Wednesday 23 November 2016

Hedging My Bets

Okay, so yesterday was payday which means that by now, all of my money has been allocated and distributed. 

My bills have been paid or monies set aside for their automatic payment, life is normal, since I am broke once again. Something we all know, all too well.

The exception is that I have a smidgen of money put aside in case something goes kerblewie and/or life tosses me a slight bump in the road.

I am about to embark on a phase where I hand most of my money over to the bank and in essence give it away. If I need it again, I will not be getting it back (but they’ll lend me more).

This time of year (Corporate Liability Insurance Renewal Time) is always a stressful time for Boss, this year is no different. 

It was an off-handed remark of his which set me on this journey of being an Urban Nomad this time of year three years ago.

That comment was his openly musing to just “pack it in” and “close up shop” and “get a job elsewhere.” 

This year he just vented about the stresses of a small businessman, but I could tell that the temptation was there.

This is also complicate by the murky and uncertain future of trade relations between us up in Canada and getting access to the market where 80% of our sales directly into.

Being a small company, my immediate fiscal future rests on the whims of one man and the fluctuations of the market and the access thereto. 

With this in mind, I gave myself a bit of a “fiscal stress test” yesterday and found that if I were suddenly unemployed (for any of a thousand reasons) I would not fair well, 

This goes especially if there was a delay, or I was ineligible for, unemployment insurance. This gave me a chill and a moment of pause.

It is for this reason that I will delay the start of the new Wanda Loan Paydown Plan until my January 7th payday.

For this payday and the two in December, I will focus on building up my savings. I will still go on my Christmas Break, but whatever cash I can spare will go into my two savings accounts (Mid-Term and Long-Term).

Since I am not talking about taking an epic trip to Vegas or buying that stellar laptop, but instead socking cash away, this cash can and will be used to finish off the Wanda Loan in November.

Yet, at the same time, I will have this pocket of cash to live on if the need arises. I need to be prepared for just about any eventuality that can be solved with cash.

I don’t want to borrow money, as I like keeping my credit cards at a zero balance and the thought of being totally debt free is what keeps me going.

So, this is the new plan, as it stands.

As always: Keep your head up, your attitude positive and keep moving forward!

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