Plan Ahead Financially

When worried about high inflation or simply a personal cash crunch, we need to have reserves of literally solid investments. No, I am not talking about gold or silver or another precious metal. This article is on far more practical physical investments, which can help you in difficult times.
These tips will help you whether inflation hits 20%, during a job loss, or an act of God or nature disrupts your life.

1. A 4 week food reserve Why? If your bank closes down, or you are snowed in, or roads are closed for rioting for a while, you’re not left hungry from the inability to get to the store.

2. A 30-60 day stock of any essential medications you or a family member needs Why? Same as item 1. Additionally, you risk needing a refill precisely when the doctor is on vacation or the pharmacy is closed. Another advantage of a larger supply is that buying “in bulk” saves money per dose.

3. Heat source other than your gas or electric items. Why? Same as item 1.

4. At least $1,000 cash stashed in your home. Why? Same as reasons one, two and three, but for yet another reason as well. Imagine another banking system virus that shuts down ATMs (already happened in 2003 due to a Microsoft Worm).

5. At least a week of water / juice / hydration Why? If your municipal water is contaminated, pipes are broken due to an earthquake, or if the construction crew was careless and cracked your pipe and the city can’t afford to fix it for a while, you aren’t left high – and literally – dry.

6. Next size up of essential clothes like jackets, underwear, and one pair of shoes for kids. Also have 2-3 packs of next size up diapers for babies. Why? Kids grow. (If not, see a doctor.) Unfortunately, we often don’t realize that they’ve literally outgrown their britches until something breaks.
If you have a spare next size up jacket, you don’t find the dual emergency of a child too large for the jacket they had and not being able to get to the store or having the money to get another one. And the shock of not being able to fasten a clean diaper on Junior while stranded at home is not an emergency if you have a stash of the next size up on hand.

7. Spare glasses and other medical equipment Why? If your only pair of glasses breaks, you may find yourself both blind for lack of another pair and too strapped for cash / credit to get another pair. So have at least one spare pair of eyeglasses on hand. The same goes for hearing aid batteries, wheel chairs for those who are mobility impaired, and other medical equipment a family member is dependent on.
This prevents the theft of such an item or its damage or simple wearing out from becoming both a health disaster and financial one. If you have the spare on hand, use the spare and search for options for a new one at leisure.

8. Car maintenance emergency stock Why? If your car can’t go, neither will you. Have a gasoline can or gasoline substitute on hand. Car oil, other car fluids, and a spare battery can also be life savers.

9. Pay off all of your secured debt. Why? Car loans are between five and ten percent right now. You cannot get that rate of return in the stock market, and you cannot afford to pay those debts when unemployed or during high inflation. So pay it off now.

If you own your car out right, you do not have to worry about repossession if money becomes tight. If you own your cars, pay off your house. Late, lost or stopped credit card payments ding your credit score. Late, lost or stopped house payments can lead to foreclosure. These literally physical investments can prevent a sudden need from become both a financial and personal emergency. Consider it an investment in your personal security and sanity