recession

How to Stay Calm During a Market Fluctuation

Emily Guy Birken — Mon, 02 Nov 2020 17:32:44 +0000

The last few weeks, I've been covering my eyes before I look at my investments, and only peeking through my fingers — as if I'm facing Freddy Kruger rather than a series of numbers. It doesn't help that the financial headlines are full of frightening potential futures: a possible recession, trade wars, and potential market corrections.

It's enough to make me want to take all of my money out of my investments and put it somewhere safe, like my mattress.

But no matter how overwhelming a market fluctuation may be, I also know that pulling my money out of the market is the worst thing I could do when my portfolio is trending downward. That's because the only way to guarantee that momentary losses become permanent is to sell.

Of course, knowing that you should stay the course is a lot easier said than done. If you're tempted to cut your losses when you hear gloom-and-doom financial predictions, it's especially important to learn how to keep your cool. Here are some ways you can stay calm when the market is scary.

Remember that it's okay to hide

Hiding your head in the sand gets a lot of flak, but there are times when it really is the best course of action. That's because of a cognitive bias that prompts us to take action in response to fear. We feel as though doing anything, even if it is counterproductive, is preferable to sitting around doing nothing. But listening to the action bias is the reason why people sell when the market is at its lowest and buy when it's at its highest. They're afraid of doing nothing.

Since it's nearly impossible to overcome the voice in our heads shouting at us to "Do something!" when the market is falling, the easier method of overcoming the action bias is to simply ignore your portfolio.

Of course, that doesn't mean you should never check on your holdings. However, obsessively consuming financial news and checking your portfolio on a daily basis will lead you to making fear-based (or greed-based) decisions, rather than following your rational investing strategy.

Instead, plan to check how your investments are doing on a regular schedule — either every month or every quarter. This will give you the information you need to keep your asset allocation balanced and make necessary changes, without falling victim to the action bias. (See also: 5 Ways to Invest Like a Pro — No Financial Adviser Required)

Take comfort in history

Although the phrase "past performance is no guarantee of future results" is all but tattooed on the foreheads of every stock market analyst and financial planner, there is good reason to look at the past performance of the market as a whole. If you study the long-term trends and overall historical returns, you'll see that markets inevitably trend upwards.

Knowing that the market will recover does not make the short-term losses and volatility any more fun to live through, but it is easier to put any momentary losses you're experiencing in context. Savvy investors who didn't panic through the market corrections of 2000 and 2008 saw their portfolios recover over time. As stressful as any decline may be, trusting in a solid investment plan and the long-term historical trends of the market can help you stay the course and feel confident that you and your money will get to the other side. (See also: How to Prepare Your Money for the Coming Economic Slowdown)

Make a volatility plan

One of the reasons why we tend to overreact to volatility is because we forget that it's a natural part of financial markets. Market downturns are normal, and we should expect to live through several of them in a long investing career. However, we often expect that markets will only go up. With that kind of expectation, even a minor dip can feel overwhelming.

A good way to counteract those expectations (and the resulting fear when they're not met) is to create a plan for what you'll do during a downturn.

Your volatility plan could be as simple as committing to your head-in-the-sand strategy for downturns. Knowing ahead of time that you'll reduce your portfolio check-ins when things are looking grim can help you stick to that plan.

Your plan can also be proactive, rather than just reactive. Since you know that market downturns are normal and natural, decide ahead of time how you'll incorporate these fluctuations into your investing strategy. You might decide to purchase more investments during a downturn, rather than see it as something to fear. (See also: 7 Easy Ways to Build an Emergency Fund From $0)

Don't panic

Human beings are not wired to be rational investors, which is why we tend to be so bad at it. Our emotions can get the better of our rational strategies, especially when we're feeling afraid. But selling your investments because of market volatility and scary headlines is using a permanent solution for a temporary problem.

Think through how to respond to frightening market changes before they happen. Then you know that you already have a plan to fall back on, and you're less likely to simply react out of fear.

