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Quoted: I understand why people want to pay off their house. It's not the smartest financial move, but it is a massive safety net to have. But why are you keeping 1 year worth of income in a savings account? You can put that money in the market with a TD account, and it can still be just as "liquid" as you need. Remember, at a 7% inflation rate, it will only take about 9 years for your savings account to be cut in half. View Quote Why pay it off? Hyper-inflation leaves the homeowner with nothing to pay the mortgage. If it's paid off, then provided you can pay your taxes, you still have a place to live and won't be car camping. I concur about putting cash into the bank. With real inflation running at 15%, you lose your purchasing power faster. How you save determines whethered you saved at all and I wouldn't rate TD Accounts high in my category for protecting wealth. |
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Quoted: Had to start buying foods from the knock off place Most of it isnt so bad But some of it View Quote There's a store here that specializes in scratch and dent food. They buy stuff from major grocers that got damaged and resell it. Most of it is perfectly fine, just things like cereal with dented corners on the boxes, cans with minor dents and dings or just scratched labels. Things like that. I bought a shit-ton of name-brand soda for less than ten cents a can. They were just dirty from where other cans had busted and leaked onto them. I took all of them and scrubbed them with soapy water in the kitchen sink. A few minutes work, and they were good as new. |
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Quoted: Acquiring capital assets that generate revenue using cheap debt. View Quote We borrowed money on our farm partnership and put that into new land and some irrigation / leveling improvements on existing land. On my personally owned farm I was able to acquire a neighboring farm that was retiring out at a good non inflated per acre rate using cash. Both instances - borrowing at stupid low rates and converting a cash reserve into a safe appreciating asset (row crop farmland) were moves made purely driven by inflation. We are farming very little of it ourselves this year and have worked out deals to lease out to other farmers this year to farm it. |
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Quoted: Been buying a lot of tools over the last year... View Quote Same. I spent almost 20 grand just on new tools and batteries last year. I'm paranoid about them becoming either unavailable, or the prices of them flying through the roof faster than I can raise my own prices. I'm financing some equipment this year in an effort to try to stay out ahead of it. |
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Quoted: Kicked myself in the ass for not ordering all my remodel shit a year ago. View Quote And a year from now, you will feel like a genius for ordering it all today. It's like kicking yourself for not buying more Amazon stock, 10 years ago. And 10 years ago, there were people kicking themselves for not buy more AMZN 10 years before that. |
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Working
Oh yeah and working more And trying to not spend as much |
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So far I’m just finishing up a few AR projects I’ve had laying around for a long time. There are some really good deals to be had lately. Getting ready to increase my rates soon. Gas prices are starting to piss me off.
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As a business owner, I raised my rates. I had no choice.
My gas prices went up parts prices went WAY up shipping went way up invoice printing prices went up Liberal POS actually said to me, "That's the problem with you greedy business owners, you cant stand to lose 2-5% like the rest of us?" Kiss the darkest part of my ass! |
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Self employed. Up my price. One customer and only so many competitors. As long as people still use gas, buy chemicals, and accidents happen at refineries and chemical plants business stays the same give or take a little. Work from home most of the last 30 years, gotta have a place to live one way or the other.
