Consuming wealth

When most people think of consuming they imagine eating food, a gas gussling car,... But do people ever think about consuming wealth?

Sure they do! If you consume wealth they you are storing your money and watching it pile up, right?

Wrong. Today a report shows consumer confidence is down big. Well duh. Look at what people did with their potential wealth (example: income). They bought. They bought the latest and greatest. Does anyone really need a TV that may cost 10% of their annual income? What about the latest and greatest game systems, cells phones, newly released dvds?

In the past, the build up to our inflation (which we are just barely starting to feel) we had money. So much money it was like water. Credit card companies - well loans in general were practically given away. But we all know that - it is old news.

But let us look at what would have happened if we lived a moderate lifestyle. Would we have died because we didn't have a top of the line gaming system? Would we have died if we actually ate food at home? Would we have died if we had a TV that worked and only took up an 1/8 of a wall? No.

Consumer confidence is not low, consumers are just waking up and saying, "maybe I should just hang on for a second and see what it is I really need".

These stimulus check that are hitting banks this week should buy something of value. Get something that will help you in the future. No, candy does not help you.

Instead of consuming your wealth - collect it.

What to do with inflation

There are many things to do with your inflation. It can be both entertaining and fun, yet it does have its down side.

First let us see what we can do with it.

1. We can watch it grow, even when things are trying to snuff it out or even hide it.
2. We have always wanted to see big numbers roll through out bank accounts and now we can!
3. Who ever thought they'd ever pay as much as they do for groceries.
4. When paychecks catch up to todays inflation then we can roll in the dough.
5. What a great conversation piece. Inflation and recession.
6. If we find ourselves without enough cash on hand we get the opportunity to experience life like a pioneer.
7. What a great weight loss program.

Now to be fair to the other side, lets look at inflation downfalls.

1. The weight loss comes from lack of available food.
   
2. Pioneer living isn't as great without a piece of land, tools, and seed.
3. Paychecks for those people who still have jobs, won't follow inflation rates close enough and even with more pay - prices will far surpass affordablity.
4. The more people try to hide inflation, place a band aid on it, the worse the situation will become.

What can we do?

1. We need to stock our pantry. Buy in bulk.
   
2. Buy silver. Yes, many people say they wouldn't buy gold or silver because it doesn't grow like a mutual fund - but it will always retain value around the world. The dollar is worth only what people around the world believe it to. Have some silver on hand.
3. Get out of consumer debt. Credit cards that hold balances, loans with variable rates.

What are ideas that you have to help prepare for the oncoming inflation.

Can the government reduce gas prices?

We saw a headline on our way out the door this morning, "Will the next president lower gas prices?"

What are people thinking? The only way for the government to truly lower gas prices is by reducing or even removing the taxes we pay per gallon. Other than that gas is an industry, it is not up to the government to raise or lower prices.

But how can you reduce your gas cost? Invest in oil companies. Stop driving so much and take public transportation. If you are looking to lose weight or get in shape - now is the time. Spring is here and good weather is on its way. Learn to walk or ride a bike. Consolidate trips. Buy in bulk. Plan ahead.

Food prices; gas prices

four years ago when we started buying food in bulk people looked as us as if we were silly. We started out with carts and carts full of food at the checkout line. One lady said we were dumb and shouldn't worry about things like stocking up on food because nothing is going to happen.

We've always been aware of commodity products, essential needs - basic products. And in reaching and studying the markets we saw oil price reach over $100 - Then with the possibility of using corn to gas up our cars that just added more stress to the food market.

It is important that people have a basic supply of food at home. Prices, with high inflation imminent, are only going to require you to stretch your dollar as far as it can go. When you purchase your flours, sugars, and long-lasting shelf items, you are hedging the food market (in your home at least).

We buy awesome food from everyday food storage (1stopfoodstorage.com).

It is time to start living life like a millionaire and stop throwing your money away at trivial items such as buying DVDs when you can get Netflix or running to the fast food center when you could pack a lunch. Little changes in your everyday living will help create a big impact on your future.

Continued thought.....

After reviewing the situation that we had a few days ago (the checkout line). I thought about it, asking some one who is in line to help pay for my items isn't so weird.. If we were to turn into a socialist country then a FAIR portion of his paycheck will come to me anyway, so if I just wait and watch like every one else soon I will not have to ask any more. This might not be good for any one who is working hard to earn a good paycheck but for anyone whose pay isn't as good (like me, as of now) then it works fine. After all we are all equal aren't we?

You deserve federal money.

Yesterday we went to the store with $5. Unfortunately the items we wanted came out to $17.30. So naturally we asked the person behind us in line to cover the $12.30 we were lacking.

Can you believe he looked at us as if we were crazy! The look on his face was priceless (if the situation had been humorous). This is what we told him.

"Look, you've obviously got more money than we do and we want this item. You should feel good about giving us your money, you should feel bad if you don't. It is only luck that gave you the job you have and because it is luck then you should understand that if you have any surplus money you should be eager to spread the wealth."

He didn't have much to say. Which is funny because he was talking to his friend about the rebate checks and how it will go to help pay for gas.

The last time we spoke to our parents about these checks it was our understanding that the government cannot just print money without any recourse. This money is not free. By taking the money it makes as much sense as asking the person next to you in line at the store to pay for your things.