Has anyone ever read the book "The Millionaire Next Door"? That book literally changed my finacial life. I went from a "buy now-pay later" wanna-be racer to a nearly debt free, cash/debit user only. My wife had alot to teach me too, when we first got together. It's amazing how much $ you can save when you quit eating out and pay down your debt first. I highly recommend the book. It labels 2 kinds of people: Under Accumulater of Wealth (UAW; {yes that is very ironic... considering todays problem}) and Proficient Accumulater of Weath (PAW). Every PAW I have met is not worried about this ression, the UAW's are freaking out. I thank GOD regularly for the will an oppurtunies to change... My projects are right on track thanks to lots of labor from my friends.
I've been working in the same place for the past 27 years. The company has been through a bunch of name changes and finally got sold to a bigger company a year back. They're in the midst of a big "re-org" and I don't know who I'm working for next week for a boss at least. We're busy as hell, but the parent company is big on closing down facilities to save $$. The wife has a steady thing, not the most $$ in the world but she works hard. I have the machine shop job on the side which has slowed down in the past few months. I'm doing 8 hours a week instead of 12 or more. Aside from that, with the $1800 mortgage and taxes, one car loan and one kid in his 3rd year of college, we're holding our own. I too avoid credit cards, use the debit card once in a while, but maintain my personal life style out of the side business money. Like most of us, I'm 2 paychecks away from disaster. I have some car parts to sell if I have to, also a zillion model car kits that can go as well. The drop in gas and fuel oil has been a big help to all of us, hope it can last a while. Just have to suck it up, mind my business at work, try to stay ahead of any car and house repairs and just hold off on anything that is expensive for a while. Bob
Good points from all.Knowing the problem is solving the problem.This Recession is probably gonna get waaay worse before it starts back up the hill. The strength we can all share here on the HAMB is NETWORKING! Information is a wonderful tool. My wife and I are very fortunate that our jobs are safe for now. Given that I have a project and most of the tools and raw materials to work with,I'm very lucky to be able to finish what I want to do.
That is so very true and yet there are so many who miss this completely because they are too busy trying too hard to please the 'Court of Popular Opinion'. Luckily I have collected so much stuff that this is a good opportunity for me to 'recycle' some of it and while some are complaining about what the internet has done to prices, I don't think you'll hear them complain when it comes to selling and getting good prices for their stuff, especially if they have had it for a good few years. So what I bought cheap years ago and never used or pulled off a car to change, is now subsidizing my habit.
Shawn, that's been my approach for decades! And I spent the last 11 years working on the cars that no other shop would take in. Taught me a lot, too. But when the last shop I worked for shut down in July, the wheels started falling off here. Since then, I've sold off all my projects (which I'm really emotionally attached to, so that was tough) and eventually, all of my shop equipment and tools. I still have the Morris hot rod and one rollaway box and that's it. I moved out of my house and into a tiny studio apartment. I apply for about 20 jobs a week (but the economy here is notoriously weak and nobody's really hiring) and am on unemployment and food stamps. It feels like some kind of opportunity to start my own business doing something - hope I figure that out before my benefits run out (freelancing to magazines doesn't pay much). I like the comment about us having our own little economy - I agree with that in general, but lately it's dead around here. I believe we'll all come out of this stronger and wiser, if not a little beaten up. Until then, we'll just have to strap in for the ride... Scotty
I wasn't even gonna get on this thread (I got on the other one, the one where everybody says there is no recession, it's all the media) except to say this: I have been laid off twice in two years, and out of work for 6 months and counting, this time. I am now going back to night college for another degree, to become a CPA. I never thought I'd still be in college at 47 years old. This is bull.
I think the guys here on the HAMB will for the most part come out OK. The do it yourself attitude, self reliance point of view along with just plain common sense gives MOST car guys the tools to survive. Ran across this quote from Henry Ford a while ago.... "The Depression is good for the country. The only problem is that it might not last long enough in which case people might not learn enough from it."
I agree that a positive additude will help. But sometimes you have to face facts. I was doing Ok selling parts and trading vehicles tractors. Then this fuel thing happened. Made shipping cost too high took all of my customers extra money. So I took a job driving a truck hauling feed for a cattle feedlot. Now cattle prices are going down sure hope my employer can make money. The very best thing we are out of debt dont own a dime. Also we know how to feed ourselves without having to go to the grocery store. I not really worried I grew up poor in the ozarks in the 1950,s we had no electricity indoor plumbing carried water from the spring ect. Let me tell you its no fun dont want to do that again. As it is im still buying vehicles and the drop in gas is a big help. however I think a world wide depression is upon us. I really hope im wrong. Everyone needs to try to become as self reliant and as self sufficient as possible. If you get prepared for hard times and it dont happen it wont hurt you at all. Remember you are the one who is paddling your own canoe. Good Luck OldWolf
Well, I work in food service (Butcher/meat market) so thats pretty safe, people gotta eat..We've got three rent houses, people gotta have shelter..Sally is the best co-conspiritor a guy could ask for..I recently sold a 52 Packard to some other car freak and used the money to further along my 48 Cadillac project..which by the way is going to have run on premium only and will get about 10 miles to gallon on a 16 gallon tank...
