Do you believe inflation is only going to keep increasing?
That it’s not “transitory” (lmao)?
Acquire goods that will give you an edge in an inflationary environment.
Some of those goods include the obvious “stores of value” like:
- Real Estate
- Gold if you’re a boomer (or a doomer)
But a HUGE one I have yet to see anyone talk about now is work contracts.
If You Hire Contractors, I’m About to Save You Money
Let’s say a contractor has a rate of $100/hour. You use them 15 hours a week, so you pay them $1500 a week.
Inflation is skyrocketing and still trending upwards. There is also allegedly a worker shortage in some industries (AKA businesses aren’t paying enough) so expect wages to rise as a response.
If you expect inflation to rise, say, 10% next year, then you can expect to pay the same contractor $110/hour.
$110/hour for 15/hours a week is $1650. Over a year, that’s a difference $7800.
Put another way, that’s five extra weeks of work you’re paying for without the output to show for it.
You can get ahead of this by locking in retainer contracts now.
Contractors salivate for retainers because it’s the double-edged sword of guaranteed income while maintaining independence. If you offer a retainer based on their current rate, they’ll likely jump on it.
It’s a win-win for both of you.
If You’re a Contractor, You Have Two Opportunities
If you want to maximize security, offer a retainer or accept it if offered.
If you want to maximize income potential, stay hourly or project-based.
You get to pick your path!
Don’t get too excited—you’re still getting your wealth stolen from you via inflation. But this information can still help you maximize your outcomes from where we are now.