The Fine Art of Bartering

Show Notes

It’s older than money but works just as well. It’s not beads or bars of gold and it’s certainly not bitcoin. It’s an ancient practice that buys goods and services with no medium of exchange. It’s the fine art of bartering. We all have skills and unneeded items that others value. Have you ever thought about trading yours, or bartering, for things you need? Financial planner and teacher Rob West has some pointers for doing it right.

• Bartering is a very natural way to exchange goods and services and like you pointed out at the top it predates currency.
• It’s now possible to make barter deals without leaving home. And there are two ways to do that. First through barter “exchanges,” where items are assigned points. You can “sell” items or services for points and then redeem them for things you want.
• it’s important to set the terms up front to avoid misunderstandings. So the first thing you do is determine the monetary value of your item or service compared to what the other person is offering. The goal is to make an even exchange.
• First, determine what you think is the fair range of value for your item or service— and start negotiating at the high end.
• You also need to set time frames for the completion of the barter.
• be careful bartering for services that require licensing or other certification.
• Remember to be fair and honest with everyone you deal with—because you are a witness for Christ. Proverbs 16:11 says, “Honest scales and balances belong to the Lord; all the weights in the bag are of his making.”

In this show we also answer your questions:

• Should we think about taking money from our 401K since all the stocks are dropping?
• What is the difference between 529 and ESA plans?
• I have a 401K that is dropping. Should I stop contributing to it? Should I move it to a safer type of savings?
• How do I get my wife on board for budgeting?