Yes, I sell on ebay. I can't understand the people that insist on mailing it 'Priority" and in fancy boxes. My buyers are always raving on how well I pack my stuff. I wonder what they would think if they knew my packing was free? I save about $3 per sale by dumpster diving, getting free cardboard and plastic peanuts! I NEVER pay for 'delivery confirmation', 'insurance', or 'priority'. Insurance? Since 911 they track EVERY package, insured or not. The post office hasn't lost a packabe of mine in 5 years! Why would I buy insurance? The Priority box and the parcel post box leave on the same friggin' truck from here to Texas on the IH25! The difference in price of priority and parcel post us usually over 50cent. A hundred items, that's 50dollars in my beer fund!
Don't get me wrong, I'm not sure what I would do, in your specific case, but I have done the following in one situation in my life. If you and wife have decided to move to that small town and start a new business, if you are committed to that, you could sneak in and live in that garage(temporarily) until the cat was out of the bag. Town folk might not even care. It that's your dream to have that business, then I suggest that you "consider" the following, putting a big emphasis on the "CONSIDER". If your equity in the house you're trying to sell isn' a lot, like not much more than the rent you would have paid if you were renting instead of buying, you might just walk away. Move your belongings, cancel your utilities and cut all ties, throw away the key. You might not even call them. After not hearing from you they'll figure it out. What have you lost? It's a mortgage. Mortgage law is, The reason they call it a mortgage, is because the people that loaned you the money to move in are the owners. They own it, you rent it from them until you own it. Forclosure is a financial tool to steal the house back from you if you don't pay. You are under no obligation to pay, that's why it's called a mortgage. If you don't pay, it's theirs to do what they want to do with it. They can threaten you, etc. but the only thing they can actually do is have you evicted if you reneig on the payments. If you are already gone, all they can do is own the house. .. Remember, I said "consider" your options. Not suggesting anything.
I'm in the "pay cash or do without" category. My current financial situation is not due to lay offs directly (although I have been layed off 14 times). I never sold my tools because I make money with them. After I lost one job I went back to where I worked and changed oil and brake jobs on my former co-worker's cars while they were at work in the parking lot. I turned my hobby of restoring cars into a business (Rocky Mountain Amphicar) and did well. I had a 4 year waiting list for my Amphicar restorations. Then last June some idiot hit me head-on. He tried to save 3 seconds out of his day in trade for a year of mine. It destroyed my shoulder. Now this may not sound that bad, but I have been paralized and requiring a wheelchair for almost 26 years now so my shoulder is paramount to my survival. I have about 2+ months of healing and rehab before I can think about working part time. Two surgeries and a full year of recovery at least. The med bills are piling up because he didn't have insurance and I didn't have enough. Had I been a "credit card / keep up with the World" type, I would not have been able to survive this long without income (nothing since Aug 2, 2008). Some luck and lots of forethought has helped keep me above water. (especially crucial for an Amphicar guy!) I have many great close friends that have propped me up (forgive the pun) when I needed it most. Without them I would surely be in a different place. I am far from wealthy, on th eedge too. I will make it by being frugal and smart about it. I will survive and thrive as I have done before. I have started over a couple times in my life and one thing that made me stronger was from what I didn't have... Food. Food? How can being without it make me stronger? I think everyone should have a point in thier life where they go hungry, i don't mean one meal either. Try days without and not knowing when you'll eat again. That feeling will stay with you always and help keep you focused on not experiencing that again. I was homeless when I was 17 for 3 years. I shoplifted to survive. Never expensive or more than I could eat. Then I got a job at a pizza place so I knew I could eat and not have to steal any more. Thirty years later I still go out of my way to shop at that same store to give back what I took. Trust me, I plan ahead for that rain that will come. I give when I can to help out others and it will come back too you to. It always can get worse and you can always make it better.
