I drove about 4 miles out of my way yesterday to get gas. Why is that? Because I was able to get 20 gallons of gasoline at $3.40 vs. $3.75 saving me $7 for an expense of $0.60 in gas and about 6 minutes of my time. I had the day off yesterday and was on my way to get a haircut so spending a few minutes was no big deal.
The thing that really ticks me off about gas prices is the 10% overnight hike! Prices never drop by 35 cents per gallon but always seem to jump overnight. They always jump and then trickle down slowly over the next week until they jump again. It sure is suspicious and would make me wonder about price fixing. But what can I do about it other than try to fill up at a station that hasn’t spiked yet and hope that prices decline before I need to fill up again?
If You Can’t Beat ‘Em, Join ‘Em
I guess the only way to really decrease the impact of such a set of circumstances is to benefit from the price increases and become a shareholder of one of the oil companies. Of course, I could bike to work, but 30 miles one way on some days just wouldn’t be that realistic. The cost of electric vehicles don’ t quite make sense, either. Nor does selling my house at a major loss to move closer to my place of employment.
But investing in oil company shares is something that could be done relatively easily. And I could collect dividends on the shares, as well. Eventually, I might even be able to own enough to offset the cost of gasoline, the definition of passive income. BP is currently paying over 4% in dividends, as is Conoco Phillips (COP)!
I am focused on paying off debt right now which will yield an even higher return so I won’t be investing in the immediate future. But if the high prices of certain products are getting you down, then consider becoming an owner of those assets and benefit from the price increases rather than letting them cause you pain.