Financial Lesson# 1: The Dollars we call money are FAKE

In 2019, 157 Million Americans are part of the US Workforce, they generated $21 Trillion in nominal GDP. But, in 2020, it took a bunch of folks of the Federal Reserve to make a couple of clicks on their Money printers to print Trillions and trillion of dollars to provide the largest stimulus too date as well as provide enormous amounts of liquidity for the banking system. Please check out my previous articles and episodes to get more clarity.

By now you must realize this truth, Our Money, or in truth, our currency is created by debt, it’s not backed by gold or silver , it’s backed by the FAITH & Promise by the US government that the US dollar has value. It still amazes me that the US dollar is the World’s Reserve Currency and most of the countries still have faith in the US dollar.

This Faith in the US Dollar will not last forever, things will change as the Global geopolitical scenario is changing and getting foggier by the day.

Just FYI, it takes 12 cents to create a $100 bill

The Poor and the Middle class in the US or any country for the matter will always chase currencies, while the Rich and Wealthy will change their currencies as fast as possible to buy Assets that have value and generate more cash flow like Real Estate, Businesses, Intellectual properties, etc.

This is a lesson everyone needs to learn real fast.

Financial Lesson# 2: You need to have SAVINGS even though savings LOSE value to inflation

This may sound counter-intuitive, but you need to save money, In the previous point I have mentioned that your currency loses value because of the Federal Reserve printing. The reason I state that you need savings is so that you have the currency for emergencies or unexpected issues like medical bills, car repair bills, etc. Remember, Saving money doesn’t make you wealthy, it’s just a shield against future issues you might come across in life.

Financial Lesson# 3: Greed can be very costly

History keeps repeating itself, we saw in 2008, where the Banks were greedy to make profits in gambling in the CDO’s in the Real Estate market and had to be bailed out, now in 2020, The Airlines didn’t have any savings because they spent their money in stock buybacks to pump up their values in the stock market and now they want to be bailed out. Of course, the banks are in trouble again, this time they were gambling in the Commercial real estate sector and the corporate loans. Apparently, We didn’t learn our lessons back in 2008 and now in 2020.

This is going to be a Rough lesson for all of us.

Financial Lesson# 4: Hope for the BEST and PLAN for the worst with Life Insurance

It’s important as individuals, we need to prepare for the future and be vigilant. This is something, to be honest, I haven’t really thought about it. I used to have my own vehicle when I was living in the United States. I took Car insurance, just in case to avoid any risks and avoid paying huge repair costs from accidents, etc. So in the same way, I do see it is necessary to think about life insurance as I start my journey to be financially confident and making decisions that will not only affect myself but also my partner. There are great life insurance policies and info out there that can provide information about life insurance products and help you avoid overpaying on life insurance.

Financial Lesson# 5: Relying on the Government can be very Expensive

As a Libertarian/Anarcho-Capitalist – I do not trust any governments to help me or help anyone. Time and time again, when people trust in government, not only is it expensive but it ends up hurting the very people it was meant to help the most. A good example is the Payroll Protection Programs that were supposed to help small businesses ended up not helping anyone at all.

The State of New Jersey was looking for coders to help assist with their unemployment program, but the truth is the program system was based on a 60-year-old programming software. You would assume the Government in New Jersey or any of the cities in New Jersey would have improved upon their systems to be efficient, but that 60-year-old computer program was not slow for them.

My advice to anyone reading this is , Please increase your financial education as the means to not depend on any government and take charge of your financial destiny.

Financial Lesson# 6: The Media SELLS emotions so you need to be SMART with your money

In 2019, the media stated that the economy cant go down, it will keep going higher and higher. In March 2020, the economy will crash and millions of people will die and in April, we will experience the greatest recovery in Human history. The point is that don’t get emotionally caught up with the media hysteria and please do not get emotionally triggered.

We all have to remember the MSM is in the business of hype, not in the business of giving facts. You will need to have a filter that will drown out the noise and use your financial education to help you navigate out of a crisis or a crucial situation.

Financial Lesson# 7: Everyone has an opinion on how you should spend your money which is why you need the right financial education

There are lots of opinions about money and how we should spend our time. Only you are the true subject matter on your financial goals and dreams. Some folks want to make big returns in 3 years, some want to increase their net worth to a high level in 30 years. We all have goals and its different than everybody else. So, as an individual, you would want to invest in your financial education, do your own research and make your own strategies as well as seek some guidance from those who have succeeded in attaining their financial goals. There are great resources to amp up your financial education, it’s up to you to find it out.

Financial Lesson# 8: Lack of TIME is not an excuse

Last year, many folks complained about not having enough time to learn new things, getting into shape, and many other things. In the Great Lockdown we have experienced, this has given us the time to capitalize and develop our skill sets and take the initiative to do the things we really want and needed to do. But, what I have seen unfortunately is that lots of folks used up their time on things that didn’t give them real value, it really showcased their Mindset. Without the right mindset, We will not be able to set ourselves up for future success in our personal lives, careers, or improve our financial caliber.

Financial Lesson# 9: Anything is possible, This 2020 crisis proves that

None of us could imagine that this Great Lockdown could take place but if great crises can take place, I truly believe that Great things can come into our lives and we can achieve great things with the right mindset.

As an Individual, We are all faced with a series of Great Opportunities brilliantly disguised as unsolvable problems.

Financial Lesson# 10: Be HEALTHY, if you’re not healthy “nothing else matters”

I know this is not a financial tip, but this is the most important of all as if you have so much money in the bank, but your health is in disarray and can’t function as a healthy human being. Then the money you have would not be able to truly enhance your life. It may get you things, but if our health is going down, you would most likely spend your money of medical procedures , doctors, etc instead of enjoying the money to experience the blessings this world has to offer as well as you could be the conduit of incredible favor and blessing where your money could be used to help those in need, create businesses that will create jobs and solve lots of problems in the marketplace which will enhance the standard of living for everyone especially for the poor.

So eat healthily and stay healthy through fitness as you can’t afford to not be healthy

I hope the above lessons were of Great Value and it has changed some perspective on how you view our world as well as pierce through the financial, economic, and political upheaval we are facing within our lifetime.

Please do share this article to anyone who would be interested as well as I have my own podcast FINfluential which you can easily find in most podcast platforms like Spotify, Radiopublic etc. and have a listen. For more info Check Out www.finfluential.net