“Fat Checks” Couldn’t Come at a Better Time…
My daughter Morgan was almost in tears when she got back at 1:30 in the morning.
Her weekend curfew is midnight and like any good dad, I had been worried about her. Fortunately, she texted ahead of time to let me know.
“That’s six hours of my life that I’ll never get back!”
She was clearly frustrated. And no, this wasn’t a high-school party that caused her to be late.
Instead, my daughter got stranded babysitting well past the time the kids’ parents said they would be home.
Fortunately, Morgan is going to be able to use this situation to her advantage. And the conversation I had with her the next morning might help you benefit as well!
The Irrefutable Law of (Babysitting) Supply and Demand
“Dad, she wouldn’t even text me back!”
I stifled a laugh at the irony of my daughter complaining about someone not texting her back. I’m sure you know how teens can be when it comes to communication.
The next morning after Morgan’s babysitting drama, the two of us sat down to talk.
“Once the mom got home, she apologized. She said she lost track of time and that I should charge her whatever I thought was fair.”
I could see the dollar signs showing up in Morgan’s eyes.
“She also said it is hard to find people willing to sit for her twins. I think she’s scared that I won’t sit for her anymore.”
What a great opportunity for a real-life conversation about negotiations, supply and demand, and making the most of your time!
Over waffles and coffee, Morgan and I talked about how she was providing a service that many others would not be willing to do… about how the mom really needed the service that was being provided… and how this gave Morgan a lot of leverage in discussing how much she would be paid going forward.
Morgan decided to charge the mom double for the hours past curfew. And then going forward, Morgan is going to charge an extra dollar per hour for each additional kid she sits for.
“I think she’ll understand, because the twins can really be a handful sometimes.”
As a dad, I was really proud to see Morgan stand up for herself, charge a higher fee for being a reliable and trustworthy babysitter, and for learning a bit more about how the “real world” works.
Incidentally, across the U.S., more workers are finding themselves in a similar position to Morgan. They’re capitalizing on the situation and taking home bigger paychecks!
And that’s great news for you if you know how to play it.
Wages are Rising, Spending Will Follow
There may be a shortage of babysitters willing to take care of twins…
But on a much broader level, there’s a shortage of reliable workers to fill all the jobs that companies across America are offering. One of the biggest concerns that executives have been expressing this year is the challenge of finding qualified, drug-free workers.
Talk about a great opportunity for motivated workers!
The demand for workers is so strong, and supply of quality people to fill those slots so thin, that businesses are willing to pay up to get workers to join their team.
That means just like my daughter was able to negotiate a higher fee for babysitting, workers are able to negotiate raises, or simply move to new companies that are willing to fork over a higher paycheck.
Recent statistics show that workers are seeing more growth in earnings than at any time since 2001. Just look at the chart below from the Bureau of Labor Statistics!
With fatter paychecks fueling spending on everything from vehicles to homes to apparel, this is a great time to be investing in companies that sell directly to consumers.
And this couldn’t be happening at a better time for American workers!
Because as we head into the holiday season, employees now have more to spend on gifts, holiday festivities, and travel!
So over the next few months, make sure you’re setting aside a bit of extra investment capital to capitalize on this trend. Because as consumers spend extra money from bigger paychecks, we’ll see those gains flow through to specific areas of the market.
Discount retailers, stylish apparel companies, and travel companies are at the top of my investment shopping list.
I hope you book some great profits to fund your own holiday spending!
Here’s to growing and protecting your wealth!