They’re at it again this morning on the radio , recession , recession , recession , we’re all doomed . I know that Halloween is next week but they really are getting carried away with all of the ghost stories . There’ll be no medical care for the elderly , no teachers in the schools , no money left in our wages after we all pay taxes and levies , etc. , etc. , etc .
Well I’ve officially decided to opt out of this recession and your more than welcome to join me if you like !
There will be a few do’s and dont’s , but not too many .
Firstly , if you don’t already have a bike , buy a bike ! From January first there will be the opportunity for a huge saving on bikes and safety equipment ( helmets , reflective clothing , lights etc. ) purchased up to a total value of value of 1000 euro . The scheme is for people who intend to commute to work by bike and will have to be paid by the employer . There will be a saving of 415 euro for those on the high rate of tax and the employer will save on prsi contributions . Many employers should also offer to deduct the remainder from the employees wages weekly which would mean that you can have great bike and all of your safety equipment for just over a tenner per week .
Secondly , get some fresh air . It doesn’t matter if it’s raining , put on a jacket and get out for some fresh air . Cycling is of course the best way , but even going for a walk will help clear your head and make you feel a little lighter . And guess what George Lee – it’s free !
Thirdly , do not talk to Joe ( even if your name is Tosh ) , listen to Gerry , watch George , David or Eddie . They have all been temporarily put on the banned list of ‘ daily doses of depression ‘ and have joined the fully banned Eastenders , Coronation Street , Fair shitty ( oops I mean city ) , The Clinic and any other form of European version trailer trash real life escapism . These are all the equivalent of having your brakes rubbing for a full 160k cycle . Release your brakes and feel how much easier it becomes .
Fourthly , be realistic . What is happening at present is just a natural correction which happens every now and then . The banks have gone back to just lending three and a half times salary for houses and only then at 80 or max 90 % loan to value ratios . This is as it should be and needed to be corrected . Allowing people to get 100 % mortgages at 10 times a multiple of there salary was always going to end in tears and it didn’t take a David McWilliams to see that . House prices will be at their realistic value and that is a good for everyone .
One day last year a customer was in dropping a bike off for repair . This particular guy has never worked a day and lives at age 26 with his parents and older brothers in a Local Authority house . He always pays a fiver per week on repairs and often prices the job in cans ie. a new tyre and tube would cost ten cans of Scrumpy Jack . We were chatting and he was telling me about the new houses going up near him which were ‘some bargain’ at 229,000 euro .
I immediately thought of JFK’s father Joe Kennedy . In 1929 a month before the Wall Street Crash he was getting his shoes shined . The shoe shine boy was very talkative in the hope of getting a good tip and began telling Joe about a certain stock which was going to go through the roof in its value . Joe thanked the boy for his advice and gave him a reasonable tip . He then walked down the street to his Stockbrokers office and told him to sell every single share on his portfolio . A month later the Wall Street crash occured and millions of people lost their life savings and more . Joe waited it out and almost a year later he began buying back into the market . He bought many of the same companies that he had already owned but for a fraction of what they had been worth . Many of these were solid companies and were very soon back on the way to profitability and their share prices soared with them and Joe Kennedy went from being a wealthy man to a super rich one .
Many millionaires were created in the aftermath of ‘The great depression’ and many more will be created over the next few years so if making money is one of your goals you should be excited , not depressed .
Finally , save AND spend . Money was made round to go around . At times like these many people will sit down and take a look at their finances. This is a great thing and most people will be happily surprised when they see that their situation isn’t half as bad as they had predicted . It is very important to save a percentage of what you have left over after general living expenses but there should also be a little ‘treat ‘ money in the budget . Fear is what creates a recession because people stop spending and shops stop carrying as much stock . Here is a practical example ;
If for instance we decided that due to the recession we were going to carry less stock of Winter Jackets . Then when a customer comes in we may not have one to suit and they go elsewhere or just make do with what they have . They would have bought one but we didn’t have one for them . Then at the end of the year we sit down with our accountant and he says ‘lads , ye’re turnover is down ‘ and we all blame the recession , when in actual fact the problem would have been a lack of stock . Then we don’t go over to Fitzgerald’s and buy a new pair of jeans which in turn may mean that the guy in Fitzgerald’s doesn’t go up to change his car etc.
So rest assured , our stock level is better than ever and you are more than welcome to join us in our very own Recession free zone !