How is everyone dealing with their finances in this economy?

[undercoverbrother]

40's was a ####ing cake walk..........

Y'all need to wait until your 50's.

2 kids in Uni

Parents dementia.

Body........oh #### I can't even........

I'd love to have the 40's back.

[The Fisher Account]

Originally Posted by undercoverbrother

40's was a ####ing cake walk..........

Y'all need to wait until your 50's.

2 kids in Uni

Parents dementia.

Body........oh #### I can't even........

I'd love to have the 40's back.

Appreciate the insight.

[Ironhorse]

I don't know how people manage it anymore. It is death by a thousand cuts. Where is all this extra money going? As others have said earlier, I was a *lot* better off 10 years ago even though I was earning less salary.

This crisis is not going to end well.

And WTF is up with Pork shoulder??

[opendoor]

Alberta is definitely getting hit harder than most of the rest of Canada. Inflation is basically the same over the last 5 years between both (about 18%), but Alberta's median wage growth has only been about 12% while Canada's overall median wage growth has been about 23%. So while Canada overall has seen pretty good real wage growth of about 5%, Alberta's has been decidedly negative.

[SeeGeeWhy]

My finances are in shambles, but I'm a risk-taking entrepreneur. I knew going in that the chance of this happening comes with the territory. I've been up, I'm down now. This could've happened to me at any time, but it's happening now.

I've never BK'ed a business, but I have now. I've never been sued so much in my life, I know a lot more about a lot more in that arena. I've never been less capable of learning or feeling motivated (I never ONCE thought about this being true about myself). I've never had less faith in myself or interest in life. I have zero idea what to do or try next, as my previous endeavours all end in fat ass Ls. This tells me more about what I suck at than giving me any hints about what I might be useful for. This is pseudo-useful insofar as I remain able to stay motivated or coming up with new stuff to try, but that's gone and it feels so foolish to not attempt to compound on what I've already invested time and sweat into.

Despite how intense and enduring these negative feelings have been, I have to keep believing that they'll wear off eventually. It's scaring me a little that they aren't. I've beefed on meds and therapies before, don't need to repeat that rant. I also don't need life to tell me yet again that things happen the way they need to, and usually don't make sense until you have the benefit of hindsight (if ever)... so I'm doing what I can every day, resisting taking on new commitments until I can wrap my head around what's happened, what it means about me, and where I might fit in the world.

It feels difficult to recover socially and community wise. Not so much because of Calgary, but my own urge to isolate and process the automatic negative thoughts that live rent free in my head.

It FEELS difficult to recover economically living in Calgary. That may end up looking laughable in another 5 - 7 years, in fact, I have to keep this mindset or else the other battles I'm fighting in will overwhelm me and I will lose.

Originally Posted by Sylvanfan

I don't know if this is the place, but hearing a lot of stories about people taking their own lives these past couple of days. Which is absolutely terrifying to me. [...]

But if finances or other stress are leading people to dark places that is scary. Please reach out to people and think about what you'd leave behind. [...]

Originally Posted by Scrambler

[...] Using current paychecks to pay mortgage and inflation, not saving much of anything now, just breaking even.

The savings from before I have in relatively stable investments, and a portion in more volatile things like crypto (doing much better than 2022 in that regard).

I hate my job and I have almost no respect for my employer. Yet at 43 with 5 & 9 year olds and my wife as a homemaker, the thought of re-education, pivoting into something else feels too risky, so I stay in misery with the job I have.

Education doesn't seem to guarantee any tremendous income prospects making that idea even more discouraging.

I consider unlaliving myself quite a lot. That's nothing new really, have felt that since I was a teen. But it's more troubling on my mind than it's ever been before. Only thing that keeps that in check are my wife and kids, leaving them like that would put an unreasonable burden on them.

And so, I just keep keeping on I guess.

Always hoping that things will get 'better again' but the pessimistic (realistic) part of my brain kicks in. Back to speaking on finances and current economy, I think my kids generation is going to have a really hard time compared to now.

Originally Posted by dissentowner

It's the damage I would do to my kids that keeps me going. Otherwise I would have ate a bullet by now and I would have been happy to do it! Body shattered now, broke by the end of the first week of the month, no light at the end of the tunnel, popping pain pills like they are fn Pez. Actually, I probably couldn't even stand anything if it were not for trying to get info for this board and the community here so I owe CP a debt of gratitude. What a fn life...

The story is too common. I've lost too many young male friends to this over the years. I understand them. I score consistently over 30 on the HAM-D survey. I also think it's my kids that have stopped my mind from going to ideation or attempt, but it often tells me how the world and my kids would be better off with me out of it. I'll catch myself daydreaming of how I'll die young.

