Here is what I see coming for the next year. It is my idea of cause and effect and by no means what must or will happen. It’s simply based on what I have read in history and educating myself in a crash course in Economics.
More and more “strategic” defaults on Mortgages will happen. I think the little boost we have seen in spending and saving are a lot of homeowners have just given up on keeping their homes and are trying to get ready to walk away from the loans and have a good holiday before they are foreclosed on. I don’t blame them the Big banks have committed fraud aided by the Feds at level as never before seen. If you are facing foreclosure ask to see the note from the bank. A friend of mine was looking at a short sale he asked to see the note and the bank finally worked out a new payment and loan for him.
Food, clothing and taxes will go up next year. As you have already can tell on food and it’s going to get a lot worse before it gets better. I think energy cost will also rise for most folks. So you will have less take home pay and everyday items will get more expensive. So what does this mean to you?
- Get extra food and clothing. NOW!
- Get seeds and gardening tools
- At least a hot pack canner, if you can afford it a pressure canner, jars and bands.
- Learn cooking from scratch; Bake your bread Get a few cook books and try new things to eat.
- Laundry soap, toothpaste/brushes,soap, paper towels and cleaning supplies. Any thing you use in a month try and get at least 3 months worth.
- 1st aid, medicines, Toilet paper, Feminine needs, razors and deodorant. I like dollar stores for these Items.
- Don’t forget your pets they need food and supplies too. Don’t think the can get by on table scraps, it will make them sick.
Now the good news for you I hope. You are some what prepared, or have done my $150.00 food shopping list and you are looking at making yourself more prepared for the future. Equipment is going to get a lot cheaper. Many folks have a lot of “Stuff” and they will sell/trade it to get the basics and or a little cash to pay the bills. I want you to check out pawn shops, classified ads, yard sales if they are having them where you are at and bazaars. Have a list of your most critical needs and see if you can get them or see what they are going for and you can have an idea what to pay.
- Cast iron Skillet and or Dutch oven.
- Hand tools
- Camping gear
- coffee percolator/French press
- Pasta machine
- Blankets and sheets.
- Gas grills or kerosene stoves and lamps.
- Guns and reloading equipment. (Pawn shops)
I think one of the most wonderful feelings is when you run out of something and then walk to the “Pantry” to get it instead of running to the store. I hope we have a little time left for cheap food and clothing. But I think 3-6 months at best. Just getting the basics will cost a lot more. Hopefully you will have those basics and will be able to get the equipment cheap so you will break even.
If I am wrong and everything works out. There is no crash, well you will be prepared for any storms, minor emergencies and have a great camping/tailgating set up. You can give some that food to a local food bank or not go shopping for awhile and take a vacation. Pay down a few bills or get a Wii.
This is a win/win situation. You survive “Hard times” and you thrive and can do more fun stuff in good times.