I have to jump back in and thank everyone that has responded to this post so far, and encourage more of you to jump in. I have been reading everyones comments; I am proud to be a member of the hot rodding community for the very thing I see in the content here. Older members sharing hard earned lessons, younger guys with new ways of looking at things. Most of all I think the bottom line here is what started for me in the 70's at the drags, or cruising the burger joints on the weekends in my home town; the grit and determination that it takes to build a car, is the same component of our personality that will take us through hard times. Car guys tend to hang together because we're gear heads, but also because we share a lot of traits. I don't know if things wil get worse, nobody really does, but sometimes I feel like the guy waving a golf club in a lightening storm with rain and hail pouring down yelling "C'mon, is that all ya got"? Yea, I've done some stupid stuff, and a couple of times got struck by lightening! Thats how we learn. I have picked up a couple of things. You'll never see one of those "NO FEAR" stickers on my car, more like "GOT FEAR, LEARNED TO DEAL WITH IT" I do believe you should live every day like it could be your last, but plan on living to a hundred. To those that would disagree with me, you have a right to your opinion, and yes, that is my middle finger extended. To anybody out there struggling, hang in there. And by all means, keep on wrenching.
Well ,,when using Paypal,,tracking is worth the extra change . So you don't loose $$ and a part..We do the recycling thing as well,tons of great boxes and packing goodies ,,plus all the bundles of old newspaper folks toss out. Though the difference between Priority and parcel most in many cases is far more that 50 cents
Doing side work on other peoples cars and selling "stuff" on Ebay has always helped me thru the hard times. I'm self employed for the last 20 years and peaks and valleys are always part of it.
I actually just got laid off this morning.... shitty. I'm really really really hoping that I don't have to sell the Model A sedan I just bought two months ago OR my Buell which I was riding daily to work. I work in the performance aftermarket automotive industry and it's sad/scary to see how much things really do roll down hill. When Joe Blow stops spending money because things are tight or because he got laid off, he stops buying parts for his hot rod which starts to affect all of the companies in the industry. I thought I was safe with my job but when the boss man runs out of money and shuts the doors what can you do? Luckily for me So Cal is home to a ton of automotive type companies. I hope I find something soon because I'm neck deep in bills, school loans, and mortgage. Fuck.
Haven't worked in 6 months. Detailing cars paid the bills and then some until this recession business hit. Moved back in with my parents, sold most of my cars, cashed out my 401k, and will be going to school in January. I am debt free, but I still got bills to pay. It is scary watching your savings slowly dwindle down, but it's just another reason for me to go back to school to get a real job. I'm just lucky my parents are financially stable enough to support me, but I feel terrible for leaning on them like I am.
I am getting laid off just after the holidays. I have a small rat hole of cash I was able to put away from selling parts etc, between that and un-emplyment I'll be OK for a little while, but I have all the typical bills of a 35 yr old male, 1 wife, 3 kids 3 10 12, 2 car payments and typical house hold bills. BUT, I own all sorts of welding equipment, painting and body tools, sheetmetal brakes etc, and I have a small stash of pretty desireable parts, and I'm not scared to work. Hell I have a chainsaw too, I'll cut some wood to sell this winter! I will make it, who knows how long, but I will get out and hustle. I have several done cars and project cars that I will sell before my kids go hungry, or loose their house!! If you aren't afraid to get dirty, and work cheap, a person can and will make it through this BS!
Ive always found that having good tools, a shop to work in (not full of household junk),and especially good friends can get you thru tough times, and save you a lot of money. Junk yards and swap meets also help. Alot of times you have something that they need,and they might something you need .So no money changes hands. Beer also Helps!
I pay cash. I went through that credit card crap 20 years ago and finally cut it up and sent it back to them. I use a secured credit card for online buying. If something cost $50, I put $50 on the card. I am lucky that my boss lets me work overtime when it's available. If I'm sitting around on a Saturday with nothing to do, I go to work for a few hours. Time and a half adds up. I don't do fast food. Hell, for the cost of a combo meal, I can make 3 fat ass hamburgers on my grill and they are really done MY WAY. I don't buy crap to impress the next guy. I try to impress myself first. If someone else digs it, cool. Times aren't going to get better for a long time. 2009 is going to be a bad mother fuc*er. Save, save, save! I don't trust banks either. They all look like they are getting ready to fold. Your money being insured ain't gonna be worth a damn when the doors lock. I keep mine in a fireproof safe. When you get home at the end of the day, drop your loose change in a jar, it adds up. Screw going to the movies, the crap will be on DVD in a couple months and on cable 2 months after that. And finally, spend some quality time with family and friends. It's free and you'll feel better afterwards.
I talked to a buddy that went to Long beach swap yesterday, he said lots of people there but there hands were pretty tight in there pockets,he has a parts store and sells performance parts a couple times a year at long beach, he said it was really slow (sale wise) and he usually does pretty well, he isnt afraid to take a reasonable offer and is willing to deal. people are tightening there belts even at swap meets the way it sounds.
