Recession Survival Guide for Retirees
While it's easy to say a recession is coming, it's much more difficult to know when it will happen. For retirees who are often relying on fixed incomes and hard-earned savings, any economic downturn can be particularly worrying. Fortunately, there are steps you can take to prepare yourself for the next recession, whenever it arrives. Here's how.Take a critical look at your finances. Do you have any high-interest debt? If so, a payoff plan like the debt snowball or debt avalanche can help keep you on track and accelerate how quickly you pay it down. Even if you're carrying old student-loan debt or a low-interest loan you took on before rates began to rise, consider paying it off. Your regular payments may not seem like much when the economy is booming, but during slowdowns and periods of high inflation, every dollar counts.With each debt you jettison, you gain more financial flexibility for the next recession, even if it's years away.Continue reading
While it's easy to say a recession is coming, it's much more difficult to know when it will happen. For retirees who are often relying on fixed incomes and hard-earned savings, any economic downturn can be particularly worrying. Fortunately, there are steps you can take to prepare yourself for the next recession, whenever it arrives. Here's how.
Take a critical look at your finances. Do you have any high-interest debt? If so, a payoff plan like the debt snowball or debt avalanche can help keep you on track and accelerate how quickly you pay it down. Even if you're carrying old student-loan debt or a low-interest loan you took on before rates began to rise, consider paying it off. Your regular payments may not seem like much when the economy is booming, but during slowdowns and periods of high inflation, every dollar counts.
With each debt you jettison, you gain more financial flexibility for the next recession, even if it's years away.
