Our World Has Turned Upside Down!

Our world has forever changed. This is my opinion, but I think it’s a safe assumption. Our lives are literally upside-down. What used to be unacceptable is now acceptable and vice versa. We can’t go anywhere we want. We can’t find TP at the grocery store. We can’t discern when this market free-fall will stop. But what we CAN do, at least here in the state I live in, is order alcohol to be delivered with your take out food!

Our world is a little crazy, but it doesn’t have to be scary. This post is a collection of random thoughts I’ve had about our “new world” of COVID-19.

Random Thoughts on Our Financial Situation

Since this is a personal finance blog, here are some thoughts about how this is affecting our money.

We have seen a lot of stock market volatility. I mean, it’s a roller coaster and it tends to take our emotions with it. We are now in a Bear Market territory (more than a 20% loss). After years of the Bull, we have all been lulled into thinking that things will always be great. They won’t. In fact, downturns normally come every 5-10 years. In the possible 25 or so years left in my investment horizon (my mom is 98, so who knows how long I’ll live) I could see 5 significant market downturns. It’s part of life. It stinks, but we’re all in the same boat. And, if you are positioned correctly, it can be used to your advantage.

There are some great resources on this subject of market volatility. One is J. L. Collins’ book, “The Simple Path to Wealth.” In this book, Jim explains market volatility and how to calmly ride it out. Also, one of my favorite bloggers, Fritz Gilbert at The Retirement Manifesto has written a post about our current Bear Market. He explains how this Bear can be used to your advantage. Check it out: “The Benefits of a Bear Market”

The market always recovers. It looks like you’ve lost a LOT of money. Remember, you haven’t “lost” all that money if you don’t sell. Please don’t panic sell and lock in your losses. There are numerous posts and articles about buying when the market is down. Stocks are basically on sale. This can be an advantage if you have the resources to do that. If not, just sit tight.

Do you have a financial game plan? If you don’t have a financial game plan, you need one. Just like every NFL coach, you need to have a plan before the game begins. These are best done before a crisis when you’re not panicked or fearful. Given our circumstances you do need to have a plan for the next few weeks. Then when our lives go back to normal, you should get serious about a long-term plan for your money. One bright side to these shaky times is we’re getting a great education on what to do for our future.

If you already have a financial game plan, has this market downturn changed your personal risk tolerance? If so, it may be time to reevaluate and tweak your plan.

Some of us have prepared well, some of us were living paycheck-to-paycheck and as a result, life is scary. If you are prepared, think of ways to use your resources to help someone else who may have lost a job or is struggling. If you are in the paycheck-to-paycheck group, this has probably caught you off guard and you’re not sure what to do. It’s time to make some hard choices.

Your first priority is the essentials: Food, shelter, utilities and transportation. We’re mostly staying in, so expenses will probably be lower without much effort. You may need to cut everything down to the essentials. Remember, this won’t last forever.

If you have lost your job, don’t let your pride or your fear keep you frozen. Some industries are suffering and others need workers. Check with the grocery stores. They are hiring in my area. They need stockers and delivery drivers. Also, other retail, like pharmacies, may need drivers. Check with Amazon or any large distribution warehouse. They may not be glamorous jobs, but it could be a paycheck for a while.

Do you have an emergency fund? If not, this may have opened your eyes to the need for one. A lack of an EF is one of the things that took Stephen and I down financially in our dark days. My upcoming post of Why You Need a Budget talks more about an EF. It is like an insurance policy against life’s “Oh, $#@&”.

Are you sitting on more debt than you’re comfortable with now? This may be another life lesson to come out of our current circumstances. Debt elimination may need to rise to the top of the priority list. Interest rates have just been lowered. This means you can possibly refinance a car, mortgage, or student loan. You’ve got time on your hands and it could be worth real dollars, so check it out!

It may be smart to cut back on your spending temporarily. We’re kinda being forced to do that. Since we are self-quarantining, we are cooking more at home and not going out for any kind of entertainment. Also, some of our events have been cancelled. It all helps reduce the strain on our budget for a while.

Look after your older neighbors, help out where you can. If you’re in a position to do so, tip big on your take-out order. Think of creative ways you can help your neighbors while still practicing social distancing. Check on older or more vulnerable neighbors who don’t need to be getting out. If you know anyone in Assisted Living/Nursing Home/Hospice, call them. This isolation will leave lasting scars on a person who may already feel forgotten. If you have the resources, give to your local church’s needs fund. They will be ministering to out-of-work congregants. Also, give extra if you can to the general fund. Some churches are already seeing a 30-40% drop in giving.

