4 ms·

Screw the Tech Bubble: What's your Plan B?

30 points by gacba 15y ago

jsiarto 15y ago
The best advice in this article is having a cash runway. So many people (people who live in 500K houses and drive fancy cars) are literally 1 paycheck from bankruptcy. If you need a constant influx of 6K paychecks every month and you don't have a dime in saving to show for it--you're in trouble. My wife and I run a small tech company--we have, at the very least, 6 months of income saved in the event we have to go without a paycheck or shit just falls apart. We pay cash for things like cars and vacations and we stay out of debt. We're not worried about losing our jobs--we plan as if that's inevitable. EDIT: Actually, the only thing I do worry about is healthcare. This country has its head up its ass as far as that goes. Group insurance is great (although we pay about $950/mo to insure 3 partners)--if you have to get individual coverage, good luck...
- nthj 15y ago
  This. Financial wisdom is peace and freedom. Even if someday I move on from consulting to a job opportunity, the financial wisdom I've been forced to acquire because of the ups and downs of consulting will pay me dividends for the rest of my life. Actually, Solomon has some great stuff to say about money. Multiple streams of income, keeping track the "state of your herds," it's all in Proverbs and Ecclesiastes. The guy was the richest man to ever live, and it's not hard to see why.
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- apr 15y ago
  Healthcare is a bitch. Especially if somebody in the family has any pre-existing conditions. In the US it might make sense in some situations to hold a job not for the wages or the salary but for the group insurance that they provide.
  - jsiarto 15y ago
    Couldn't agree more. I had a non-malignant "tumor"--essentially a jaw cyst that got me denied individual coverage. Once that happens, you are blacklisted in the MIB (insurance database) and will never be able to obtain individual coverage. I was lucky that I had an opportunity to start a cash flow positive company with 3 people so we could qualify for group coverage. Only problem is, I always have to be aware that that's my only option.
vgurgov 15y ago
cash savings in CHF enough for ±1 yr runway + no debt + diversified investments portfolio (fast food franchises in eastern europe) = i am feeling ready for some serious web2.0 ventures ))

30 points by gacba 15y ago

The best advice in this article is having a cash runway. So many people (people who live in 500K houses and drive fancy cars) are literally 1 paycheck from bankruptcy. If you need a constant influx of 6K paychecks every month and you don't have a dime in saving to show for it--you're in trouble. My wife and I run a small tech company--we have, at the very least, 6 months of income saved in the event we have to go without a paycheck or shit just falls apart. We pay cash for things like cars and vacations and we stay out of debt. We're not worried about losing our jobs--we plan as if that's inevitable. EDIT: Actually, the only thing I do worry about is healthcare. This country has its head up its ass as far as that goes. Group insurance is great (although we pay about $950/mo to insure 3 partners)--if you have to get individual coverage, good luck...

nthj 15y ago
This. Financial wisdom is peace and freedom. Even if someday I move on from consulting to a job opportunity, the financial wisdom I've been forced to acquire because of the ups and downs of consulting will pay me dividends for the rest of my life. Actually, Solomon has some great stuff to say about money. Multiple streams of income, keeping track the "state of your herds," it's all in Proverbs and Ecclesiastes. The guy was the richest man to ever live, and it's not hard to see why.
- deleted 15y ago
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apr 15y ago
Healthcare is a bitch. Especially if somebody in the family has any pre-existing conditions. In the US it might make sense in some situations to hold a job not for the wages or the salary but for the group insurance that they provide.
- jsiarto 15y ago
  Couldn't agree more. I had a non-malignant "tumor"--essentially a jaw cyst that got me denied individual coverage. Once that happens, you are blacklisted in the MIB (insurance database) and will never be able to obtain individual coverage. I was lucky that I had an opportunity to start a cash flow positive company with 3 people so we could qualify for group coverage. Only problem is, I always have to be aware that that's my only option.

vgurgov 15y ago

cash savings in CHF enough for ±1 yr runway + no debt + diversified investments portfolio (fast food franchises in eastern europe) = i am feeling ready for some serious web2.0 ventures ))