Cash The Checks

What’s inflation all about? It pretty much means that the same $100 bill you had 5 years ago is worth less now than it was before. But why is that? Well, everything else has gone up in value! In just the last year the cost of gasoline has gone way up, house values have skyrocketed, the minimum wage has gone up, even a gallon of milk is more expensive. So if you had a $15/hour job 5 years ago, that same job with the same earnings doesn’t sound so good now. Amazingly, a $50,000 a year income sounded good before, but if you’re living in Southern California now, you’re lucky to be considered middle-class now.

If gas goes up then the cost to transport items either by truck or by ship or air will also inevitably rise. Because of the recent increase in the minimum wage, if small businesses have to pay their employees more, they need raise the cost of their products. What we’re seeing and will continue to see is things getting more and more expensive, therefore your income must also go up accordingly. This means your job should be giving you yearly raises, or if you’re self-employed, your business has to keep increasing it’s profits just to keep up with the rising costs of living.