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Quoted: Why pay it off? Hyper-inflation leaves the homeowner with nothing to pay the mortgage. If it's paid off, then provided you can pay your taxes, you still have a place to live and won't be car camping. I concur about putting cash into the bank. With real inflation running at 15%, you lose your purchasing power faster. How you save determines whethered you saved at all and I wouldn't rate TD Accounts high in my category for protecting wealth. View Quote View All Quotes View All Quotes Quoted: Quoted: I understand why people want to pay off their house. It's not the smartest financial move, but it is a massive safety net to have. But why are you keeping 1 year worth of income in a savings account? You can put that money in the market with a TD account, and it can still be just as "liquid" as you need. Remember, at a 7% inflation rate, it will only take about 9 years for your savings account to be cut in half. Why pay it off? Hyper-inflation leaves the homeowner with nothing to pay the mortgage. If it's paid off, then provided you can pay your taxes, you still have a place to live and won't be car camping. I concur about putting cash into the bank. With real inflation running at 15%, you lose your purchasing power faster. How you save determines whethered you saved at all and I wouldn't rate TD Accounts high in my category for protecting wealth. Hyper-inflation makes it easier to pay a fixed loan. A mortgage payment doesn't change (assuming fixed rate) based off the current value of the home. Debt is great in times of inflation, because you are purchasing the asset at today's price, and paying it with tomorrows salary. And I don't believe the 7% number one bit. Everything that I actually purchase and use in real life, is closer to 20% higher. And I wasn't referring to a TD investment account. I should have specified a TD account, and use their trading platform Thinkorswim. Park the savings in an index fund, or spread it out across a handful of the largest companies, and you can still sell and liquidate whenever you need. |
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Quoted: Hyper-inflation makes it easier to pay a fixed loan. A mortgage payment doesn't change (assuming fixed rate) based off the current value of the home. Debt is great in times of inflation, because you are purchasing the asset at today's price, and paying it with tomorrows salary. And I don't believe the 7% number one bit. Everything that I actually purchase and use in real life, is closer to 20% higher. And I wasn't referring to a TD investment account. I should have specified a TD account, and use their trading platform Thinkorswim. Park the savings in an index fund, or spread it out across a handful of the largest companies, and you can still sell and liquidate whenever you need. View Quote View All Quotes View All Quotes Quoted: Quoted: Quoted: I understand why people want to pay off their house. It's not the smartest financial move, but it is a massive safety net to have. But why are you keeping 1 year worth of income in a savings account? You can put that money in the market with a TD account, and it can still be just as "liquid" as you need. Remember, at a 7% inflation rate, it will only take about 9 years for your savings account to be cut in half. Why pay it off? Hyper-inflation leaves the homeowner with nothing to pay the mortgage. If it's paid off, then provided you can pay your taxes, you still have a place to live and won't be car camping. I concur about putting cash into the bank. With real inflation running at 15%, you lose your purchasing power faster. How you save determines whethered you saved at all and I wouldn't rate TD Accounts high in my category for protecting wealth. Hyper-inflation makes it easier to pay a fixed loan. A mortgage payment doesn't change (assuming fixed rate) based off the current value of the home. Debt is great in times of inflation, because you are purchasing the asset at today's price, and paying it with tomorrows salary. And I don't believe the 7% number one bit. Everything that I actually purchase and use in real life, is closer to 20% higher. And I wasn't referring to a TD investment account. I should have specified a TD account, and use their trading platform Thinkorswim. Park the savings in an index fund, or spread it out across a handful of the largest companies, and you can still sell and liquidate whenever you need. It makes it easier as long as you are getting steady pay increases along with the inflation. If your purchasing power begins to tank without making any more money though, it can turn a liability into a much bigger liability during the transition period. |
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Quoted: We borrowed money on our farm partnership and put that into new land and some irrigation / leveling improvements on existing land. On my personally owned farm I was able to acquire a neighboring farm that was retiring out at a good non inflated per acre rate using cash. Both instances - borrowing at stupid low rates and converting a cash reserve into a safe appreciating asset (row crop farmland) were moves made purely driven by inflation. We are farming very little of it ourselves this year and have worked out deals to lease out to other farmers this year to farm it. View Quote More people need to hear this!! There are still too many people saying that they're paying off all debts and hoarding cash. |
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Quoted: Same. I spent almost 20 grand just on new tools and batteries last year. I'm paranoid about them becoming either unavailable, or the prices of them flying through the roof faster than I can raise my own prices. I'm financing some equipment this year in an effort to try to stay out ahead of it. View Quote View All Quotes View All Quotes Quoted: Quoted: Been buying a lot of tools over the last year... Same. I spent almost 20 grand just on new tools and batteries last year. I'm paranoid about them becoming either unavailable, or the prices of them flying through the roof faster than I can raise my own prices. I'm financing some equipment this year in an effort to try to stay out ahead of it. Means of generating revenue or barter are useful. I have a classmate who got himself a first class machineshop. At least he has job skills and like you guys can work as a tradesman. |
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I started preparing in July of 2021. I sold a boat for a lot of cash. Paid off all of my retail credit. Raised fico to 850. Turned an equity line into a conventional mortgage under 4%. Negotiated for a 26% raise in salary. Paid cash for a roof before prices went up. Moved forward with some deferred purchases before prices went up.
