In Part 1 of Incoming...Economic Meltdown? Are You Prepared I covered at a very high level some of the things going on in the global and US financial world. I could literally just keep writing for days, but in reality, it's going to be very difficult for me to communicate everything or convince anyone of the serious times where in just through a blog article. After all, I'm just one voice in the midst of your business day dealing with work, family, wife, kids, yard work, and God knows what else. Pets anyone? Crying babies?
Rather than spending my time writing and your time reading something that may or may not move the needle for you, I'll save you some time by finding and sharing resources with you from people concerning what I'm talking about. That way you'll be able to judge for yourself not just from what I've shared, but from listening to a multitude of voices. Hopefully, this will help you to become better prepared for any future financial storms that may be coming our way.
Lynette Zang, ITM Trading
Chief Market Analyst at ITM Trading, Inc. covers a very wide range of topics including price action, bonds, yield curve, precious metals, hedging, and much, much more!
Best known as the author of Rich Dad Poor Dad—the #1 personal finance book of all time—Robert Kiyosaki has challenged and changed the way tens of millions of people around the world think about money. He is an entrepreneur, educator, and investor who believes the world needs more entrepreneurs who will create jobs.
James G. Rickards is an American lawyer, speaker, media commentator, and author on matters of finance and precious metals. In this interview, Rickards said: "We should all be watching for signs of inflation. The Fed doesn’t control inflation. It may be true in stocks, bonds, and real estate. Money printing can lead to asset bubbles but it doesn’t lead to price inflation. Inflation is showing up! Last year the economy was shutting down, it was the worst collapse since 1946.”
I love George Gammon's work. Very instructional way of looking at the financial world. He will help you build and protect wealth through investing, real estate and an extreme dose of the economic RED PILL. By using a very UNIQUE strategy he's increased my personal freedom and thrived financially in a world of out of control central banks and big governments. And now I'm going to teach you to do the same. He's NOT a guru. He's a former entrepreneur, turned investor, who has years of experience investing in multiple countries.
Wow. Did you watch a few of those videos? How do you feel? Scared? Maybe. Skeptical. Maybe. I can't tell you if the financial world is going to fully collapse anytime soon, but regardless of whether it is or it isn't, sound financial principles will always stand true, and you own it to yourself to be as prepared as you can be.
Some ToDo Items to Consider Based on My Experience
Lower you debt risk. Whether you believe in leveraging debt like Robert Kiyosaki or you're staunchly anti-debt like Dave Ramsey, too much debt is can and usually does become a problem especially in a troubled economy. Review your debt ratios. What's your plan if the YOUR system cracks and you find yourself in trouble? Lowering your risk usually includes lowering your debt ratios and solidifying your income stream so you can service (pay) your debt obligations...even in a down or troubled economy.
Diversify your investments and assets. Many Americans have their wealth tied up in the stockmarket through mutual funds, IRAs, 401Ks and pensions. What happens if the stock market tanks 50-75% and doesn't recover for 1 year? 5 years? 10 years? From 1965-1985, the Dow Jones Industrial Average was essentially flat. While financial advisors love to talk about the growth cycles of the stock market, they rarely talk about the down times. While mutual funds diversify your wealth across stocks, they are still centralized in the equities markets. Looking for ways to diversify your wealth into passive income streams outside the stock market is considered to be a wise choice by seasoned investors like Robert Kiyosaki, Grant Cardone, and many more. Have a look at the DJIA for the last 100 years. https://stockinvesting.today/ma1602/article/the-1920-1921-bear-market?
Have a Budget/Spending Plan. If you don't have a plan for your money, I'm almost 100% sure you're losing at least $500 of your monthly budget to waste when it could be going towards wealth building and moving your family towards financial security. For people and families with more disposable income, you could be wasting 10-25% of your monthly income on things that offer you almost no future value in your life. Without a spending plan, the numbers can get CRAZY! And, it can add a ton of stress into your life. It's hard, but you have to do it. Work on that budget and keep working until it's second nature. TIP: Budget/Spending plans can be tedious and emotionally draining. It helps to have clear financial goals that you and your spouse can agree on. If you aren't married, have someone review your plan to give you feedback.
Get Money Smart. Form a habit of personal growth especially around money. If you can train yourself to study money by reading, listening to podcasts, videos, or go through some training, It will pay you back 1,000 times or more over your life. One of the best things you can do in your life is to use your time to grow yourself in the area of money. By doing this, you're equipping yourself to become a better money maker, but also a money multiplier. Recommended Podcasts: Millionaires Unveiled: https://podcasts.apple.com/us/podcast/millionaires-unveiled/id1313152833 Bigger Pockets Real Estate: https://podcasts.apple.com/us/podcast/biggerpockets-real-estate-podcast/id594419649