I was talking with a friend recently. We were talking about preps and money and he said "I just don't know what to do". As I lay in bed waiting to fall asleep I thought about that. It has been in my head for a couple days now.
What to do? Well first I have to say that I do not have a crystal ball or anything. If I did we would have won several hundred million dollars in Powerball. Our time would be split between a little place near our families, our retreat and our awesome sail boat. However since I still have a job and no awesome sail boat this obviously isn't the case. [I guess it is probably smart to have an explicit disclaimer. I am just a guy who writes a blog, not a financial adviser or an accountant or whatever. You're an adult and you make your own decisions.]
What should you do to prepare for the future. Here are some thoughts in no particular order.
1. Make yourself as employable as possible. In more situations than not our current economy will be functioning in some form or another. You are going to work to get money to live. If/ when unemployment goes up even more less qualified people will find "crap jobs" as their only options.
2. Stay out of debt as much as possible. In particular avoid adjustable interest debt.
3. Diversify. I don't know what is going to happen but I think it is going to be a wild ride. Compound interest working in your favor is good. Having some gold and silver is good. Real estate if done in the right way is good. Having a few things you could barter if need be is good.
4. Don't get too attached to anything. If the area you are in goes down the tubes in terms of crime or the job market then consider moving somewhere else. Saying "but I live here" isn't much conciliation when it is hard to get a job at McDonalds because unemployment is 25%. I have a distinct feeling that economics and or crime will make some regions of the US undesirable places to live. [I don't think the odds are long that economics are going to continue to drive people out of the rust belt. However if I had to wager one trend I would say that people will start moving away from the Mexican border/ Southwest in the coming years.]
5. Going along with the last one. Do not be afraid to act decisively. If it is time to convert one currency to another or get the heck out of dodge a couple days (heck even a few hours) can be the difference between preserving your wealth or safety and being left broke or stuck in a bad place.
6. Save, Save, Save. I think the next decade is going to be a wild roll a coaster of a ride. Periods of income disruption and unemployment are going to become more common. Unemployment will go up (probably then back down then up again, etc).
7. I say this one last because it is pretty much survivalist bread and butter. Have the means to feed, protect and generally carry on as normal of a life as possible for a reasonable period of time (if not longer).
What are you going to do?