About to put deposits on new carpet and a new driveway. |
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Quoted: It makes it easier as long as you are getting steady pay increases along with the inflation. If your purchasing power begins to tank without making any more money though, it can turn a liability into a much bigger liability during the transition period. View Quote View All Quotes View All Quotes Quoted: Quoted: Quoted: Quoted: I understand why people want to pay off their house. It's not the smartest financial move, but it is a massive safety net to have. But why are you keeping 1 year worth of income in a savings account? You can put that money in the market with a TD account, and it can still be just as "liquid" as you need. Remember, at a 7% inflation rate, it will only take about 9 years for your savings account to be cut in half. Why pay it off? Hyper-inflation leaves the homeowner with nothing to pay the mortgage. If it's paid off, then provided you can pay your taxes, you still have a place to live and won't be car camping. I concur about putting cash into the bank. With real inflation running at 15%, you lose your purchasing power faster. How you save determines whethered you saved at all and I wouldn't rate TD Accounts high in my category for protecting wealth. Hyper-inflation makes it easier to pay a fixed loan. A mortgage payment doesn't change (assuming fixed rate) based off the current value of the home. Debt is great in times of inflation, because you are purchasing the asset at today's price, and paying it with tomorrows salary. And I don't believe the 7% number one bit. Everything that I actually purchase and use in real life, is closer to 20% higher. And I wasn't referring to a TD investment account. I should have specified a TD account, and use their trading platform Thinkorswim. Park the savings in an index fund, or spread it out across a handful of the largest companies, and you can still sell and liquidate whenever you need. It makes it easier as long as you are getting steady pay increases along with the inflation. If your purchasing power begins to tank without making any more money though, it can turn a liability into a much bigger liability during the transition period. Correct. And that's why I said that I understand why people do it. It's a great safety net, and 10x better than a savings account. If someone is older and needs to be more risk averse, it can make sense. If someone is still in their wealth earning years and can better afford the risk, then it doesn't make sense. |
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Quoted: Hyper-inflation makes it easier to pay a fixed loan. A mortgage payment doesn't change (assuming fixed rate) based off the current value of the home. Debt is great in times of inflation, because you are purchasing the asset at today's price, and paying it with tomorrows salary. And I don't believe the 7% number one bit. Everything that I actually purchase and use in real life, is closer to 20% higher. And I wasn't referring to a TD investment account. I should have specified a TD account, and use their trading platform Thinkorswim. Park the savings in an index fund, or spread it out across a handful of the largest companies, and you can still sell and liquidate whenever you need. View Quote You're correct in that it's easier to pay off the loan - if you have the funds. That's where the one gold coin comes in. Cash it in, pay the taxes (capital gain) and take the rest down to the mortgage holder and get your deed of reconveyance. As I mentioned in another thread, the timing is tricky though. You're also right that inflation is greater than 7%. John Williams' ShadowStats says 15% plus and 20% is closer to real life (because of food & fuel which aren't counted by BLS). OK on the TD, but I'm also concerned about liquidity. Bank/market holiday and then what? That happened a lot during the Great Depression and you have that counter-party risk and if they fail to perform, you're SOL. Benjamin Roth (The Great Depression, A Diary) wrote that people were signing over their stock certificates or bank passbooks for pennies on the dollar to get money to buy food. I wish everyone here well in these upcoming years. 3 B's (or as Sherrick13 says, 4 B's). |