Things like this will happen... I was riding a bike last summer with my wife in Edworthy park. We were getting to the bottom of the hill near the at grade train crossing and the timing was PERFECT for me to accidentally wobble my way into the path of the oncoming train. Boom. Term Life Policy pays out and my wife and kids are taken care of financially and don't have a depressed loser setting the tone. My brain noticed this and had those thoughts in a matter of microseconds. I felt that I had to put energy into NOT doing it in that moment. My mind used to offer up little glimpses of "hey, see this thing that's not happening? that would be a great service business" or "hey, remember how you always wanted to have a thing that did _____? look at that thing over there, it would be easy to adapt it into a way to get _____ done, let's try it!". If I am fortunate to get one of those old, constructive realizations, the ANTs kick up with "you'll find a way to f that up, too. Here's seventeen ways you've already f'ed up in the past and have yet to fix that about you, in fact, it might be part of your disability so you'll probably NEVER fix it. Hahaha! A-hole! Oh, here's a different set of seventeen ways you could plausibly f up just in case you were feeling inspired! Come back again if you need more reasons!"

So yeah... thinking about what you'll leave behind is keeping people like us around. Here's three examples in different circumstances who are doing it, by focusing on who would be affected negatively. But this isn't exactly stable, and feels tenuous every day. There is no way I'm not causing harm to my kids through providing an example of functional depression as a role model (lord knows what else they pick up on that's in my blind spot). We have to want to heal and move on from this for ourselves, and I can say that for me that is where the line is. I'll do enough to not severely harm my children, but I can't pull it out of the dirt enough to want something better for me. I've learned somewhere along the way that I am not worth it, that I am a net negative value to those around me.

Essentially all that I feel like I have left to look forward to is somehow clear my debts before I die, maybe crawl out of the dark enough so I can spend time with my wife alone without being steeped in shame, maybe be sought out by my kids for advice if/when they hit similar rough patches (or see it through long enough that they never do experience them, ideally). Glory be. What happened? Can "the economy" or "my finances" really explain all this? Super doubtful.

[bizaro86]

Originally Posted by Fuzz

The giant corporations make that harder and harder. What are you going to do, open a hardware store(for example)? You can't compete on inventory, because you won't get the deals HD or Rona get.

OK, so you create something unique, and your business is to sell it. Except now it's been copied and sold for 1/10th of what you can manage, 6 months after you got setup.

I don't think in this modern world small businesses have much of a chance. Sure, there are some industries that might find success, but it's not like it was in the past.

I totally disagree with the bolded. Just like at any point, there have always been niche things that a person could start. I'm 100% self employed, and know lots of other people who have nice little businesses that are working.

It's not going to be "start an undifferentiated store and compete with someone who has 1000x more scale than you" but the internet has made the world a lot smaller, so you can effectively market around the world in your niche now.

[Sliver]

Originally Posted by bizaro86

I totally disagree with the bolded. Just like at any point, there have always been niche things that a person could start. I'm 100% self employed, and know lots of other people who have nice little businesses that are working.

It's not going to be "start an undifferentiated store and compete with someone who has 1000x more scale than you" but the internet has made the world a lot smaller, so you can effectively market around the world in your niche now.

In the same way the Internet has made the world smaller for sellers, it has made the world smaller for buyers, though.

Twenty years ago, 15 years ago and even 10 years ago local people would buy from me all sorts of things you can just get off Amazon now. There are products I'd sell by the hundreds at $30 each in 2005 that I can't even get $8 for now. Every year I shrink my products because as soon as Amazon starts selling a competitive product I have to bail. There's no hope of competing and, frankly, how can you blame the customer? He's doing his shopping laying in bed watching his shows versus driving around Calgary to pay more for something that Amazon will deliver to his door for free.

For my financial planning I'm just valuing my business at $0 for when I want to retire. We still do fine as we manufacture a lot of custom products, but there are so many things that we used to make that people will now opt for a cheaper, less customized, worse quality version because they're saving 90%. I do the same thing, so I'm not upset. Just the way the world works.

But yeah, if you can sell all over the world then that means buyers can buy from all over the world. You need to have a very special niche to attract buyers and if your thing is that great then guaranteed somebody somewhere will eventually find a cheaper way to do it to undercut you, or at least be competitive enough that your margins start shrinking to the point where you need to question the effort you put forth to sell it.

