Everyone in Texas has now been ordered to shelter in place.
I am lucky that I do not have coronavirus and that working in the technology business it is easy for me to work from home. and as an introvert I am totally fine with being alone in my house. but what about all the other people in the world. I wonder what it is really like for someone that has the virus and is suffering with the symptoms.
this also has me thinking about finances what is someone supposed to do if they work in the travel industry or they work in the hospitality industry. I guess now they must file for unemployment.
One of the first steps of financial independence is to create an emergency fund in case you ever lose your job you can pay your bills for anywhere from three months to six months to a year. but now I’m thinking we should probably have a bigger emergency fund. but if you can’t work for two years? What if you have a major medical event?
each person must determine what is the right amount they need for their emergency fund. and it really took me a good amount of time to build up my fund. You have to prepare and start early.
You are never going to reach financial independence if you do not take risk.
But you also cannot take so much risk that you are not prepared for a downturn. Amd then what if you have children. You must take care of them no matter what.
Your emergency fund is preparation for the wprst case scenario. You get sick with Coronavirus and must take sick leave for an extended period of time.
Hope for the best . Invest aggressively. Dont even look at bonds, Just invest in equities.
In order to reach financial independence you need to earn income. Lots of income.
Use your cash to start a business. Create products and services that you can sell.
Find a customer. Create a prototype and then scale that. Hope for the best.
How do I do that during this time of the virus?
I am using this time to create as many different items that can be of value as possible. They may not sell and be successful today, but I think they will provide a foundation for more once the economy comes back to life.
If you can create a business that earns any type of income during this period you should be able to scale it when the economy gets better.
Create value no matter what
Hope for the best prepare for the worst.
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