It is the company sports day today in Finland, but unfortunately I am unable to attend and am instead, working... That sucks a bit, but at least it is pretty quiet, since most of the people I work with are out of the office and, those in the US are just starting to wake up. It is a half-day thing, plus a dinner, so it was busier earlier in the day as we are coming up to the end of quarter, which always kicks people into gear, as there are bonuses attached. And the bonuses can be pretty good for some people.
For me, they are okay enough that it will beat the inflation rate, for a while. At some point though, it is not going to do that, as prices are rising fast across many sectors simultaneously, but the wage increases are years behind for most people. This means that while the percentage for the bonus will beat the inflation rate this year, the bonus is dependent on the salary base, so if that isn't increases, there is an overall fall in value over time and this fall is going to affect everyone.
People end up buying less because they have less to spend and the first things to get cut back on, tend to be the ones where local people are owning, working and producing. For example, I am pretty sure that in the not too distant future, my own business is going to start losing work, because training is something that is the first to go to "save money" - even if it is a flawed approach that often leads to more loss and issues.
If the economic conditions are handled badly, this is going to have massive ramifications across the entire globe and it is going to reverberate for years, possibly a decade or more. And, I think what we can probably all agree on is, the chances of this being mishandled is very high.
Personally, I am not looking forward to it, because no matter what I have done, I don't feel I am ready, but I guess that like everyone, more belt tightening will be on the horizon - so best prepare for it now. Just like training in a gym for a sport, preparing for economic "activity" is vital to perform well on the field of play, but I at least, don't think I have ever formally been shown how to use use all the equipment.
There are so many financial tools and techniques out there, each with their unique set of pros and cons, that it is impossible to understand them all, let alone participate and invest into them all. It really is no wonder that so many people stay away from crypto, especially if they are investors - because the understanding needs to be built and that takes time, as well as skills that don't necessarily get flexed during traditional investing, like understanding the technology. I know for me, a lot of the traditional investing possibilities go over my head, so I stay away from them.
I feel like if I just had some more time on my hands, I would have prepared better, but the fact is, I have had decades, and still have failed. Why is that? I guess it is that "avoid the uncomfortable" that we have inherently in us and that if we don't overcome, we end up getting more uncomfortable. It is pretty annoying.
I am doing better overall of course, as this isn't a new revelation to me, but it is still frustrating to feel financially ill, when I know that I have had the opportunity to be far healthier. But, it is not too late to get into shape - Well, *some kind of shape that is healthier than today.
Working for bonuses is not going to make most people wealthy, unless their position is of the kind that the salary itself makes them wealthy, even without the bonus. However, so much effort gets put into chasing what doesn't return that much value, whilst opportunities that could return compounded benefits, get left aside because there is no time.
At some point I guess, we will learn either way whether we have done enough or, neglected to do what we should have done. What I am hoping though is that if given the chance, over the next few years I will be able to get my daughter a better start in handling her own finances than I was given. At least, someone should benefit from the training.
Taraz
[ Gen1: Hive ]