There will be exceptions and there is always the opportunity for success, but your competitors are global now, no matter how small and weird your niche. This is relatively new territory for your average small business owner. I'm surprised you'd disagree with Fuzz. I don't know many small business owners who would agree with you.

[Paulie Walnuts]

Originally Posted by Ironhorse

I don't know how people manage it anymore. It is death by a thousand cuts. Where is all this extra money going? As others have said earlier, I was a *lot* better off 10 years ago even though I was earning less salary.

This crisis is not going to end well.

And WTF is up with Pork shoulder??

You can thank the Conservatives for the raise in insurance costs.

[Sliver]

Quick post to acknowledge what you shared, SeeGeeWhy, and to give you a punch in the arm and a hang in there. I'm sure you know, but our value as people is completely unrelated to our bank balance or work accomplishments. Dollars to donuts says your kids love the absolute #### out of you and you are completely irreplaceable to them.

[woob]

Originally Posted by Sliver

In the same way the Internet has made the world smaller for sellers, it has made the world smaller for buyers, though.

Twenty years ago, 15 years ago and even 10 years ago local people would buy from me all sorts of things you can just get off Amazon now. There are products I'd sell by the hundreds at $30 each in 2005 that I can't even get $8 for now. Every year I shrink my products because as soon as Amazon starts selling a competitive product I have to bail. There's no hope of competing and, frankly, how can you blame the customer? He's doing his shopping laying in bed watching his shows versus driving around Calgary to pay more for something that Amazon will deliver to his door for free.

For my financial planning I'm just valuing my business at $0 for when I want to retire. We still do fine as we manufacture a lot of custom products, but there are so many things that we used to make that people will now opt for a cheaper, less customized, worse quality version because they're saving 90%. I do the same thing, so I'm not upset. Just the way the world works.

But yeah, if you can sell all over the world then that means buyers can buy from all over the world. You need to have a very special niche to attract buyers and if your thing is that great then guaranteed somebody somewhere will eventually find a cheaper way to do it to undercut you, or at least be competitive enough that your margins start shrinking to the point where you need to question the effort you put forth to sell it.

There will be exceptions and there is always the opportunity for success, but your competitors are global now, no matter how small and weird your niche. This is relatively new territory for your average small business owner. I'm surprised you'd disagree with Fuzz. I don't know many small business owners who would agree with you.

Man, I hate buying off Amazon now. There's so much crap on there that it takes (what seems like) a tonne of effort to wade through the garbage to find a good product from a recognizable name. It's at the point I'd rather buy locally at a store where I know the product and the prices these days aren't that much different. I feel for you guys though. So many people would rather pick up their phone, tap on something, and know it'll be here in 2-3 days at most.

That being said, I did use Amazon to buy an inlet water valve for my diswasher the other day, because our sanity was worth wading through the crap to find a good one and have it there in 1-2 days. Divorces start from dishwashers being broken!

[bizaro86]

Originally Posted by Sliver

In the same way the Internet has made the world smaller for sellers, it has made the world smaller for buyers, though.

Twenty years ago, 15 years ago and even 10 years ago local people would buy from me all sorts of things you can just get off Amazon now. There are products I'd sell by the hundreds at $30 each in 2005 that I can't even get $8 for now. Every year I shrink my products because as soon as Amazon starts selling a competitive product I have to bail. There's no hope of competing and, frankly, how can you blame the customer? He's doing his shopping laying in bed watching his shows versus driving around Calgary to pay more for something that Amazon will deliver to his door for free.

For my financial planning I'm just valuing my business at $0 for when I want to retire. We still do fine as we manufacture a lot of custom products, but there are so many things that we used to make that people will now opt for a cheaper, less customized, worse quality version because they're saving 90%. I do the same thing, so I'm not upset. Just the way the world works.

But yeah, if you can sell all over the world then that means buyers can buy from all over the world. You need to have a very special niche to attract buyers and if your thing is that great then guaranteed somebody somewhere will eventually find a cheaper way to do it to undercut you, or at least be competitive enough that your margins start shrinking to the point where you need to question the effort you put forth to sell it.

There will be exceptions and there is always the opportunity for success, but your competitors are global now, no matter how small and weird your niche. This is relatively new territory for your average small business owner. I'm surprised you'd disagree with Fuzz. I don't know many small business owners who would agree with you.

I think services are probably more sustainable on average than products for the reasons you mention. Or possibly products with a high service component. Something that comes with design or installation, or custom orders as you mention. If you manufacture streamers/confetti China ate your lunch like 30 years ago - but a high end wedding planner isn't subject to foreign competition.