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Quoted: It makes it easier as long as you are getting steady pay increases along with the inflation. If your purchasing power begins to tank without making any more money though, it can turn a liability into a much bigger liability during the transition period. View Quote View All Quotes View All Quotes Quoted: Quoted: Quoted: Quoted: I understand why people want to pay off their house. It's not the smartest financial move, but it is a massive safety net to have. But why are you keeping 1 year worth of income in a savings account? You can put that money in the market with a TD account, and it can still be just as "liquid" as you need. Remember, at a 7% inflation rate, it will only take about 9 years for your savings account to be cut in half. Why pay it off? Hyper-inflation leaves the homeowner with nothing to pay the mortgage. If it's paid off, then provided you can pay your taxes, you still have a place to live and won't be car camping. I concur about putting cash into the bank. With real inflation running at 15%, you lose your purchasing power faster. How you save determines whethered you saved at all and I wouldn't rate TD Accounts high in my category for protecting wealth. Hyper-inflation makes it easier to pay a fixed loan. A mortgage payment doesn't change (assuming fixed rate) based off the current value of the home. Debt is great in times of inflation, because you are purchasing the asset at today's price, and paying it with tomorrows salary. And I don't believe the 7% number one bit. Everything that I actually purchase and use in real life, is closer to 20% higher. And I wasn't referring to a TD investment account. I should have specified a TD account, and use their trading platform Thinkorswim. Park the savings in an index fund, or spread it out across a handful of the largest companies, and you can still sell and liquidate whenever you need. It makes it easier as long as you are getting steady pay increases along with the inflation. If your purchasing power begins to tank without making any more money though, it can turn a liability into a much bigger liability during the transition period. This. Unless you have an outstanding income already, don't expect pay increases to come overnight to account for inflation. Pay off your debts. |
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Loading up on long term items as much as I can before shortages and prices get totally out of control. Buy now or pay way much later.
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I'm selectively picking up a few excellent (value) stocks that other people are selling in fear.
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A great way to play the inflation trade is to get cheap appliances from places like Habitat for humanity and then either flip them on FB market place of bring them to the recyclers. You will make money from the recylcers, but make much more off FB market place.
Another good idea is to get a part time job working at the take in for GoodWill, when you see good items to flip being donated, just offer the donee some quick cash. 9/10 they will sell. You need to keep your truck parked next to the donation door though. Another thing is to make a FB add that you will haul off appliances for free...most of the time, they just need one part. If not, you can scrap them. |
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Quoted: It makes it easier as long as you are getting steady pay increases along with the inflation. If your purchasing power begins to tank without making any more money though, it can turn a liability into a much bigger liability during the transition period. View Quote Yes and no. Raises never kept up with inflation in Weimar, Zimbabwe or Venezuela. Won't happen here either. In fact, it help fuel inflation. In Weimar, wives met their husbands at lunch and spent their marks immediately. Thing to remember about hyper-inflation. It requires two things: Brrrrrrrr! by the central bank PLUS public loss of faith in the currency. |
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Not buying anything, stockpiling cash at this point (as dumb as that sounds) waiting for the big correction so I can snatch up some deals when shit goes sideways
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Driving my little 4-cylinder car more than my 4runner to save on gas costs.
Not using grubhub, doordash, etc. I'll phone in the order to the restaurant and pick it up myself. Eating less red meat. This is more due to my recent cholesterol test, but hey, it's saving me money. |
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Continuing to work at my 72-hours-workweek job that's killing me instead of going elsewhere for less hours/less pay.
