What would you do faced with 50% inflation?

[Dani]

We will just keep doing what we do now. . . Life wouldn't change much and life would go on.

 

[Alaskajohn]

Some pastes from the below linked articl:

Disposable personal income, after taxes and other withholdings, tumbled 14.6%.

The CPI accelerated 4.2% in April.

U.S. inflation gauge rose faster than expected

And from the article posted below:

Inflation rates are soaring at the their fastest pace in decades according to new numbers released on Friday by the U.S. government.

“We’re taking very substantial risks on the inflation side,”

BREAKING: April Inflation Surged To Highest Level In Decades As Biden Set To Unveil $6T Budget

 

[SheepDog]

I have nothing to trade but I know a guy who might. I can check and see what I can find....

 

[elkhound]

https://www.zerohedge.com/commodities/us-mint-delays-silver-shipments-due-global-silver-shortage

 

[elkhound]

check out various inflation in this article. especially food at the top.also reported a year agoo this week gasoline national average was $1.96/gallon now its $3.03/gallon.

https://www.zerohedge.com/economics/and-now-prices-are-really-soaring-may-rent-jump-biggest-record'

 

[UrbanHunter]

I don't think we have ever seen anything like what is coming down the pike... Possibly 1927-28, people are so focused on the stock market that they are ignoring the elephant in the room.

I was in a large store (High end items) with the wife yesterday afternoon, she noticed the great service we got... I noticed that in a store half the size of a Wallmart, there were 6 customers and I only saw 1 sale while I was there....... I believe that the old steam engine is running out of coal and everyone is looking at the speedometer while ignoring the tender.

Half of the population is living off inflated "special" unemployment payments, industry is log jammed and is seeing supply issues on every front (try to buy a big ticket item, you can get it in 4-6 months). Many of the mom and pop restaurants and shops are closed and they aren't coming back... When the bankruptcies and foreclosures start hitting the banks and the Fed's cupboard is empty, then you will start seeing the financial commentators start to panic and it will be Katie Bar the Door. If you are not prepared you will wake up in October 1929....

 

[Amish Heart]

It's being done intentionally and slowly so people don't freak. But the problems were blamed solely on covid last year. They need to come up with a new scapegoat.

 

[Biggkidd]

In My opinion the real issue is the government no longer works for or cares about the good of the people. It's all about the power and control! Just my .02

 

[mamo]

I can see the log room addition this summer not be getting any windows for a while (so DH better mark where he puts the spikes good), but we survived without interior walls and finished floors for years back in the early 90's. DH arranged for an Amish crew to re-roof the ag garage behind the house before building prices went !$%!, and ordered a med grade standing seam through them...probably the last "fancy" reasonably priced metal roof around these hills. It'll be better than the cheap shingles it replaced for rain water collection if need be. We're generator dependent for well water. Re-stock of diesel had jumped the last delivery 2 months ago, next will no doubt be much more. The house was done with nice 40-year shingles a few years back, so we're "covered", which is a good feeling anytime, especially right now. The newest PV system batteries went in this winter and usually last a few years, but what shape is this country going to be in by their expiration...not really expecting the grande battery vehicle scheme is going to bring those $$$ down. I'm definitely not looking forward to the washer/dryer breaking down in the middle of a good day, I'm quite used to that luxury, but old-fashioned backup plans do exist here. DH plans to feed hay to the cattle farther back from the road next winter, hoping we're not in store for what we've never experienced before, but it's enough of a concern to make it more intimidating for someone to try.

 

[Amish Heart]

Still waiting for our garage windows....

 

[Sourdough]

The "one" sweet thing about high inflation is if your old, and own a massive amount of "things" that you purchased over the last 75 years........Inflated price's that are an issue for others, are suddenly my friend.

