Most Americans are going to get a small influx of money in the next 60 days, due to two separate events. First, the 1.9 trillion dollar COVID-19 bill that is 90% about bailing out Democrat-supporting regions of the country will include some sort of stimulus checks, likely the $1400 per individual. Also, most people are filing their taxes between now and April, and most Americans will get some sort of refund on their taxes.
The thing is, most of this money gets spent without thinking about future consequences. The local used car dealerships always run “sales” this time of year that mention tax returns, and I’m seeing “stimulus check” sales advertisements popping up now. Yet we’re not going into happy times anytime soon. If you watch the stock market and references by the Fed that indicate inflation is going to come roaring back should give us pause.
If you’re not one to care about the Fed, then look more locally. Wood prices at Lowes and Home Depot are well double what they were a year ago, between the boom in home building due to low interest rates and COVID-19 shutting down the lumber mills for a time. Gas is more expensive now. I’ve had more Amazon packages getting delivered late than ever before. Stores are still running out of basic items, and while this is infrequent now, remember that is essentially never happened in the past.
All this indicates we’re in for a bumpy ride for at least two years, if not four. I’m not going to get caught unprepared for this, and you shouldn’t either. I suggest you prioritize spending this way:
Debt. Get rid of any debt you can. Car almost paid off? Pay it off now. Credit card debts? Pay them off or work a forgiveness plan, an especially good idea now since card companies are also taking advantage of low interest rates. I would also refinance your house if you haven’t done so. Most people can’t simply pay off their mortgage, but you can make a principle payment to pay it off earlier, and shifting to bi-weekly payments (if your company allows you to) will cut years off the back end.
Build up supplies. COVID-19 taught us that everything from toilet paper to sweet potatoes will be in short supply. It’s going to happen again. Rather than fight lines at a store, build up a 1-3 month supply of basics that don’t really ever go bad: bottled water, paper products, disposable eating utensils, soap and cleaning supplies. You should also keep about 2 weeks of meals in reserve. I have things like spaghetti and frozen foods that can keep for a long time just hanging out. They occasionally save me when dinner decides to catch on fire, and when the stores were swamped in the initial stages of pandemic, this food let me stretch our groceries further.
Fix what you can. Americans are pretty handy people, but we also can be lazy. Plenty of homes and vehicles have little things that need repair. Get those done now. Don’t wait forever on car maintenance. The pandemic backed our local dealership up by a month for appointments. Same goes for home maintenance, even if you do it yourself, you may not get the supplies when people buy out the stores.
Set your investing on automatic. Unless you’re smart on the stock market, you’re best off making long term investments on mutual funds. Whatever your investing strategy, put it on automatic through automatic funds transfers and investments. Too many people get scared when the market comes down and sell, which is the worst time to do that. Putting it on cruise control helps you take advantage of the down market over time.
Build up your local network. This may not cost much money, but its critical. Do you know your neighbors? Do you know a local electrician, plumber, car mechanic and veterinarian? Remember how even routine house calls for minor issues became a major problem in the pandemic? You avoid this by knowing local people. Now is the time to get to know them and be on good terms, so when you need their help in a pinch, you can get it.
Don’t throw your stimulus to the wind! Set yourself up now to get through the trying times ahead.
This post represents the views of the author and not those of the Department of Defense, Department of the Navy, or any other government agency.
Facebook is everywhere. Our kids dance studio uses it to communicate with us. The Submarine Base in Groton uses it to let you know when the base is closed due to snow. The military’s Airlift Command uses it to notify people of upcoming flights. Facebook’s ease of use caused many places to use Facebook in place of email, website and texting notifications and updates.
All that dependency comes with a price, because Facebook is too big to care. Instead of being a neutral platform, Facebook took sides on issues. At first, it was non-controversial, like when Facebook would remove suicide videos or obviously pornographic images. But it became too much of a temptation, and it wasn’t long before Facebook was manipulating news feeds and canceling whomever it willed.
If your small business or club relies on Facebook for communication, you’re vulnerable. Whenever the military invades an area, the first thing they destroy is enemy communication platforms. If you can’t communicate, you can’t organize, and you certainly can’t get anything useful done.
To illustrate this point, I once spoke with firefighters that rescued people in the aftermath of the Twin Towers attack on 9/11. One of the things not discussed is that there are a lot of cell and radio towers on the Twin Towers. When they came down, it crippled cellular communications in the area. Firefighters and police resorted to runners to pass messages while pulling people out of rubble.
