Inflation is here to stay.
Hyperinflation may be coming.
So how do you prepare for inflation or (dare I say) prosper during inflationary times?
If you’re like me, you understand that your J.O.B stands for “Just over broke” and it’s probably not going to keep up.
It’s going to end up making you more broke.
I’m still waiting on my raise this year and we’ve been told it will be about 2-3%.
Well… Yippie Freakin’ Doo.
Inflation is at roughly 9% and I might get a 3% raise.
If you’re in the same boat or worse, keep reading and I’ll share some of the things I think make the most sense to prepare for inflation.
What is Inflation?
Many people think inflation is prices going up.
What’s actually happening is that your dollar is becoming worth less.
People versed in inflation will hate me for this but at a practical standpoint, yes prices are going up.
We can keep that simple definition.
I know it’s fundamentally wrong but that’s what the concern is.
This means if you want to prepare for inflation you need to stockpile money or start making more and let’s be honest, if you couldn’t stockpile money before, there’s little to no chance you’ll be able to do it now.
Even if you could, you couldn’t stockpile enough to keep up with rising prices.
And for the record, passing out money isn’t going to help, it actually makes inflation worse and increases the chances of hyperinflation.
Why Inflation Stimulus (Printing Money) is a Bad Idea
I won’t say much about this because I said it better in video.
So here ya go.
What is Hyperinflation?
Hyperinflation is just what it sounds.
It’s inflation at hyper speed.
It is what I believe could possibly (but hopefully not) be coming.
That’s when inflation starts getting so out of control your dollar is being devalued by the day or hour (or minute)!
It’s a sick economic condition that can destroy a country.
Hopefully it won’t happen but let me cover it quickly before I get into inflation.
How to Prepare for Hyperinflation?
If this is your concern and you want to prepare for hyperinflation then you’ve got to make massive changes (unless you’re already semi-prepared).
You need land, self-sufficiency, and something to trade.
The best recommendation I’ve ever heard came from a guy who lived through hyperinflation in Venezuela.
He said buying gold and silver was NOT the way to go.
It’s just not practical in times of hyperinflation.
What you want is something that works like passive income but gives you something to trade.
His recommendation… egg laying chickens.
You can provide food for your family.
You can also trade eggs for just about anything.
Just increase or decrease the number of eggs you give.
Something somebody doesn’t want to part with and you want bad… offer more eggs.
Something simple and easy, offer less.
That’s all I’m going to say about preparing for hyperinflation because I could go on and on.
You might want guns, bullets, a water source, an energy source.
Basically, self-sufficiency is what you’re going for.
But regular inflation is different.
How to Prepare for Inflation?
Preparing for inflation requires some thought and some time.
Getting a 2nd job is not the best option.
Sure, it will get you through for now but at what cost?
Loss of time with your family?
Loss of Health?
Burnout?
Besides, what happens when inflation rises so much that you can’t keep up even with two jobs?
Do you get 3? 4? 5?
The best thing you can do is dig your well before you’re thirsty.
I’m not sure where that phrase comes from.
I think it’s a book.
Anywho, it means that you’ve got to take a look at what’s coming and start to prepare now.
There are a few things you can do to successfully prepare for inflation.
Prepare for Inflation by Cutting Back
As costs go up it will affect almost all your household costs.
The best thing you can do is to prepare to (1) cut back on expenses and (2) Stabilize the expenses you can.
So what do I mean by the statement above?
Let’s talk about cutting back first.
You don’t have to cut back until it’s time to cut back.
But when it’s time, you have to be ready to pull the trigger.
That could mean getting rid of the extras.
Maybe you can cancel netflix, hulu, HBO, cable, your gym membership, the extra starbucks lattes, eating out so much, etc.
These extras are different for everybody but you’re probably already thinking of yours right now.
So whatever you’re thinking about, just be prepared to cut it out of your life for a time.
Prepare for Inflation by Buying Now
This one seems counterintuitive but it’s really not.
I’m not saying go on a shopping spree.
But I am saying to stabilize your monthly expenses and do it before prices go up.
If you know you will need a new car in the next 12-18 months and you can afford a payment on one now, I suggest getting it now.
Your payment will be lower than if you buy after inflation and it though the car payment adds to your monthly obligation, if you can afford it now, lock it down.
If prices go up or go up too fast and you can’t afford it, you’ll still need a new car so lock it down now.
On the other hand, if you have a good car that is paid off or will be in a few years and you know it will last many years after that then don’t buy one.
Focus instead on trying to pay that one off and then don’t get another one.
Next, if you are renting, I suggest buying.
I know real estate is expensive but if you can get into a 30 year fixed mortgage you will know what your payment is going to be for the next 30 years.
We’ve all seen the rent increases that have come and they are just the beginning so lock down your monthly housing payment by securing a mortgage.
I know some of you reading this may not be able to do that.
But start working toward it now.
I’m really talking to those of you right now who are reading this and choose to rent because you just don’t want the headache of ownership.
I’m not going to go into that too much but I will say it is flawed thinking.
Historically, real estate always eventually goes up.
You can get out of your house in the future by selling it.
Rent will always be what the market determines.
I have 1 rental and I will always rent it at market value.
My payment on it has stayed the same but my profit goes up every time there is a rent increase in our area.
Don’t risk being priced out of the rental market or moving your family to an unsafe area so you can afford a roof over your head.
Go ahead and buy a house now.
If you get the right lender and house, you can get into a house for 3.5% down.
If your credit is bad, cut up your cards and start working on paying them off with a fierce determination not to add any more to the amount you owe (hence the recommendation to cut them up).
Make More Money
Lastly, you need to make more money without taking a 2nd or 3rd job.
You need to get extra income coming in that can grow exponentially otherwise you’ll burn yourself out trying to keep up.
This is easier said then done so start now.
Don’t skip over this part!
Rather than write it all down, I’m sharing two videos below that will walk you through the best ways to increase your income and prepare for inflation.
And this one is how to use inflation to your advantage and profit from it.
And this one… well, this one is just for fun.
What Would Happen in an Economic Collapse
Related Posts:
11 Ways to Make Money from Home
27+ More Ways to Make Money Online
If you’d like a personal relationship with Jesus Christ, visit our salvation page.
God Bless,
Jason and Daniele
Consider building a stacked affiliate business and letting us walk you through it.