 

[jazzy]

an old couple i knew many years ago told me the best way to prepare for hard times is to change your life so you dont notice it. thery had an old house that he payed off, lived in a rural area, an older vehicle paid off, no big bills or debts. but they had a pretty decent food storage, he hunted and got an elk every year, gardened, canned up alot of food and just lived real simple. they were technically at poverty level and only in the end had their SS but a little savings for emergency like fixing the truck or something.

they were content, and had the basics of what they needed. i liked going over there and trying to learn somethings from them. like how not to need what everyone around you says you need, lol

 

[Biggkidd]

an old couple i knew many years ago told me the best way to prepare for hard times is to change your life so you dont notice it. thery had an old house that he payed off, lived in a rural area, an older vehicle paid off, no big bills or debts. but they had a pretty decent food storage, he hunted and got an elk every year, gardened, canned up alot of food and just lived real simple. they were technically at poverty level and only in the end had their SS but a little savings for emergency like fixing the truck or something.

they were content, and had the basics of what they needed. i liked going over there and trying to learn somethings from them. like how not to need what everyone around you says you need, lol

This EXACTLY what I did after getting M.S. We rode out last year without issue the only real change for us was my daughter had virtual school. Granted we do still have a mortgage but it's small and our only really necessary bill. We can do without everything except the mortgage if we have to.

 

[Sourdough]

an old couple i knew many years ago told me the best way to prepare for hard times is to change your life so you dont notice it.

Take it to the "next" step.........Every morning just as my feet first touch the floor, I say out loud (I live alone) "This will be a glorious day to die".

Been doing that for decades. It does "not" imply a desire to die, it simply puts the day in proper prospective. As I lay my head down for night sleep, I give thanks for having been alive another day.

I actually learned that from a Trilogy, "Ring of Fire". (Three large books, of actual "recorded" accounts, of man's inhumanity to other humans.)

 

[viking]

My DW chided me the other day for not buying extra 2X4's and plywood when we could still afford them, they are now about 3X the price than they were a year ago. Actually, all things considered, we are in a pretty good position for whatever comes out way. The main thing I have to do is get a 1,100 gallon ABS water storage tank to the top of our property and hook it up to the existing 1,100 gallon concrete cistern. With all the drought going on out here in the west, water is going to be very important to have on hand.

 

[Aklogcabin]

I guess that we've been kinda getting ready for that for many years. When something broke i bought a couple repairs. We have the tools n knowledge to do a lot of different things. We are raising meat rabbits and have a large garden.
Hunting n fishing are a passion of mine. We are blessed to have a freezer full of fish n game. Sometimes 2 freezers.
Beautiful wife does the bills n we have enough to pay the bills n have a cold beer.
Bottom line. For us if we needed we would probably move to our cabin if a shtf thing happened. We will get by fine

 

[jazzy]

i guess some of the keys to surviving a 50% inflation or higher is learning some skills to take care of yourself and maybe barter with down the road, some basic supplies preps and food stuffs, being able to garden to at least grow some taters, onions, carrots and such, keep on top of your medical needs (were only gonna get older, maybe get a cane or something you might need down the road just in case) avoid debt as much as possible, and develop friends you can trust.

i know theres more one can do to improve ones situation and id bett everyone here is doing something bit by bit day by day, all we can do is lift up some prayers, ask for guidance and do the best we can. i recall the old saying, prep not just to survive the emergency but to not notice it. not sure if id ever reach that point but moving in that direction, lol.

i think about that older couple i j knew, they didnt have much in a sense the way the world sees things but in another sense they had everything. i learned alot from them. sometimes the less you have and the simpler your life is, the better off you are in the long run.

 

[SheepDog]

Return it to the sender...

 

[angie_nrs]

I'm feeling more inflationary pressures. I really don't need anything, but the cash we've been able to sock away over the years melting into nothing makes me feel the urge to buy something.....anything. I hate that feeling b/c I'm not a spender at heart. I'd rather have the security that cash provides, but I'm not feeling that cozy feeling with cash anymore. I even went and bought some more silver.......that I don't need. I just can't get over the feeling that the dollar is going into the toilet.

I bought a smaller dehydrator so that I can preserve any extra's in the garden if there are any. I have a big dehydrator, but a smaller one would be more versatile so I went ahead with the purchase. I've bought several little things over the past couple of months. Hubs even stocked up on filters, oil, greese, and other stuff that he'll use on his vehicles and/or equipment. I'm looking for things to buy for future gifts too. It's getting a bit cluttered in my spare room, but I like to organize in the winter months and just feel the need to stock up right now.