You are much better off, and much safer, with a good email system, blog and website, plus a social media platform that respects you, like MeWe. Because if Facebook can cancel Australia, what stops them from canceling you?
This post represents the views of the author and not those of the Department of Defense, Department of the Navy, or any other government agency.
Last Monday the Justice Department asked 56 U.S. attorneys to resign. There were two exceptions, John Durham, the U.S. Attorney for Connecticut, will stay on as the special counsel for the investigation of the Russian collusion hoax, and David Weiss, the prosecutor for Delaware, who is pursuing the probe into Hunter Biden’s taxes, and presumably, more.
Among the others are John R. Lausch Jr., the US Attorney for the Northern District of Illinois, which of course includes that cesspool of corruption, Chicago and suburban Cook County. Appointed in 2017, Lausch has been methodically hacking away at the blighted forest that is Illinois government ever since. Among those indicted under Lausch’s term are a Chicago alderman, two suburban mayors (one of them was also Cook County commissioner), and two members of the Illinois General Assembly. They have one thing in common–all are Democrats. Lausch has chipped away at the political machine of state Representative Michael Madigan (D-Chicago), who until last month had been state House speaker for all but two years since 1983. Lausch uncovered an alleged scam involving Commonwealth Edison, Illinois’ largest electric utility, that has led to the indictment of four senior executives at that company, as well as a longtime lobbyist with decades-long ties to Boss Madigan.
Madigan is the midwife of the Illinois pension debacle and he is the man who destroyed Illinois. Sadly, those aren’t crimes.
Lausch seems to be closing the ring on Madigan, who remains as chairman of the Illinois Democratic Party, a post he’s held since 1998. Madigan maintains his innocence and he has not been charged with any crimes. But he’s a tough one to investigate–Madigan doesn’t use email and he doesn’t own a cell phone. There’s a lot of smoke surrounding the 78-year-old legislator–but so far no fire has been discovered.
It took a lot longer than it should have but Illinois’ insipid Republican Party, the Washington Generals to the Democrats’ Harlem Globetrotters, finally pursued tying other Democratic candidates to Madigan, which led to a pretty good, but not great, general election for conservatives last autumn. The best result was the resounding defeat of the so-called Fair Tax Amendent, which would have replaced Illinois’ flat rate income tax with one with graduated rates. As I’ve quipped a few times before, Illinoisans finally figured out that if the Democrats were given an unlimited budget they would exceed it.
After the general election Illinois’ two Democratic US Senators, Dick Durbin and Tammy Duckworth, called for Madigan’s resignation as party chairman. No, they didn’t suddenly realize that Madigan is toxic to Illinois; Durbin and Duckworth didn’t like the general election results here.
The state House took care of the speakership problem, the Democrats ousted Madigan last month but replaced him with a longtime ally of the Boss.
The day after the Justice Department announced those federal prosecutor resignations, in what the Chicago Tribune called “a lame news release,” those two party-line hack senators called on Biden to keep Lausch on the job. I am very suspicious of their motives. Duckworth is up for reelection next year and if the federal investigation into Chicago area corruption stalls she might get the blunt of the blame for not convincing Biden to keep Lausch in place.
Durbin is the new Senate Justice Committee chairman and prefers not to be accused of keeping corrupt Dems in power in his home state. Back to gerrymandering and Madigan: Aftet the 2010 census the state congressional map was redrawn to be much more favorable to Democrats. The 8th congressional district was transformed from a competitive one to a layout favoring Democrats. In 2012 Duckworth ousted the Republican incumbent, future never-Trumper Joe Walsh.
Remember, for many Democrats Madigan has been very good to them. His skills at gerrymandering have produced supermajorities in the General Assembly and have bolstered Democratic numbers among the Illinois US House delegation. There may have never been a Senator Duckworth had she not won that House race in 2012. Through government and compliant corporations like Commonwealth Edison, Madigan has been able to hand out contracts, favors, and jobs to those loyal to him–as well as their relatives.
Lausch needs to be kept on the job in Chicago.
Biden’s nominee for Attorney General is Merrick Garland, a Chicago area native who was nominated by Barack Obama to the US Supreme Court seat that eventually went to Neil Gorsuch. But he hasn’t lived here in decades. Yet my guess is that Garland has kept his eyes on the fetid muck in Illinois. Perhaps he can put in a good word for Lausch to Biden or whoever is making the calls in the White House on federal prosecutors.
Sorry to be repetitive, but I have to keep mentioning this fact. Illinois has lost population every year since 2014.