Change for the Better?
Let me assure you that I know that decades run from year 01 through 10 and I know we have not really started a new decade. However, virtually everyone in America considers a decade to begin with 0 (as if there had been a year 0) so I will gladly welcome a new decade this year. Some people are trying to name the ten years from 2000 to 2009 and such titles as Decade of Despair and Decade of Lost Hope spring to mind, but we should optimistically think of the years 2010 to 2019 as the Decade of Determination.
There is little chance that wages that have been stagnant for 10 years will suddenly jump or that new industries will be created quickly. Success in the next decade will require hard work and adaptability. People will learn to do more for themselves. People will learn to save even when money is tight. People will learn to spend more carefully and give more generously. People will learn to substitute time and talent for money. Of course some people will do better than others and the key is preparation.
Here is The Budget Doctor’s prescription for preparing for a new economy:
1. Learn to save.
It doesn’t matter what you earn; 10% or more must go into savings. The people who best survived the last decade were those with money in the bank and a talent for spending less than they earned.
2. Learn to do things.
Change the oil in your car. Repair broken dry wall. Replace worn out light fixtures.
Don’t pay to have it done if you can do it yourself. As a bonus, you can then claim
new skills.
3. Learn to barter.
Before you pay for anything, consider other forms of exchange. Accountants can do taxes in exchange for dental exams. Gardeners can trade tomatoes for mulch and everyone can trade time. Babysitting cooperatives permit parents to exchange sitting jobs so they never have to pay cash.
4. Learn to share.
The best way to save money is to share. Loan your tools and expertise and others will want to share with you. Buy vegetables by the bushel and offer to can or freeze them with neighbors. Offer to carpool when going grocery shopping. Firing up the grill? Ask the neighbors to bring over their hot dogs and share the charcoal. Most things are better shared and life is richer for sharing.
5. Learn patience.
Relationships are not formed in one meeting. Skills are not mastered in one attempt. Improvement comes from hundreds of activities over many months and Americans, who cannot have lunch without checking Twitter are far too used to instant gratification.
You only have to watch the celebrity or sports news to see what happens to people with too much money. They often have empty and even destructive lives. People who have to be careful with money become resourceful and independent. This new decade is an opportunity to learn resourcefulness. Some people will emerge in much better shape than they entered. They will be the people who were determined.
Success is about to be measured in new ways. Finding a deal on a used car will be better than buying a new car. Living in a small home will bring more respect than purchasing a McMansion and having a support network of 50 people will mean much more than having 500 friends on Facebook.