Topic: Inflation is making a mess of my savings. - page 5. (Read 1260 times)

That's what they want you to think, that it's all caused by problems like war in Ukraine, global warming, the pandemic and all that. It's all lies. Inflation is mainly caused by money printing and they were printing all the time in 2020 and 2021.

I also feel inflation hitting hard, but I have more bitcoin than fiat money so I feel somewhat safe. If you feel your purchasing power disappearing every month, reduce your exposure to fiat money.

Under normal circumstances, savings can never be greater than inflation rate. If you want to beat inflation, then you need to make investment rather than saving. Here in India, term deposits usually give interest ranging from 5.15% to 5.50% per year (depending on the bank). Inflation rate at present is around 5% to 6%. But there is a catch. Interest from term deposits will be considered as your income and you need to pay income tax on this interest. So effectively you may receive somewhere around 3.55% per year from term deposits.

It's true that I agree with what you said, maybe another way to get through this inflationary phase is by self-development to avoid the various impacts that can arise. If our main job is as an office employee it is likely that it will definitely have an impact on the all employees. So being prepared and aware of the situation is a good and wise step, by looking for more adequate job opportunities to earn income to cover daily and monthly expenses.

Side work can also be done to increase side income besides our main income, investment and saving expenses are indeed the main points. Two-way communication to determine family priorities will be very helpful in situations like this.

Yes, if you have a considerable amount of money idle you have more alternatives to develop your strategy against inflation. To buy a land or a property can be a smart choice thinking on increasing their value on long term or generating passive income through renting. This is the best strategy I'm aware about, although people have to be careful where they acquire lands or properties, because if the area isn't promising, it will reflect negatively on the value of their patrimony futurely.

The legality of such acquisitions is also a must to prevent future headaches. A scripture of the land is always a must.

1–2% of yearly inflation is reasonable and is supposed to be healthy for the economy, showing growth. However, excessive amounts of inflation aren't healthy at all and are putting a huge burden on the average consumer. In Greece, inflation hit an all-time high of over 40 years, surpassing 12–13%, which, in practice, isn't accurate at all. I used to buy chicken at €6/kg, and now it costs €10/kg; that's an increase of over 40%. On top of that, the increasing costs of gasoline and electricity aren't included in inflation measures, proving how inaccurate and defective these measures are.

Unfortunately, prices are certainly going to stay where they are, while our salaries have remained the same. As a result, our available income is much lower than it used to be two years ago.

I deeply empathize with the inflation woes afflicting several countries, causing significant hardship for their citizens and making everyday food purchases a burden. I recognize that each nation faces varying inflation rates, and I consider myself fortunate to reside in a country currently experiencing relatively low inflation.

When inflation strikes, my response entails a concerted effort to economize on expenses and plan my financial affairs as effectively as possible. My goal is to prolong my financial sustainability and navigate through the crisis that ensues during such times.

Undoubtedly, surviving high inflation necessitates meticulous preparation. Savings and investments must be managed prudently, particularly concerning FIAT currencies that become susceptible to soaring food prices. Prioritizing savings is of paramount importance to weather the storm when the inflationary period arrives.

We must rearrange financial management to adjust to the impact of inflation. Several options must be implemented, including reducing spending costs and converting savings into investment assets that have the potential for stability, such as investments in gold, land and others.

We don't know how long the impact of inflation can be restored to improve the economy in various countries, everyone must have their own strategy to limit the use of savings funds, such as hunting for food or goods that have been discounted at various shopping centers, these efforts help you to save money and manage expenses only for basic needs.

When inflation occurs the prices of staple goods experience shocks related to purchase prices and scarcity can be a problem that causes goods to increase. Inflation or recession makes several sectors weak, the economy is unstable and the deflation rate is increasing. When talking about ways to get out of inflation, there are many things that we need to do independently or involve the government, one of which is saving the budget, stabilizing the prices of goods by the government and trying to increase production in the agricultural sector to support basic human needs.

The government sector and individuals play an important role for each other in conditions of inflation, but government policies become more important and the community can try to save costs and basic needs as a temporary means of subsistence in these conditions. When both are running well slowly inflation can be suppressed and slowly the economic strength will improve.

There isn't much we can do about it. All I can say is that I try to adjust myself to the currently situation I'm facing. If prices are getting more expensive each new day I go to the supermarket, I stick myself with the promotions and cheapest items which fit my budget. If I'm going to eat out, I also look for the most affordable alternatives, and thankfully there are always some of them.

Despite the financial difficulties the world is facing, I think it's still possible to be fine following this recipe. At least I still have abundant food to eat and access to acquiring superfluous items every month thinking on personal self-esteem and welfare.

It is understandable not to have any savings due to health problems, health comes before everything else and as long as you are capable of paying for your medical bills, that alone is good enough and I wish you a speed recovery to your full health. Do not aim at saving some money when you are facing these troubles, that would only give you more stress, if you are incapable of saving money but capable of saving yourself, that is a much better thing and you should do that if possible.

Of course the situation is that we are talking about something that is a bit challenging, and that's why it's going to take a bit of time and we are not going to end up with a situation where it's going to be easy. So take that with grain of salt. You could have troubles, but ignore the responsibilities for now, only focus on health.

Due to global economic problems, things like inflation are happening in different countries now. Many experts have called this phenomenon an epidemic because, just as an epidemic spreads rapidly and has a global impact, inflation spreads rapidly and has a global negative impact. Relatively less economically strong countries face such problems as the value of the dollar in their country gradually increases which in turn depreciates their local currency leading to an economic recession in the country. Inflation has not only destroyed your savings, there are many other people like you whose savings have been destroyed by inflation. If something like inflation happens, you will have to buy relatively less things with more money, as a result of which you will have to pay extra money to buy the things, that extra money will have to be paid from your savings account, thus many people's savings are getting lost just because of inflation.

