sorry."

Libby Kane

Executive Editor, Personal Finance Insider

Libby Kane is a personal finance expert who has reported and edited stories about money for more than 10 years. She previously held the Certified Financial Education Instructor (CFEI) certification issued by the National Financial Educators Council.Experience She has written and edited articles on everything from investing tips to model budgets and has interviewed dozens of authors, financial planners, and early retirees to share their advice, experiences, and insights with a global audience. Before joining Business Insider in 2014, she was an associate editor at LearnVest, a personal finance site to help women learn about money. Her work has appeared on sites such as MSN, AOL, Forbes, Slate, and The Street.Her team at Business Insider has tackled projects including:• Women of Means, a series about women taking control of their finances• Inside the Racial Wealth Gap, an exploration of the causes, effects, and potential solutions of the racial wealth gap in the US (finalist, Drum Award, "Editorial Campaign of the Year," 2021)• Strings Attached, a series of essays from people who have left insulated communities and how that journey affected their relationship with money• Master Your Money, a year-long guide for millennials on how to take control of their finances  (first runner up, Drum Award, "Best Use of Social Media," 2022)• The Road to Home, a comprehensive guide to buying your first house (silver award winner, National Association of Real Estate Editors, "Best Multi-Platform Package or Series – Real Estate," 2022)Libby believes in one universal truth about money: Advice is never for everyone. The best strategies, tools, and products depend on your preferences, financial situation, history with money, and goals.ExpertiseHer expertise includes:• Behavioral finance• Early retirement• Budgeting• Saving moneyEducationLibby holds a bachelor's degree from Wellesley College.Outside of personal finance, Libby enjoys reading, baking, and walking her dog.

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