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Quoted: You're correct in that it's easier to pay off the loan - if you have the funds. That's where the one gold coin comes in. Cash it in, pay the taxes (capital gain) and take the rest down to the mortgage holder and get your deed of reconveyance. As I mentioned in another thread, the timing is tricky though. You're also right that inflation is greater than 7%. John Williams' ShadowStats says 15% plus and 20% is closer to real life (because of food & fuel which aren't counted by BLS). OK on the TD, but I'm also concerned about liquidity. Bank/market holiday and then what? That happened a lot during the Great Depression and you have that counter-party risk and if they fail to perform, you're SOL. Benjamin Roth (The Great Depression, A Diary) wrote that people were signing over their stock certificates or bank passbooks for pennies on the dollar to get money to buy food. I wish everyone here well in these upcoming years. 3 B's (or as Sherrick13 says, 4 B's). View Quote View All Quotes View All Quotes Quoted: Quoted: Hyper-inflation makes it easier to pay a fixed loan. A mortgage payment doesn't change (assuming fixed rate) based off the current value of the home. Debt is great in times of inflation, because you are purchasing the asset at today's price, and paying it with tomorrows salary. And I don't believe the 7% number one bit. Everything that I actually purchase and use in real life, is closer to 20% higher. And I wasn't referring to a TD investment account. I should have specified a TD account, and use their trading platform Thinkorswim. Park the savings in an index fund, or spread it out across a handful of the largest companies, and you can still sell and liquidate whenever you need. You're correct in that it's easier to pay off the loan - if you have the funds. That's where the one gold coin comes in. Cash it in, pay the taxes (capital gain) and take the rest down to the mortgage holder and get your deed of reconveyance. As I mentioned in another thread, the timing is tricky though. You're also right that inflation is greater than 7%. John Williams' ShadowStats says 15% plus and 20% is closer to real life (because of food & fuel which aren't counted by BLS). OK on the TD, but I'm also concerned about liquidity. Bank/market holiday and then what? That happened a lot during the Great Depression and you have that counter-party risk and if they fail to perform, you're SOL. Benjamin Roth (The Great Depression, A Diary) wrote that people were signing over their stock certificates or bank passbooks for pennies on the dollar to get money to buy food. I wish everyone here well in these upcoming years. 3 B's (or as Sherrick13 says, 4 B's). Unless you're stuffing cash into a mattress, you'll always have that risk with liquidity. My point is that the upside of riding the market with inflation (even if it's a safe bet that doesn't increase your buying power,) far outweighs the risks. If people with money in a mattress had to take 20% out each year and burn it, they would never keep it in the mattress. And yes, if the market crashes as it did in the Great Depression, this is all terrible advice and no one knows what will happen because Govt will make up their own rules as they go. |
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Quoted: As a business owner, I raised my rates. I had no choice. My gas prices went up parts prices went WAY up shipping went way up invoice printing prices went up Liberal POS actually said to me, "That's the problem with you greedy business owners, you cant stand to lose 2-5% like the rest of us?" Kiss the darkest part of my ass! View Quote I would have stomped on his foot and subsequently dishonored his women. |
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Quoted: A great way to play the inflation trade is to get cheap appliances from places like Habitat for humanity and then either flip them on FB market place of bring them to the recyclers. You will make money from the recylcers, but make much more off FB market place. Another good idea is to get a part time job working at the take in for GoodWill, when you see good items to flip being donated, just offer the donee some quick cash. 9/10 they will sell. You need to keep your truck parked next to the donation door though. Another thing is to make a FB add that you will haul off appliances for free...most of the time, they just need one part. If not, you can scrap them. View Quote My buddy was a delivery driver for Lowes after high school. If you buy an appliance from Lowes, they'll deliver, install, and take your old appliance away for free. My buddy made sooo much money selling old appliances that people told them to take for free. He just made an extra stop to drop them off, before taking the truck back to the store. He made way more than Lowes was paying him to work. |
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We have been waaaaaaaaaaaaay out ahead on purchasing needs and wants. As long as you have a reasonably solution to store what you stock up on you can save a fuckton of money.
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This year we ventured into some of the ethnic markets. Asian markets are pretty badass. They have a lot of fresh food for good prices. Better quality on a lot of items like rice, noodles, fish, etc.
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Quoted: We have been waaaaaaaaaaaaay out ahead on purchasing needs and wants. As long as you have a reasonably solution to store what you stock up on you can save a fuckton of money. View Quote This is why people hoarded the bronze bus tokens in SF. I used to buy them for $1 each ($5 for a roll of 50) and use them or give them to my brother when he came to the city for bizness (ha! on trying to find parking in SF - so he took public transit). Then you couldn't get them b/c people hoarded them in anticipation of fare increases. It was $2 a ride the last time I visited SF. |
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I've been buying extra at Costco every trip. Some things are more every time I'm there, so I might as well buy it now.
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Lending stablecoin to generate interest.
Using those funds to buy an ounce of silver each day. |
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Self employed electrician. I have raised my rate from 110 to 120 and now 130/hr.
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17.25% raise....
I will stop eating fast food for lunch and brown bag it... |
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