Inflation is taking a toll on the American economy, with everything from gas to groceries seeing a steep price increase.
There is little that individuals can do to avoid inflation at the cash register, but Berkshire Hathaway CEO and legendary investor Warren Buffett says that people can make certain moves to protect against its effects.
Speaking at the 2022 Berkshire Hathaway annual shareholders meeting, Buffett repeated his long-held advice that one of the strongest protections against inflation is sharpening your skills and working to be at the top of your field.
“The best thing you can do is to be exceptionally good at something,” the 91-year-old said Saturday. Mentioning professions like doctors and lawyers as examples, Buffett said that “[people] are going to give you some of what they produce in exchange for what you deliver.”
Buffett added that skills, unlike currency, are inflation-proof. If you have a skill that is in demand, it will remain in demand no matter what the dollar is worth.
“Whatever abilities you have can’t be taken away from you. They can’t actually be inflated away from you,” he said. “The best investment by far is anything that develops yourself, and it’s not taxed at all.”