Your Inflation Rate
Last week, two of my clients were about to make important decisions.
One is about to buy a commercial property with offices and shop space to house his growing staff. Another is planning to invest in an accelerator and initiate the first tranche of a capital pool.
Each told me that they had confidence in their own business. But both expressed fears about the world economy.
Should they take the risk?
And most importantly – How do they get the information to even make a good decision?
It prompted me to review all the sources of information I get on a regular basis – economic reports, wealth management advisor updates, big-five consulting reports, think tank opinions, etc.
Tons of paper. Little consensus. Zero action plans for the ordinary business or family.
Do I have a definitive opinion for you? Yes.
I’m planning to do a webinar in May that will review my opinion on economic indicators that I think will influence our lives in the next 2 to 3 years. My approach will not be like the reports I mentioned that are all flying way up there at the 100,000 foot level.
My approach will bring things down to the family and small business level.
Preview: Yes, we are already in recession! Stay tuned for what to do about it.
Today I want to help you prepare for that webinar. I know there are many other opinions out there. But I’ll bet none of them will give you some actual action steps to prepare your family and business.
In the next few days, I will go over some economic indicators for your home and family -- and your business.
Your homework is to do gather data on each of these items and get them on paper.
TODAY'S INDICATOR: “YOUR” inflation rate.
- Do you believe the official inflation rate? I don’t.
- Get out your grocery bills, gas receipts, utility bills, and other regular household expenses like meals out, clothing, recreation, taxes, and entertainment.
- Calculate YOUR inflation rate. Compare typical items this month to the same month a year ago. Calculate the percentage increase.
- If you want to get real technical, multiply each item by it’s proportion of the total spending (I realize this could be a lot of work but it is worth it) to get a weighted average, which you then turn into an overall inflation rate for YOUR family, YOUR business.
Information about the webinar will be in our daily micro-emails for your business success.