How to Financially Prepare for Economic Calamity

We have another guest post. This time from Brittany D. about Financial Preparation. Enjoy!

Financial PreparationHow to Financially Prepare for Economic Calamity

Survivalists must prepare for all sorts of situations. One of the most common situations many preppers anticipate, but rarely prepare for properly, is another financial crisis. Sure, some may stock up on food and gas, but that is not enough to survive a recession worse than the one that occurred in 2008. You must financially prepare for another recession in the coming decades. This article will provide basic guidelines on how to do so.

What to Anticipate in an Economic Downturn

If you remember the Great Recession, and surely most of us still do vividly, you already know that unemployment and inflation rates rise. People may be left without a source of income, or worse, they may not be able to afford the things that they were once perfectly capable of buying. Inflation causes value of cash currency to erode. For example, the $100 bill you may have right now will be worth far less if inflation takes off in an economic downturn.

When the markets crash, the value of cash currency—the dollar—plunges. All assets that you have in cash currency—like stocks, retirement savings or investments—will suddenly be worth far less than a week before. This is an inherent weakness in cash. So, a savvy survivalist will have to ensure financial security with an asset other than cash. For centuries, this asset has been precious metals like gold.

Surviving the Unthinkable with Precious Metals

Gold and silver are valued in an inversely proportional manner to cash. So, when the value of the dollar plunges, the value of physical gold and silver goes up. This is why rich investors diversify their assets with precious metals. When the markets crash, cash assets may disappear, but the wealth will be intact thanks to the rising value of precious metals.

You will need physical precious metals like gold bars, bullion and coins to survive another economic depression. You can buy as much as you like now from reputable dealers like Lear Capital. Do not buy gold online from unlicensed dealers. The dealer must be able to guarantee the purity of the metals you buy.

You can buy physical gold and securely store it until you need it. You can also add gold to your IRA with a certified trustee. It’s a great way to ensure your retirement funds are secure in the future.

Buying and Bartering with Gold and Silver

There is a slight difference between physical precious metals and barter metals. Barter metals are exclusively made for trading. Ideally, you should purchase gold or silver in minted coin form that is widely accepted and easy to trade in return for food, supplies or weapons. Collectible coins are not accepted for trading because they don’t have a set value. You must buy coins approved by the IRA to barter when everything goes to hell. National mints are a great choice because these are even accepted across borders. If you prefer gold bars, try purchasing Valcambi CombiBars which can be quickly broken down to pre-weighed fractions for trading.

You can start learning to barter with gold today. It’s not common so you might have to search online or in your community area for service providers that accept precious metal transactions. Independent farmers, independent service workers like plumbers, metalworkers, Community Supported Agriculture (CSA) programs and local credit unions may be open to bartering with precious metals. You should seek out groups and barter starting with small amounts for practice.

When you have secured your finances with precious metals, you will be fully ready come doomsday. You will also probably be one of the richest people in a post-cash world.

Thanks again Brittany.

Until then,

Use your instincts to survive