Reciprocal Care

A Buffer helps take care of the noise. An Engine is Capital that earns (on average) more than you spend (on average). Spending is noisy. Which means there are expected unexpected expenses. Sometimes the answer to “Why did this bad thing happen?” is “bad things happen”. Don’t be surprised. There is a difference between noise – “Good Months, Bad Months” – and Permanent Impairment. Starting again. A Buffer is only a Buffer with reciprocal care. If it is topping up your earnings when they are less than your expenses, but never being topped up, then you are leaning towards Permanent Impairment. Neglect. The Buffer will fade away. Engines are bigger (and can work on longer term projects because they aren’t needed for smoothing) but also need care and maintenance. Like fruit producing trees. You can live off the fruit, but you can’t consistently cut down trees. Buffers and Engines can provide care. But they need caring.

Overexploiting Resources