Earlier this month a CNBC article came out with a statement of the obvious which most people have already known for a long time: the economy has not really gotten better. Duh. All the while soon after the 2007-8 economic meltdown and the initiation of the QE strategy of infusing currency in to the system, over and over again, in this way and that, we have been force-fed how the economy was improving.
The article goes on to say:
“Fully 59 percent say the economy is ‘getting worse’ against just 37 percent who say it is ‘getting better.’ That gap of 22 percentage points is the worst since August, according to Gallup, which polled 3,542 adults.”
Given tax payments recently filed, a rising cost-of-living, especially for life’s basics of food, energy and housing, for most people, incomes continue to remain flat. The notion of living within one’s means for the 99% now sounds more like a cruel joke. Credit has necessarily taken center stage as an essential component to the family budget in ways totally unimaginable just 10 years ago. Mounting debt means people try to work more and faster (if they have a job at all) in a desperate attempt not to drown under its compounding waves.
It’s a formula for disaster: anxiety + overwhelm + sleeplessness = chronic stress, poor health and family distress. I hear it in the voices of some people when they answer my phone call. Their low-toned “hello” speaks loudly to their discouragement.
The fact is, the system is not about to change in our favor. Trust me on this. As far as I can tell, we would probably have to live through a more devastating meltdown than we’ve already been through before the powers-that-be would begin to consider any type of reform. And maybe not even then. They breathe the rarified air at the top of the monetary pyramid, and have way too much to lose by changing a system designed to mostly benefit themselves.
Unless you are someone in the top 1% to maybe 10% utilizing the conventional financial strategies and tools that leverage your debt to get ahead, such strategies are likely not to help you but rather push you deeper into the cycle of credit and debt.
The solution as I see it: If personal initiative can come into play, there is a way out for many people. Yet, sadly, those affected by debilitating obstacles of chronic stress, poor health and family distress, have little capacity left to take-in new information that could actually help them. On the outside chance there are still readers who have enough strength of will and curiosity to think outside the proverbial box about how to shift their downward financial spiral to an upward one, here’s my answer.
It’s first a shift in your mindset, a two-step process to renew your understanding of money and wealth. Once accomplished, the concrete steps to take thereafter, that I wrote about in my February 2016 blog, Reset for Lifestyle Longevity, make a whole lot more sense because a new mindset provides the foundation for you to rebuild, endure and succeed. It will empower you to turn your financial ship around.
Here are the game changers:
1. The complete definition of “wealth” offers the possibility of living a prosperous life based on seeking and achieving wealth according to the Oxford English Dictionary’s definition in its proper sequence: Personal and spiritual well-being (intangible wealth) are cited prior to defining wealth as material abundance.
2. Money is not what you think. It is a private product due to interest charged for its use. Search and find information never revealed by financial advisors about how what is called, the fractional reserve banking system, works against your best efforts, and is the hidden enemy of household finance.
Without a new mindset, you’ll hardly see the point in adding more effort to your already packed day. But as you change your mind, you just might find a new resolve.