I do think part of my opinion is that running a business has always required hard work, creativity, and smarts. That hasn't changed, it was hard work before and it's hard work now. The challenges are different than they were 50 years ago or even 10 years ago. It's sort of like the "kids these days" people - kids haven't changed, you're just old for thinking that.

I do agree that small businesses are less likely to have long term sale value, and I also assume $0 for my business for my retirement planning. Things are changing fast enough that probably something happens that nerfs it somehow in the next 20 years.

[BowRiverBruinsRule]

Originally Posted by woob

Man, I hate buying off Amazon now. There's so much crap on there that it takes (what seems like) a tonne of effort to wade through the garbage to find a good product from a recognizable name. It's at the point I'd rather buy locally at a store where I know the product and the prices these days aren't that much different. I feel for you guys though. So many people would rather pick up their phone, tap on something, and know it'll be here in 2-3 days at most.

That being said, I did use Amazon to buy an inlet water valve for my diswasher the other day, because our sanity was worth wading through the crap to find a good one and have it there in 1-2 days. Divorces start from dishwashers being broken!

Divorces start from loading the dishwasher differently!

[bizaro86]

Originally Posted by BowRiverBruinsRule

Divorces start from loading the dishwasher differently!

Yeah, but think how many air miles you'd get.

[CliffFletcher]

Originally Posted by opendoor

Alberta is definitely getting hit harder than most of the rest of Canada. Inflation is basically the same over the last 5 years between both (about 18%), but Alberta's median wage growth has only been about 12% while Canada's overall median wage growth has been about 23%. So while Canada overall has seen pretty good real wage growth of about 5%, Alberta's has been decidedly negative.

I expect it’s because Alberta was starting from a place of higher median incomes to begin with. Most of the recent wage growth in North America has gone to sectors facing labour shortages - the service industry and trades - and Alberta already had relatively high wages in those sectors. University-educated white collar workers haven’t seen much wage growth anywhere.

[undercoverbrother]

I hate buying off Amazon.

[Torture]

I love that I can find "insert product that can solve whatever random problem where you'd have no idea what store to go to" and that I don't have to leave my house, but the quality problem is very real.

[photon]

I find it pretty easy to avoid the quality problem by just sticking to manufacturers I know. I wanted some 40W LED bulbs for my pendant lights after I replaced the switch with a dimmer.

Brand is ANWIO or LVWIT or TORKASE or some other random sequence of letters? No thanks. I'll pay a bit more and stick with Philips or Sylvania or something like that.

Is there a cheaper one that's just as good? Probably, and if it was a more expensive item I might spend some time looking for a site or YouTube channel that reviews and tracks such things. I did that for PC fans once and got some great fans for a lot cheaper.

Personally I love buying off Amazon.

Most of the time I know exactly what I want and I check Amazon to see if it's available and cheaper. I started buying some food stuff off Amazon too but realized that its prices can be waaay higher, so I have to be careful. But there's lots of stuff on Amazon that simply isn't available anywhere else (packs of diet Snapple!).

Rental property the bathroom door knob locks weren't working anymore. Company doesn't make that style anymore. Amazon still had some! Want a specific beard shampoo/conditioner, can't find in Calgary, Amazon has it! Sriracha flavoured dried chickpeas? Amazon!

What I like less is SHOPPING on Amazon. If I don't know exactly what I want or what to search for then yeah it's like a wave of garbage.

[Monahammer]

Originally Posted by White Out 403

The rich and the power for the ones rigging the rules and making it the way it is. I don't know who to blame specifically I'm sure there's a lot to go around. What I do know is true is that there has never been a time machine in history when wealth has been concentrated in fewer hands

... what? Do you understand feudalism at all? There were definitely fewer lords then than people in the upper class now. And they had virtually 100% of all wealth at the time, in terms of legal ownership.

Make statements about the state of the current economy all you want but don't tread so wantonly on history!

[flamesfever]

Originally Posted by Monahammer

... what? Do you understand feudalism at all? There were definitely fewer lords then than people in the upper class now. And they had virtually 100% of all wealth at the time, in terms of legal ownership.

Make statements about the state of the current economy all you want but don't tread so wantonly on history!

Our whole economic system started to go downhill when the slaves started to demand more money, or a bigger piece of the action.

[rohara66]

Originally Posted by Ironhorse

I don't know how people manage it anymore. It is death by a thousand cuts. Where is all this extra money going? As others have said earlier, I was a *lot* better off 10 years ago even though I was earning less salary.

This crisis is not going to end well.

And WTF is up with Pork shoulder??

I didn't know the exact numbers... #### that is depressing.