Eyes on the Ball

I’m going to revisit a topic I covered back in May of 2023, financial readiness as disaster preparedness. First, I’m going to present some sobering statistics. Let me be clear, this isn’t to scare you nor am I selling a product. Instead, I’m using numbers to frame the case that materially preparing for a hurricane or a flood is directly linked to financial readiness, resourcefulness and resilience. They’re critical steps on your path to being better prepared.

Like I said, the purpose of the numbers isn’t to induce anxiety or increase your levels of fear and stress. Check it out…

o   The average American carries roughly $6500 to $6700 in credit card debt based upon Lending Tree reports.

o   Bankrate reports that the average credit interest rate is 19.56% to 22.15%.

o   30-year fixed mortgage rates are around 6.6% to 6.8%.

o   Cox Automotive reports that auto repossessions have increased roughly 43% between 2022 and 2024.

o   Data from Experian indicates that the average monthly car payment on a new car is $770 and $531 for a used car.

o   AAA Fuel Prices reports that the national average for a gallon of regular unleaded gas is $4.10. In Illinois, the state average is $4.35.

o   Illinois has had 210 confirmed tornadoes so far in 2026.

o   The American Red Cross responds to a disaster every 8 minutes. Someone is affected by a disaster every 8 minutes.

I want the last two points to sit with you for a minute. Severe weather is costly in terms of dollars and cents, but the human toll is incalculable. As I said, none of this is to sell a product or induce further anxiety. What this says to me is that the imperative to prepare has never been greater.

I’m old enough- though still young- to remember the Savings and Loan crisis, Dot-com Bust, the 2008 financial crisis, the Covid-19 Pandemic, and the current situation where we find ourselves now. I’m not going to launch into an anti-capitalist rant nor am I going to attempt to predict the collapse of the American and global financial systems. In previous posts, I’ve talked about how to build survival kits, make a plan and bugging out.

I’m going to talk about some of the steps you can take to live lean and mean by cutting the bloat and waste from your budget. This frees up cash and resources for some of the big-ticket items you may be considering such as a solar panel set up or a whole home gas or solar generator. Of course, simply saving money is a worthwhile goal, too!

Financial literacy and self-discipline are essential components for a lifetime of stability, security and genuine comfort. Understanding how money works, investing time and effort in yourself, writing down your goals and being a savvy and discerning consumer, is a solid roadmap for life. Living a life of abject poverty isn’t noble and stress-induced ulcers due to living beyond your means is equally unappealing. Identify what you spend on monthly. It doesn’t have to be down to the penny, but you need to know what you’re spending. If it’s a service you no longer use or want, cancel it. Cash on Hand is a quick read and gives you some good action points, too.

Streaming services, gym memberships and loyalty programs are the top offenders here. Do this twice a year to keep yourself on track and as a means of monitoring and minimizing bloat and waste. As a family, discuss your financial goals and work towards them as a team. If you’re a singleton, set your goals, write them down and get-it-done.  

ð       If you’re comfortable with the erosion of your privacy, retail loyalty programs and digital coupons can offer legit value.

ð       Warehouse clubs and credit card issuers offer concierge services for travel, car buying and real estate. Do your due diligence to identify what might work for you.

ð       Despite the chaos in the financial markets, tens of millions of Americans are watching their retirement portfolios grow. Consult a licensed, reputable financial planner and discuss your long-term goals and put a plan in place.

ð       Identify whatever good driver, good credit or senior citizen discounts you’re eligible for and claim them! The same goes for active-duty military, students and law enforcement/fire/EMS employees being offered discounts on goods and services. If they’re applicable to you, claim them!

ð       Identify where you can save on auto/home and health insurance without compromising your levels of coverage. For example, it’s a common practice to offer discounts for multiple vehicles and when bundling home and auto insurance.

ð       As your situation changes: divorce; death of a spouse or parent; kids graduating and moving out and so on; revisit your financial obligations to identify potential savings. Divert the savings to your retirement portfolio or simply pocket the cash.

ð       If you have the time and patience, yard and estate sales, pawn shops, storage facility lien sales are an underutilized resource for scoring some awesome finds!   

ð       Be alert for the major sales at online retailers and brick and mortar stores. Do your research and time major purchases accordingly. When new models are released in consumer electronics and household appliances, older models are often unloaded at deep discounts.

ð       Open box and refurbished appliance and consumer electronics returns are perfectly acceptable and often come with a full manufacturer’s warranty. They also often come at a significantly lower price point.

ð       If you’re really motivated or it’s necessary, find a side hustle. If you have the skillset, teach online classes or workshops at your local community center.

ð       Similarly, sell your collectibles or other valuables that you no longer need or want. The value lies in what others are willing to pay for it!

The headlines paint a bleak picture and if you read them daily, it’s easy to give in to fear and anger. But it’s possible to live a stable life marked by joy, comfort and luxury. The option I’m proposing is to meet the uncertainty head on with calm, determination and a plan. The statistics I cited above shouldn’t frighten you, instead, they should sharpen your resolve to build readiness, resourcefulness and resilience.