Stay home as much as possible. This will not only help the general population, but it will help our local small business owners and our over-stressed healthcare workers by helping to end this ASAP. Staying home is what we can all do now. Between the day I started writing this post and the day I have published it, most large cities have instituted a Shelter In Place order. Please stay home unless it’s an emergency or to go to the grocery store.

Hard Choices, Easy Life. Easy Choices, Hard Life.

Jerzy Gregorek

My next post will have a few thoughts on what I have personally learned during this market downturn. See you soon!

The Cards We’ve Been Dealt

(Saturday March 21, 2020. This post was written almost a week ago and many thing have changed in the last week. I will be writing another post soon about what our world and our lives look like now. This is already somewhat out of date, but the sentiment is still valid.)

This post is a combination of a couple of Facebook posts I have written recently concerning the state of our world right now…or The Cards We’ve Been Dealt. I apologize if this is a repeat of something you’ve already seen.

There won’t be a lot of financial stuff in this post. From time to time, I will write about things affecting more than just our money. Although, what is going on around us is definitely affecting our money.

A Little Preview of the Next Post

Before I get into this, let me assure you I will get back to writing about money. It’s been a while since I posted, and I’ll tell you right up front, you will not see my posts coming through on a consistent basis. Us bloggers are supposed to post every week or 2 weeks at the most. That’s just not happening in my life! Retirement, hobbies and my family obligations just don’t give me a nice, smooth predictable schedule. And that’s OK.

My last post was about budgeting and included a sample budget spreadsheet. The next post will be about the WHY of doing a budget and then one on some of the HOW’s of doing a budget.

Now Let’s Get Back to Those Cards We Were Dealt

I’m writing this post on Sunday, March 15, 2020. I was supposed to sing as part of the worship team this morning, but didn’t because I have a cold. The video at the bottom of this post is one of the songs I was practicing this week. It speaks of our Jesus who walk on water, speaks to the seas and stands in the fire beside us.

In the last few weeks, our world has turned upside down. I believe we have seen more changes to our lives (due to COVID-19) in a shorter period of time than in all of history. The effects of this disease fall across a wide spectrum. At one end, devastating loss of loved ones. The other end is personal inconvenience. We don’t know how long these inconveniences will last. We don’t know if one of our own loved oneswill be affected tomorrow. We DO know that nothing can separate us from the love of GOD if we are in Christ Jesus.

Even if you are not a Christ follower, there is one thing you cannot ignore. These things have been predicted. I have a good friend who teaches a class on how the Bible has, with 100% accuracy predicted the future. The Bible talks about the increase in frequency of wars, natural disasters and pestilence. This is not the first disease crisis our world has faced and it won’t be the last. It’s just the one we have to deal with TODAY.

Praying For Each Other

Sunday, March 15 has been set aside as a day of prayer. ( added March 21 – We should be in constant prayer for our families and our world) We all need peace and wisdom in these trying times. I want my Facebook and Website family (some of whom I’ve never met face to face) to know I’ve got your back. I am and will continue to pray for you, for your safety, your wisdom and your peace. I hope all of you who are part of this family will be doing the same. We need each other, even if we have to be socially distant.

Next to the last thought

Watch the video below. The producers asked people to send in their praises and their prayer requests. Some of these are highlighted in a video behind Chris as he sings. You can hear the audio on some, but not all. For most, you don’t need to. It reminded me that my inconveniences are NOTHING compared to what others are facing. The one that hit me the hardest was the young boy, probably about 4 or 5, who is battling brain cancer….FOR THE 3RD TIME! We all need to keep our lives in perspective and be in a constant attitude of gratitude and not fear.

Last thought

As of this weekend, most, if not all, nursing homes and assisted livings are on lock-down. This means no outside visitors. The facility my mom is in has also started a general quarantine of all residents. This means they cannot leave their rooms. So, no activities, no contact with other residents and their meals are being brought to their rooms. This kind of isolation can be devastating. If you know ANYONE who is in a facility, please be diligent to call them…often. Most of our elderly already feel forgotten. This won’t help. And if you have an elderly neighbor who probably shouldn’t be driving anyway, offer your help. Some of our neighbors don’t need to be getting out in their cars every day to go to the store in hopes of finding toilet paper and milk.