The reality is they try to protect as much of the assets as they can and even those over 250k will probably not lose as much as they would have without the FDIC
Maybe smart for orgs to do their payroll on a Tuesday or Wednesday instead of down to the wire on friday with everyone else.
Sure you get to hold onto funds for a day or two later, but it also puts your payroll at risk if the bank is failing.
(Seriously I worked for an org that changed payroll from Thursday to Friday and I’d be first to file with the labour board for missed employment payment if they blamed the weekend or bank failure for missing a payment).
The reality is they try to protect as much of the assets as they can and even those over 250k will probably not lose as much as they would have without the FDIC