Saturday, May 21st came and went. Sorry Mr. Camping, but we’re still here – another reprieve for the world, a disappointment for a small few. So what happens now? It has to be acknowledged that the human psyche will unfailingly attach emotions to an event or their goals with no thought for a Plan B. We see demonstrations of this everyday, from the cacophony of a riverboat casino to the trading floor of the CME, to your living room where your day trading is accomplished to Oprah or Dr. Phil’s voice in the background.
Last week, we talked about financial contingencies and preparing for the unexpected. But one of the other dangers is our complacency in recognizing that we’ve inadvertently placed our financial goals in one basket. Some would argue that investment portfolios and their involvement in mutual funds are diversified and by this alone, we have sufficiently protected ourselves from loss or penalty.
Tags: backup plan, doomsday, doomsday theory, eggs in one basket, end of the world, financial backup plan, harold camping, May 21 2011, retirement, retirement planning, tax penalties, tax savings, Taxes