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This article is from Emily Guy Birken of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

How to Protect Your Finances in Case of a Recession

Emily Guy Birken — Tue, 12 Nov 2019 08:00:07 +0000

According to the financial news sector, it seems probable that we're headed toward a recession. Grim-faced economists think our current historic economic expansion is headed for a fall, and the news of a looming recession couldn't feel scarier.

There's good news and bad news about these opinions. The good news is that no one has a crystal ball, which means even the savviest of economic forecasters can't possibly know what our economy will do in the future. However, we do know that certain financial trends cannot go on indefinitely. (Remember in 2007 when we all thought housing prices could only ever go up? We learned the hard way in 2008 that nothing keeps growing forever.)

So how can you prepare for a recession that may or may not happen in a time frame you can't predict? Thankfully, there are a number of actions you can take today to protect yourself, and your finances.

Bolster your emergency fund

Financial experts recommend that everyone build an emergency fund that could cover three to six months' worth of expenses. Your emergency fund can get you through a period of unemployment until you land your next job.

However, losing your job during a recession could be a little more dire than losing it at any other time. When the economy as a whole has taken a hit, it can be much more difficult to find another employer who is hiring. This is why the median unemployment length during the recession was more than 25 weeks (nearly six months), whereas the current median length of unemployment is just over 9 weeks.

Now is an excellent time to add to your emergency fund. Start an automatic transfer to your savings account with every paycheck, and look for other ways to beef up that fund.

If you don't have an emergency fund that could handle a lengthy unemployment, there's no need to panic. Remember: anything you can put away will be helpful if you do find yourself with a pink slip. (See also: 7 Easy Ways to Build an Emergency Fund From $0)

Create your Plan B budget

Another proactive step to take is to map out what would change about your spending habits if you were to lose your job or take a pay cut. Going through your current budget and identifying the items you could cut can help reassure you that your emergency fund will weather a loss of income.

You could even challenge yourself to make some small cuts now and see if you miss your former expenditures. That can free up some extra money (more for the emergency fund!) and help you feel more in control of your spending now and in the future.

Attack your credit card debt

If you're carrying a balance on your credit cards, now is a good time to get aggressive with your payoff plan. Carrying debt into a recession could make for an overwhelming burden if you experience a pay cut or a layoff. You'd hate to find yourself unable to pay your credit card bills — and have to deal with debt collectors — when you're already feeling financially stressed. (See also: The Fastest Way to Pay Off $10,000 in Credit Card Debt)

Go to the doctor

The cost of health care can be prohibitively expensive, even for Americans with health insurance. According to a recent Bank of America Workplace Benefits Report, 53 percent of American employees have skipped a medical appointment, a test or procedure, or purchasing medication in order to save money.

This is why it's a good idea to schedule a checkup with your doctor now. Health care is expensive even when you have insurance, but it's even more expensive if you're uninsured. Getting a checkup while you have employer-sponsored coverage in place may head off any potential health (and financial) problems.

Resist the urge to tinker with your investments

Watching your retirement portfolio take a dive during a recession can be heartburn-inducing. It's easy to listen to that voice inside that's screaming at you to take your money out of the market or lose it all. But liquidating your investment accounts means you've turned your temporary, on-paper losses into permanent losses.

If we do go into a recession, plan on only looking at your portfolio quarterly — or even less often. This is one situation where putting your head in the sand will help your sanity and your bottom line.

If you're close to retirement, make sure you have cash

The only caveat to leaving your investments alone is if you're on the verge of retirement. Retiring during a recession can take a serious bite out of your retirement portfolio if you're still entirely invested for the long term. In that situation, you may find yourself retiring, but unable to access your retirement income because it has taken a recessionary hit.

If, in the next few years, you'll need to live off the money that's currently invested, then make sure you transfer some of your investments into cash equivalents. These will remain stable and available for you even if a recession hits just as you're ending your career. (See also: 9 Creative Ways to Boost Your Retirement Savings)

Be prepared

While there's no way of knowing exactly what's around the corner, we can all improve our financial lives by taking simple precautions. Whether we're on the brink of a recession or the reports of the economic demise have been greatly exaggerated, you'll be glad you took these steps to protect your money.

