Most people do not differentiate between the money that they have. To them, money is a homogeneous resource which need not be further broken down. Each cent spent is drawn from the same pool of money, and each sum of money earned goes back to the same pool. To me, there are 3 general purposes why people hold on to money. As each of these purpose is different in nature, I prefer to split the money I have into 3 portions and administer each portion slightly differently. I will first explain the 3 purposes before giving my recommendation on what to do with each portion. The first purpose of having money is for keeping. To me, this refer to money that you do not expect to be required in the near future. I think the definition of near future differs from person to person, but my personal preference is any money ......