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There's a distinct difference between working IN your business and working ON your business.⠀⠀
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GREEN- When it's time to earn money. Actively prospecting, in front of clients, earning referrals, etc. Tasks which are bringing dollars in your pocket.⠀⠀
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YELLOW- Working on your business. Creating content, planning, learning new skills, networking, feedback loops, physical and mental health.⠀⠀
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RED- Rest knowing you're giving it everything you've got.⠀⠀
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This is a repost. Honestly when I first saw it I thought it said 1928! I think this photo better describes what had happened since 1950 not 1998 but it illustrates the point. Since 1998 your dollar has lost roughly 1/3 of it's value. Since 1950 it's lost more than 90% of it's value.
I'm on vacation and here in Bali everyone is a millionaire. Each rupiah is worth 1/14000 of one dollar so it's pretty common to spend a million at a time. It's worth so little they just cut off the last 3 zeros when giving a price. "That's 50" means it's 50k.
How did that happen? ... Inflation.
Inflation is the silent killer of wealth. It's like the wind and water that is day-in and day-out it's eroding the mountains and land.
If you forget about the wealth you've created and leave it in a bank or under the bed, soon it's eroded away and become almost nothing.
Fortunately, inflation is under control in the US and most countries, but they doesn't make it an issue. It's something to always consider.
If you take care of your money, it can be sustained and even grow over time.
One of the best hedges against inflation is real estate. Historically, real estate appreciates at the same rate as inflation. During that period you will also earn passive income, and you can earn additional appreciation through improvements and saving through tax deductions.
Stocks are good too, but real estate is better for wealth accumulation and protection. Stocks appreciate, but hardly create cash flow. Stocks don't have tax deductions and also leverage is risky and high cost in the stock market.
So, if you earn your money in a high paying job or some other business, you need to park that money in a cash flowing and appreciating asset such as real estate.
Or, start a new business related to real estate such as becoming a wholesaler or house flipper. Then use that income to buy real estate.
What's your inflation protection strategy?
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