Two nights ago, around midnight, one of my fraternity brothers put in our group chat “Drop everything and go get gas!!!” He had heard that there was about to be a rise in gas prices.To provide a disclaimer, I go get gas every Sunday after church from a bulk store I have a membership at but, even still, knowing that gas will rise in price, I still didn’t “drop everything.” Know why? Because I am working to economy proof my family (right now, it’s just my wife and me but eventually there will be more).
Economy proofing is important. You don’t want to go into a deep depression every time a gas tank explodes because you don’t know how you’re going to get to work. You have to have enough money to handle the extra 18 cents per gallon that economic crisis bring. Because those crises will come. It is inevitable in this day and age of capitalism.
But how do you do it? How do you economy proof your household?
I have a few tips but I strongly suggest you speak with a financial advisor and, in the meantime before your visit, check out Makes Cents 2 Me, the site that my advisor, George Acheampong, created to assist those of us who need help with our financial literacy. I strongly suggest you check his site out and contact him (or another professional in his field if you know one) for assistance.
But here are my 3 cents…
- Get a better job. If your job doesn’t allow for you to save anything outside of what you make, it’s time to move on. Start thinking about your future and the future of those you love. Not being able to save doesn’t just hurt you. It hurts those connected to you because, after your death (an inevitable and sometimes unexpected part of life), you leave nothing behind but debt if you don’t plan.
- Save. Life happens. Economies crash. Companies go under. You cannot go through life living day to day. I have seen it happen first hand and the end is never pretty. Every dollar you get, make an intentional effort to put at least 10 cents in the bank. That way, when all is said and done, even if you make $120,000 every decade, that’s $48K saved, before interest. Now, imagine tacking on interest. OR imagine, taking my first piece of advice and getting a job that pays better so that annual $12,000 quadruples to almost $50K! Wowzers. Now you have $200K, before interest. And that’s just in one decade. The possibilities are endless.
- Cut your expenses. When the economy hits, if you can help it, you never want to change your saving habits. What can you cut? Maybe the cable. Maybe you can lower your monthly data allowance on your phone if you’re never near reaching it. Find things that you don’t need and find creative ways to move money around. You can do it. So do it.
Fiscal responsibility is so important. Poor decisions can ruin your happiness, your job, and your family. Is it worth the pair of Jordans? Nope. So get a better job, save money, and cut your expenses where you can. And check out Makes Cents 2 me. These 4 suggestions will change your life (unless you’re already doing them).
Make professional development a priority.