If people take a moment to learn about how the economy works, they will know that inflation is a part of the economy and it is always present in our lives. But most people won't feel it because it's under the government's control and doesn't affect them much, so they don't feel it. Most people just focus on enjoying life in a stable economy, they are not prepared for unexpected bad things. So when inflation gets out of control, things go bad quickly and they start complaining and blaming anyone.

Indeed, instead of trying to overcome difficulties, many people just complain and blame others even though it doesn't change anything for them.

You can't really count the middle class among the classes that are always ready to face any kind of economic situation and pandemics and inflation because they always have the necessary resources and a lot of money in spare to spend a lot of time without facing any issues just because the things are now expensive or the government is charging a lot of taxes for almost anything which a middle class or a lower class person cannot afford at any cost.

When there is high inflation, only the rich which are the upper class or the elite class can live their lives normally like nothing has happened, but those who are below those classes will suffer a lot, firstly because they don't earn a lot, secondly because they don't have a lot of money saved to be used in such times.

I have been living in Europe for the last two years but before that I was living in a country which is currency was unstable and depreciated rapidly. For this reason, in order to protect the purchasing power of my salary and savings I preferred foreign currencies (USD, EUR and GBP in general) and converted them into my own country's currency if I needed it. In today's conditions I don't need to choose a different currency since I live in a country that uses Euro and I try to make my savings in Euro. Of course, there is a decrease in my purchasing power due to inflation but this is not a disturbing situation as it is not as much as in my own country. After the completion of my debts, I plan to keep my savings by converting them into commodities, stocks and proven cryptocurrencies with very saving little cash.

Speaking about my health, I can say that I have recovered quite a bit lately and I'm much better than before. Spending almost all of my previous savings on health can be a bit frustrating but having a fund that I can use for my health problems has definitely helped me go through this process with less stress. My goal right now as I mentioned, will be to pay off all of the debt remaining from these expenses and then create capital for myself and use it in the opportunities that I will come across in the financial markets.

There will always be an inflation all the time and everyone is being affected here, but how do we stand out amidst this occurrence depends on the appropriate approach we administer to help us plan and prepare against the consequences of inflation in our own economy and finances, what are the investment we made, how do we decided to secure them, we are also expected to have an alternative means to financial income, we are to make diversification where necessary and we are to also remain committed to what we do and be sensitive enough in seing something coming before it hit us bad, we should most importantly be independent especially in this deteriorating financial economy and venture into bitcoin as an alternative digital currency that cannot be affected by inflation.

Hasn't inflation always been a problem in the world? but humans always have a way to overcome it because humans can always adapt well to everything that happens.
You can't fight inflation, which can be done by making adjustments so that you can still meet your main needs in full, one of which is by looking for additional income, just complaining won't change the situation and saving is only useful when things are urgent but to deal with inflation you have to start investing, right? just save because your fiat money will always go down in value.

Money must work so that inflation cannot have such a significant impact on our funds. You are right that over time, inflation can greatly reduce the purchasing power of our funds, so we need to make sure that the money generates income, at least slightly exceeding the inflation rate, and ideally, we need investments that will also bring us income.

So far, bitcoin is able to cope with this task very well. I don’t want to say that you can buy bitcoin now and still make a good profit, although it is, but I still am of the opinion that we have had enough time to buy bitcoin at lower prices. But even those who are a little late with the purchase and buy now, still have a chance to at least double their investments, I don’t know what kind of investment in traditional directions can give the same result.

Yes a lot of people now are affected with the inflation that is happening all over the world. The prices of goods and services dramatically increases that truly affects the low wage income earners. That is true that the purchasing power of citizens are getting weaker because the value of the money they are been holding is decreasing. Here in our country consumer protection law is now useless because the government cannot even regulate the prices of the goods the worst thing it even gets higher, with that the people are experiencing a very tight budget and they needed to adjust their budget to be able to sustain their daily needs.

with income that remains the same, we also have to prioritize the needs to be purchased, therefore, of course, we must be able to save as best as possible to get out of a difficult position. actually there are many business opportunities that can be run, but sometimes it is difficult for us to start, and we are afraid of failure. therefore we must fix mentally before moving on. Artificial intelligence can indeed provide answers to what we need, but of course humans still need each other to meet their needs, and we can take advantage of that

Well that's why I asked OP where he was from, because I assumed that wherever he is he's getting slammed by inflation worse than Americans are (for the moment anyway).  And believe me, I sympathize with folks who live in countries with poor economies and who work their asses off just to have inflation eat away at the purchasing power of their wages.  That shit's not right; it's never been right, but there have always been inflationary periods and we've all got to ride them out one way or another.

There are developing countries on the south pole?

I know you're not asking me specifically, but I'll just answer anyway: I don't have a fuckin' clue.  I don't care, and I hope they die a slow, painful death.

Bitcoin doesn't provide any income, and if you're suggesting that OP work another job I think it's probably not a bad idea if it allows him to sock away some money for investments (as opposed to savings).  Aside from bitcoin, he might want to look into the stock market if he's got any free cash.

Again, that saying comes to mind that I don't always get correct.  It goes something like "inflation is theft, taxation is robbery" (or it's the other way around).  And you wonder why the average working person can't get ahead, can't save, can't pass on property to their children when they die.  All of that seems to be reserved for the rich--and bitching about it is pointless, since people have been doing it for centuries and yet nothing ever changes.