Tag: money

Tariffs are here

August 14, 2025

OMG. What are we going to do now that all these prices are going up? With over forty years in purchasing and procurement, I have done extensive research with my sources in the business community and have identified seven steps to minimize the impact of this crisis on your life.

If you work in the transportation industry, prepare for a possible layoff. Depending on the impact of these higher costs you may have cutbacks on the amount of time you work. Cut back on expenses. Don’t take out any more debt. Try to save as much as you can. Don’t buy frivolous items. Sodas, coffee, lunch or dinner, alcoholic beverages, or lottery tickets are a few things I will eliminate. For the most part it may not affect you at all.

Buy American made. I am talking about things that are made from beginning to end in this country. In our area this is the season for local festivals. Handmade gifts are in abundance at these annual events.

Make your own gifts. You have time. Draw or paint a picture. The next time a friend or family member tells you they like a painting or t-shirt that is a simple design. Get the materials to make it and give it a shot. My walls are festooned with creations from makers I have known for years. Every morning an eagle swoops down on me in bed. Identify what your talent is and create something.

Buy early. Christmas is coming. It will be the same day as it has for over two thousand years. Buy now. Do not wait. I like to save money as well. This is not the year to pass what you want or need because it may be cheaper tomorrow.

Do not create shortages where they are not needed. Did you know that much of the toilet paper and paper towels used in this country are produced in this country? Remember the TP shortage during the COVID pandemic? That was due to shipping problems because there was a truck driver shortage.

Reduce, reuse, recycle. That was popular in the 1970s. Bring it back. Don’t buy things you do not need. Need another piece of furniture? Repurpose something you already have. When I say recycling, I mean give or sell things that are perfectly good to someone else. We have been selling and donating items we have stored for years. We need the room. We do not need the stuff.

Buy items coming in from nontariff Countries. Forget Canada, Mexico, and China or any other country that haven’t kissed the ring. Freight comes in from north, south, west and east. Now is the time to limit ourselves.

There are probably other ways you can think of to save stress over this increase in prices. I won’t call it inflation because certain people don’t want anyone to use that word. I would love to hear your comments. You might be the person who has a better idea than all of us talking heads. Or in some cases the other end of the donkey.

©Copyright 2025 by Charles Kensinger

The Lottery is my retirement plan

June 4, 2025

Is this your attitude to estate planning? Do you play the lottery in your state or wager in other ways regularly? In my state of Missouri, the lottery began on January 20, 1986. Do the math. If you purchased one ticket each week from that day to this, you would have spent over $2,000. That does not sound like much over thirty-nine years.

I know some people who “invest” ten or twenty dollars out of each paycheck. That puts you out of pocket up to more than $20,000. Check the lottery website for your state. Statistically speaking, if you put that amount in the bank for the same period, you would still have the money. It would be earning interest.

Do you have that much in your retirement fund? Why not? Ten dollars a week is less than one meal out at most restaurants. Do you smoke, or drink coffee, sodas, or beer? Could you give up that much of those for your future? We don’t think about it that way.

If your employer offers a matching plan on a 401k account of up to four percent of your annual wages like mine did this would take away about $2,000 each year from your salary. They added that to my investment. I quit buying vending machine food at work and saved that much. I could pay my bills with forty dollars less each week. That would be $90,000 by the time you retire. Add the interest to that.

Remember that some accounts compound interest daily. At 5% in 45 years, you would have more than double what you put in, as interest in your investment. The amounts will vary. Check with your company or bank for a return on what you can afford. I think you will be surprised. A financial planner can help you as well. Make sure you get their charges in writing before they receive your money.

Some people will offer unheard-of returns from speculating on a wild shot. These are usually no better than the lottery. Before-tax money may not be the way you want to invest. That money may not be able to be removed before you reach a certain age.

The mantra to remember is to start early in your career and invest what you can from every paycheck. Most of us do not start saving on our first part-time job in high school or college. A friend of mine taught his children by buying them a used car when they turned sixteen. He and his wife required a payment like a loan company would charge on that purchase each payday. When their child decided they needed to finance another vehicle they would give them a check for the money that had been paid to them plus the interest earned at the bank.

That amount was how much the next purchase could be. These students learned it was better to pay themselves and let the bank pay them than pay interest to loan companies. I wish my parents had done that for me.

Think about how you spend, invest, or waste the money you earn. Wisdom does not have to come with age. Begin wisely and things will get better for you as your responsibilities increase. Do not learn it the hard way like I did.

©Copyright 2025 by Charles Kensinger