When was the last time you updated your insurance policies? How about servicing your car? Clearing the garage or emptying out the storage unit?
Do you have water stored for an emergency? If so, when was the last time you checked on it? These are all things we know we need to do but often put off until tomorrow or another time.
And when was the last time you reviewed your growing cash balance? Sure, there’s been plenty of market volatility of late, but it’s been a good run the last few years or so for the stock market. And after last week’s election, you’d think the world was ending, and yet the California billionaires’ tax was rejected.
If anything, the past week or year has been a snapshot of how investors can get hung up on headlines and freeze like a deer in the headlights. Doing nothing doesn’t end well for the deer or the headlights.
Which brings me to the messiness of investors without a plan, standing in the middle of the road not knowing which way to go. In times like these, it’s nice to have a plan to fall back on so you can breathe a little easier.
Markets can challenge one’s convictions, but go back in time and see what happened to investors who lost out to inertia, did nothing with their savings, and stayed in cash. Over time, cash doesn’t have such a great track record against inflation.
The fear of being wrong is strong.
It’s up to you to figure out a plan you can live with throughout your retirement, in good times and in bad.
Action Line: You may need someone to talk to about this. You may be living with someone who doesn’t want to. I do. Let’s talk. Email me at ejsmith@yoursurvivalguy.com