You are not only a good man but a wonderfull husband. To be happy and positive in the situation you are in is the exception not the rule. Having a good wife beside you always makes a big difference. Keep your head high my friend. You have a good life ahead of yourself. My best wishes to you and your family this Christmas and many,many more!
this guy on the news the other day said this why does the guy who takes a shower after he gets of work have to pay for this and the guys who take a shower before work dont pay nothing he was from the steelworkers union
im working for a great company right now but their has been layoffs this mounth and more to come and im knocking on all the wood i can find that it wont effect me. but im selling my offroad race truck right now just to have that mortgage money in the banck incase i do get let go. I dont know what i will do if that happens probly take on a lot of side work and stat buying and selling cars and trucks agin till somthing else comes along.
ive been lucky at 38 i'm a butcher for 20 years with a national company ,union ,4 kids 1 job for 10 years i've been living lean. every time i had money saved.... the house / car /kids somebody or something needed it more. and like the rest of you i went to work 7 days a week and 50 60 hours . my kids asked why do you have to work everyday my answer was (thats what dads do) no credit cards then or now. had a "friend "stick me with 8300 in bills about 11 years ago took a few years to get out of that S.O.B. my wife got a job this year she didn't in the past because we both thoght she needed to be home with the kids so that they saw a steady presance of parents . she works with the elderly ( i tell her shes trying to pad her resume to get into heaven. to off set marrying a guy like me ).any way it was her dream job she loves it. now before i say this i feel its different for everyone . but personaly now you guys think what you want but i think its carma or something for me personaly. when i do something bad i get screwed . when i do something good well you get the picture. i know how that sounds. but i sleep good. well better than i did. keep going fellas you are all very resourcefull. i know you will land on your feet
I think we'll find out how things really are at car shows in 09. For me 08 was one of the best years for striping at shows, but for '09 we'll see. I;ve started a consurling biz this year, actually I've been doing for years but made it formal this year. It deals with car guys who own busiesses and not necessarily car related, From what I gather we're about 2/3 worried and 1/3 buisness as usual. What
Continuing from last post... What makes it obvious is that all car guys, business and car owners, have the thoughts of haard times existing in their minds most likely because of the blasting of bad news everywhere. Car Guys who own businesses that keep hustling and working with their customers on an economy basis will stay busy. However, some of the businesses I speak to who have clients with big money, the economy has no bearing on what they do. But there is a backlash coming for those who are spending big bucks to show off and if they have any conscious they will feel for those who are struggling to keep food on the table, take care of the family and still have their cars too. That's a noble idea, but you cannot stop living your own life just because of others' bad luck, that would kill the whole economy. If you have it, blow it! That is the norm in todays crummy economy and we have the feds and SOB investment advisors to blame. But as we all know, sooner or later the cycle, good or bad, ends and begins all over. Just keep burning rubber and working towards a better day, cause the gov aint gonna do it for ya. Mikey www.HotRodConsulting.com "Survive the Bad Economy...Create Your Own Damn Economy"
If your equity in the house you're trying to sell isn' a lot, like not much more than the rent you would have paid if you were renting instead of buying, you might just walk away. Move your belongings, cancel your utilities and cut all ties, throw away the key. You might not even call them. After not hearing from you they'll figure it out. What have you lost? I think it used to be referred to as being a 'man of your word' which is partially why our country is in the situation its in. Deals used to be done on handshakes but I guess now we are saying even our signature can't be trusted. Don't sign up if you can't pay and yes, I realize there are extenuating circumstances in every situation. By the way, before ya jump on me for my response, I found out today my job is 'giving us' a 'two week rest period'. No pay. We find out 1/5/09 if we still have jobs. Either way, I'll honor my commitments or have a dang good explanation as to why I can't or what I can try to do.
Firts off there is a recession!! When your neighbor is layed off it's a recession, when you are it's a depression. I feel for everyone getting layed off and trying to find work. The economy was going too hard and fast due to the housing boom, and the lowering mortgage standards to allow people that could not afford a mortgage, to get one. But here's my point, if you talk long enough and hard enough about a slow down you will get one(remember the toilet paper, and oil shortages). This was an election year and as always the party out of power tells everyone how bad things are or are getting (sound familiar). When you keep hearing this you normaly start to watch your spending, when enough people start to believe it, things slow down, and it snow balls. Now we have to start talking about things getting better, because of a party change (the new government should start this early next year). Hopefuly things will start turning around. Don't make anything easier on you now, but remember to watch out for the trends in the future. I bought all my major parts 4-5 years berfore I retired ,so I would not have to spend on them on a fixed income. I woun't know how I'm doing personaly until I know how long the markets take to recover. I know it will eventualy. just some of my observations!!
The Jalopy Journal