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This article is from Emily Guy Birken of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

How to Prepare Your Money for the Coming Economic Slowdown

Denise Hill — Tue, 23 Oct 2018 08:00:11 +0000

Predicting an economic downturn can seem as mystical and convoluted as reading tea leaves. However, the economic tea-leaf readers — financial experts — are warning that the economic winds are changing.

Even though unemployment is still low, there are other economic indicators causing financial analysts to predict lean financial seasons. First, economic growth has all but stalled. The rate of wage increase has stagnated. The Constant Maturity Treasury (CMT) rates, which are used to measure and predict future interest rates, economic growth, and output, are near flatlining — and threatening inversion. This means that as the economy continues to slow down, consumer interest rates will rise and investment earnings will lose momentum, possibly even losing money.

Preparing for a recession is similar to preparing for a tropical storm: There's no way to predict just how bad things will get, but burying your head in the sand and hoping for the best is a horrible idea. Here are a few things you can do to stormproof your finances against the coming economic slow down.

Beef up your emergency fund

The first thing you do when prepping for a storm is prepare your home for the onslaught. People in coastal areas board up windows and surround their homes with sandbags. An emergency fund does the same thing financially. It's the added installation and protection that can assist you when the economy dips. It can't stop the winds, or prevent the rain, and it may not stave off all damage, but it does provide an added layer of protection. And it provides you a fighting chance to preserve what you've worked so hard to build.

The traditional emergency fund is anywhere from three to six months' worth of daily living expenses — and even larger for people with high expenses, large salaries, or a job that would be difficult to replace. During lean economic times, you want to save more than the standard recommended amount.

Under normal circumstances, the average bout of unemployment lasts roughly three to six months. However, experts believe that number is slowly creeping up and could double in a sluggish economy. It has been suggested that you plan to be unemployed at least one month per every $10,000 you earn. So if you earn $70,000 a year, you should plan for an unemployment that lasts at least seven months. This formula is a great gauge in helping you determine how much you need in your emergency fund. (See also: 7 Easy Ways to Build an Emergency Fund From $0)

Adjust your budget and pay down debt

Another thing people do during an impending natural disaster is purchase supplies and nonperishable food items. This ensures that they will have something to eat during a major power outage and food shortage. Adjusting your budget by reducing expenses in preparation for a financial disaster follows the same principal. Even though during a disaster you can't eat steak and lobster, you do still eat. The same is true when money is tight.

Your vacation and home improvement plans may have to wait. You may have to forgo expensive advanced educational programs and even take your kids out of private school. The key is to prioritize your expenses, see what extras you can cut, and be prepared to lower the ax when the time comes. It's also imperative that you stop living on overtime, bonuses, and side-gig money. You should divert that money into your emergency fund or other liquid savings. (See also: 5 Budget Overhaul Tricks for the Recently Unemployed)

You should also focus on aggressively paying down debt. If you can get rid of some of your smaller debts quickly, do it. The less people you owe, the better. And paying off debt acts as a type of de facto savings account, too. Sure, the money isn't in an account and available for you to access — but if you eliminate debt, you owe less and have more money at your disposal. You'll also save on the amount of interest you'll pay over time. Paying down debt is always a fantastic idea; however, it can be your saving grace during a recession. (See also: 5-Day Debt Reduction Plan: Pay It Off)

Strengthen career skills

One nonfinancial thing you want to do when you feel the economic winds of change blowing is evaluate your career skill set. You have a primary job that you do. But you also have a bunch of little ancillary functions you perform. These things translate into job opportunities, or — at the very least — bullets on your resume.

Take time now while you are calm and things are going well to refresh your resume and sharpen or add to your skill set (just ensure you do it without adding debt). Most companies offer training of some sort, and many will also pay all or a portion of training you receive elsewhere. Some companies even have tuition assistance or reimbursement programs. Take advantage of those opportunities now, but be sure you read the fine print and understand the guidelines before you sign on the dotted line. (See also: These 17 Companies Will Help You Repay Your Student Loan)

Re-evaluate your investment portfolio

The stock market usually tanks — or at the very least, becomes extremely volatile — during an economic downturn. Financial experts always advise you not to pull your money out of an investment in a moment of panic. Fear should never drive your decisions.