 

[Amish Heart]

Feeling the same. I have two dehydrators, too, a lg excalibur and a smaller round tray model. I'm also not wasting anything, I have those dehydrators running constantly...things are eaten fresh, frozen, canned, dehydrated, or used as animal food. I go through a pick my bucket of whatever is growing each day, lay it on the counter, and decide what to do with it. Today I salvaged all that was left of my kale leaves...filled the dehydrators with the good ones, chickens get the rest. Picked off all the cabbage worms, fed to the chickens. Left the kale stocks to grow some more leaves. Even left up the snap pea vines...the 10 or so snap peas they're putting out per day is my seed stock for replanting in the fall. I think I've turned into a frugal scrounger. Also I've noticed that I buy way more storage food each week than I buy food that we're eating that week.
The dollar is going in the toilet, you are right about that.

 

[MoBookworm1957]

Doing our best right now to make sure we can make do with what we have

Me too.

 

[MoBookworm1957]

This is why I live the simple, frugal lifestyle.
I garden for fresh food now.
Can what leftover or freeze, dehydrate it.
Make up homemade prepackaged meals in pint size Food saver bags.
Make my own season mixes with herbs in the standing washtub herb garden.
I can make my own clothes by knitting by hand, by knitting machine.
Crochet up hats, scarfs,mittens, sweaters to stay warm.
Sew my own clothes, from the fabric scraps make quilts to stay warm.

 

[Aerindel]

What really sucks, is that for most of the things I spend money on, its 200%+ inflation I'm dealing with.

Which hasn't caused any 'survival' problems for me. But has halted all my forward progress.

 

[angie_nrs]

What really sucks, is that for most of the things I spend money on, its 200%+ inflation I'm dealing with.

OK, you've got me curious. What are you spending your money on?

 

[Aerindel]

OK, you've got me curious. What are you spending your money on?

Lumber.

Steel.

Used vehicles.

Wire. Pipe. Fittings.

For a long time, most of my money has been spent on the things that you make things out of, rather than finished goods.

These things have experienced massive inflation over the last six months and my life has come to a standstill as a result.

This is the thing nobody tells you about hyper inflation as a prepper.

It's boring. I am perfectly comfortable. Well stocked and supplied with food and water for years.

But the real 'work' of my life, building my fortress home.....is at a standstill as everything I normally spend money on, has vastly inflated prices. 200% is conservative. Some things, like lumber are easily 500% higher.

Which means if you have $10,000 saved for a project, and that project now costs $50,000....your out of luck unless prices go down at some point. And when I mean project costs I mean building materials, since I build everything myself. For normal people, material costs are just a lesser fraction of total project cost, usually what you are mostly paying for is the workers. But for a self builder, every increase in materials is a 1-1 increase in total project cost. If your buying a house, your cost may have gone up 30%, but if your building a house and the price of lumber has increased five fold, your total project cost has gone up 500% and its game over.

In prepping we often say "When the SHTF, what you have is what you have"

This is completely true for your 'life' as well when SHTF. What I have is well set up for long term survival in a collapsing world. I have what I have. What I have is fine, and I'm not in danger of losing it.

But I WANTED more.

You have to understand, I started with bare ground and have been slowly building my home, room by room, for fifteen years. Because I have carefully planned it out, every stage has been able to meet my needs at that time, from the 16x16 single room I lived in the first two winters, to the multi story compound of buildings I now have. Part of 'The Plan' is that every stage has to be useful. I know too many people who have $10,000 and use it to build 1/5th of a $50,000 building and end up with nothing they can use. What I do is build one building, all the way, that is 1/5th the size as what I eventually want so as to never end up with thousands of dollars of 'dead' money tied up in something unfinished, and unusable.

The problem is that although The Plan is scaleable, it's not infinitely scaleable. If $10,000 of 2020 building money is now worth $2,000 in 2021, you can't really just scale down the project to that degree.

But the PLAN for the entire time has been to expand it every single year. New walls, new rooms, new towers, new bunkers. New vehicles, Every single year, I've worked to build it up. I am about 50% through the plan. As stated, this does not mean I have a building that is 50% finished, it means I have half of my compound, 100% finished. (Well, call it 90% ; The other half is a flat spot of dirt.

