Thursday, October 9, 2008

Surviving An Economic Depression

Yes, I'm in a little bit of a panic.

I spent the past several hours reading about preparing for an Economic Depression. I know this may be a little premature, but let me tell you, do a google search for "preparing for economic depression" and you will get pages and pages. Many people think this is going to happen.

So, here is what I am thinking about doing to prepare:

1. Stop extra debt payments (as mentioned in my last post). Although many articles I read suggest paying off debts as quickly as possible, I am afraid of being cash strapped. (Of course, if the dollar loses all value, cash won't be worth anything anyway.)

2. Stock my pantry. When I began paying attention to my finances I started with stockpiling groceries. It is a great way to save on food and be prepared for the unexpected. As I have gotten busier I have not stockpiled as much. I plan to start now and fill my pantry with as many non perishables purchased at the lowest price possible. I am thinking: rice, flour, sugar, salt, oatmeal, pasta, tomato sauce, soap, shampoo, toilet paper, paper towels, laundry detergent.

3. Stock up on water. My husband will think I'm crazy but I'd feel better with 25 gallons of spring water in the garage. I'd also like to look into getting water purification tablets. Can't hurt.

4. Keep some cash in the house. I'm not talking about taking all my money out of the bank, but I think I would feel better if I had $1,000 to $2,000 in cash in the house.

I think those will be my first steps.

Do you think I'm crazy?