HOW HURRICANE SANDY PREPARATION TEACHES MONEY SMARTS

By in Automatic Saving, Insurance, Mind and Money, Retirement, Saving | 0 comments

My elderly relatives in New Jersey are facing their second week without power and looking at 10 more days without electricity. We told them to get lots of food, batteries, and prepare for the storm in advance. Their response, “Our town doesn’t lose power.”

We are searching online for a propane or battery powered indoor heater. But then, the problem will be getting it shipped to them in a timely manner. Of course, all of the local hotels and motels are completely booked. And, even if we could find a place for them, it’s unlikely they would go.

TO BUILD WEALTH, BE PREPARED

I love my great aunt and uncle dearly, but their attitude of “Que Sera, Que Sera” (what will be will be) is not a long term successful solution.

PLANNING AND PREPARATION LEADS TO PERSONAL AND MONETARY WEALTH BUILDING

Life is uncertain. Disasters happen both personally and globally. Of course, that’s what insurance is for. And the reason to start saving early is so that in retirement you have a nest egg to get you through. Some folks are wired to think more about the present and less about the future. It’s great to have that slab of chocolate cake now and not worry if it will make you fat or contribute to hypertension or diabetes. But just because you avoid thinking about the future, doesn’t mean you won’t have the consequences of your behaviors.

If you are not a planner by nature, look at he folks without food, batteries and power in the eastern part of the USA and think about getting some water and canned goods for emergency supplies.

Hurricane Sandy gave us the kick in the pants to stock up on lots of gallons of water (one per person per day), and canned goods. In our neck of the woods, an earthquake is more likely than a hurricane and there’s no warning! We committed to adding to our emergency supplies with each weeks shopping.

If you have no emergency fund or retirement savings, consider opening up a retirement account; a ROTH IRA or workplace 401(K) today and funnel a few bucks in every month. Don’t worry about starting with a small amount, even $50 or $100 per month gets you into the savings habit. You can increase the contribution in the future.

Wealth, Preparation, and Money Tips from the Web

Use this disaster as a reminder to plan and prepare for the future.

How prepared are you for the unexpected?