Well, this year is a bust so far in that regard because the raw materials that fuel my life have suffered hyper inflation.

Hopefully a few people here will understand. I have found its hard to explain as very very very few people actually build their own homes. What most people mean when they say "I build a house" is that they contracted someone to build a house for them. They usually don't mean that they carried every single board, sack of concrete or length of pipe out of a store, strapped it on the top of their car or threw it in the back of their truck, took it home, and turned it into more house.

My HOPE and this may sound strange....but is that we will suffer a 2009 recession again and collapse the housing market and wages so that all the cash I'm sitting on because its not worth anything currently, will become worth something again.

 

[Aerindel]

As a followup, its why I have always stressed BALANCE in prepping.

Because we never know when SHTF, and because unless you are infinitely wealthy, you can do it all at once, prepping is something that you build up year by year.

But if your plan is something like:

Year 1: buy 10K rounds of ammo.

Year 2, build a bunker

Year 3, buy five years worth of food

Year 4, drill a well

Year 5, install a wood stove

and SHTF on year 2......your screwed.

So if there is such a thing as 'The Aerindel Prepping Doctrine'

Its to keep things in balance as you expand so that you always have matching quantities of the main preps.

If your at the 72 hours stage of prepping, have 72 hours of food, water, shelter and security.

If your at the 72 weeks stage of prepping, have 72 weeks of food, water and shelter and security. Don't be the guy with a lifetime of ammo and a week worth of food.

Because I've been following this doctrine, I have no real problems in the current situation.

Other than boredom and depression.

 

[joel]

Lumber. You are rich.
I have a building & I just stopped & covered it with plastic, I may not see prices go down, we will see.

 

[Haertig]

Our plan for decades and decades has been to save and invest enough money (diversified) to be able to live comfortably in retirement, survive unplanned things like 50% inflation, and be able to help our kids do the same.

Would I like 50% inflation? Absolutely not! Could we survive it? Yes. That's what we've been planning for, hoping never to see it, but planning for it none-the-less. The plan was to save enough for retirement, and be able to handle it on our own even if (1) My pension and my wife's pension went belly up and (2) Social Security was kaput. Now, if our pensions disappear, social security becomes non existent, our investments tank, we have 50% inflation, and we both come down with dementia and have to be committed to a facility at a young age - things could get interesting. Let's just hope that not all those bad outcomes come to be at the same time. I imagine most people would have a few struggles getting through all that combined.

 

[Alaskajohn]

What really sucks, is that for most of the things I spend money on, its 200%+ inflation I'm deali

As a followup, its why I have always stressed BALANCE in prepping.

Because we never know when SHTF, and because unless you are infinitely wealthy, you can do it all at once, prepping is something that you build up year by year.

But if your plan is something like:

Year 1: buy 10K rounds of ammo.

Year 2, build a bunker

Year 3, buy five years worth of food

Year 4, drill a well

Year 5, install a wood stove

and SHTF on year 2......your screwed.

So if there is such a thing as 'The Aerindel Prepping Doctrine'

Its to keep things in balance as you expand so that you always have matching quantities of the main preps.

If your at the 72 hours stage of prepping, have 72 hours of food, water, shelter and security.

If your at the 72 weeks stage of prepping, have 72 weeks of food, water and shelter and security. Don't be the guy with a lifetime of ammo and a week worth of food.

Because I've been following this doctrine, I have no real problems in the current situation.

Other than boredom and depression.

I was going to post a similar reply, as this has been my strategy. When I bought this homestead almost 7 years ago to this day, we developed a 10 year plan as the place needed a lot of work due to neglect from the previous owner who had the place for 4 years before me.

With prices going up and inflation raising it's ugly head, I basically did year 7-9 of my 10 year plan this year. I financed it buy cashing in EE savings bonds a bit earlier than I planned, but inflation is at the point where inflation is projected to be much higher than the yield. Plus prices of the material for the projects would likely cause the projects to become too expensive if I waited. To me this was a no brainer. I am afraid my year 10 plan might need to be significantly scaled back if inflation hits as projected and supply chain issues don't improve.

 

[joel]

Last four years my investments made money like crazy, but I fear there is a cave in at the end of the tunnel . Thank God I locked that one thing in at 6.5%!