I think I’ve found a downside to blogging. It’s the money. I’m earning too much.
Don’t worry, I haven’t lost my mind, nor am I blogging from the padded comfort of a high security psychiatric faculty. Making a lot of money is not without it’s problems.
The current financial crisis has made it virtually impossible to find a safe place to stash the cash. Years of being lied to by politicians and bankers has left the western world with a fiscal headache the size of Pluto. The bankers will squirm, the politicians in their pockets will pander to them and the tax payer, as always, will get screwed and pay the bill.
100% of the income generated by Upstart Blogger is put into a savings account. With my music career generating enough money I don’t need to use the extra thousands that are coming in each month. Furthermore, I feel that the long term interests of my family are served best by saving the monthly blogging windfall rather than simply raising our expenditure.
Sounds great doesn’t it?
But those savings are not guaranteed. If my bank falls, and it could very easily fall, I wouldn’t get all of my money back. The only choice at the moment seems to be to take my money and deposit it in a bank within the borders of a country that has a 100% deposit guarantee.
Or maybe I should do my bit to push the economy forward and go Lamborghini shopping first thing in the morning.
But that, of course, is not the financially sensible thing to do. If the upward income trend continues then my choice of transport may one dayl have a raging bull on the bonnet, but not until I’ve secured my families financial future.
The problem is finding that security. Property, metals, currency, nothing is safe
It’s a crazy situation. And it is no surprise that gold futures rose sharply today as people scrabbled for a safe investment.
Of course, the blogging money train keeps chugging along relentlessly and as more and more people jump into what is still a new economy that’s not going to change for the foreseeable future. I just never thought that securing the money that I had already earned would ever be substantially harder than earning it in the first place.
Woe is you, eh? ;)
Just go Lambo shopping, and while you’re at it, why not get one for me? Infact, better idea, why not hold a competition to give one away right here on UPSTARTBLOGGER! Giving back to your community has never sounded so great.
In the US your money has a guarantee of up to one hundred thousand per bank. So if you have more than that, you just need to have accounts at more than one bank.
Kathy is right, and i think that is soon being raised to $250K so whats the problem?
I figure, the way things are going at the moment, you could probably just buy up Buckingham Palace for a song and dance and then rent it back to the royal family for the foreseeable future….
Stefan – Good idea. I’ll book some test drives and let you know how it goes…
Kathy / Brooke – Those figures aren’t very big when you consider the colossal amounts of cash generated by some blogs. Indeed, if things go as planned for 2009 and 2010 I’ll breach that limit.
The only way out is to have worldwide agreements that guarantee 100% safety for deposit accounts. Otherwise money will just cross boarders as the sensible rats desert the sinking ship.
Underdogblogger – Don’t get me started! How any modern society can have a non elected head of state is an absolute mystery to me.
Isn’t part of the Government bailout, the increase of FDIC (Federal Deposit Insurance) from $100,000 coverage to $250,000?
Besides that, there’s much better investments that can be made then a savings account. Bonds, Real Estate… even the Stock Market. It seems ludicrous to go into the market with what’s happened to the lay-person, but when the market returns to normal any investment on par with the index stand to yield percentages that could rival even good savings account yields. –Even if it takes 10 years.