Go ahead and look at your investment portfolio now and see if there are any changes you'd like to make. Risky funds will probably lose money during a slowdown, but they also rebound quickly during economic recovery. And safer investments may not lose much, but you won't make much, either. They cancel each other out.

One system or investment style isn't preferable over another. They all have pros and cons and respond to the highs and lows differently. The key is to assess yourself. Will one heavy loss give you a heart attack? If so, go with something less risky. But if you're confident you can ride the wave and stand the turbulence of a risky investment, stay put. Be sure you consult a financial fiduciary and get solid financial advice before you decide. Knee-jerk reactions are the quickest way to lose big when it comes to investing. (See also: 8 Ways to Prepare for a Stock Market Dive)

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This article is from Denise Hill of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

Job Hunting With a Long Employment Gap

Carrie Kirby — Thu, 28 Sep 2017 08:31:09 +0000

Looking for a job after taking time off, either by choice or circumstance? You're not alone. In the recovery years since the Great Recession, career gaps have been stubbornly common. While an employment gap can make finding a new job trickier, there's no need to panic. Experts say there are plenty of ways to get your foot in the door.

Network

It's always important to tap your social and professional connections when job hunting, but even more so if you are facing the headwind of getting back into the workforce after an absence. If you find your network has shrunk in recent years, make new connections by joining a professional organization or meetup in your area and attending local events. Volunteer work is also a great way of expanding your professional skills and network. A job recommendation from the right connection can help answer an employer's questions about your dedication and capabilities before they even get asked.

Go back to school

One of the big worries employers have about people who haven't worked in awhile is that their skills will be out of date. Getting a graduate degree, taking a certification course, or even just attending a continuing education class in your field can quell those concerns. This activity also shows that you're serious about returning to work and not just fooling around. Best of all, attending some kind of training gives you a recent activity to list on your resume, pushing the work gap lower on the page.

Look for a "returnship"

Some companies, including Goldman Sachs and Sara Lee, have offered these short-term jobs as a springboard for returning workers getting back into their careers. If you can't find a returnship, consider an ordinary internship, especially if you want to change or shift your career role. Yes, it could be humbling to compete against college grads and possibly work for no pay, but it's a lot better than doing nothing and letting the gap widen.

Write your resume carefully

One of the first images a potential employer sees of you likely comes via your resume, so it's important to use this as a tool to stop the door from being slammed in your face. (See also: 10 Resume Mistakes That Will Hurt Your Job Search)

Don't be super specific on dates

If your employment gap is a matter of months, not years, there's no need call attention to it by using the month that you started and ended each job. Say you started at XYZ Corp in June of 2012 and were laid off in August of 2015: Just list it as "XYZ Corp. 2012–2015."

This is not being dishonest with the hirer; you can disclose the gap if it comes up in the interview. But it could save your resume from being discarded before you get the chance to have that interview.

Include temporary jobs

So you made lattes or answered phones when your job as a graphic designer ended. You may want to include these gigs on your resume rather than leave a gaping hole. And expect the subject to come up in the interview as well. "Regression" in job responsibility and pay is not taken lightly by employers, but it's still better than a gap.

Self-employment counts

If you did freelance or contract work in between jobs, you could cover that period with a heading that conveys this. If you have a company name, list the company as the employer. The fine line here is to avoid misleading the hirer, or to appear to be engaging in puffery. Give yourself credit for achievements in self employment, but don't try to make it seem like more than it was.

Just list the gap

If your gap was more than a few months, and you weren't working a temp job or working for yourself, you're still going to have to address the gap. You don't want to jump right from a job that ended in 2015 to the present with no explanation.

That doesn't mean you have to title it "unemployed" and leave it at that. You could title it with a substantial volunteer position you held during that time, or any training courses you attended.

Another idea is to describe what you were doing, without going into unnecessary detail about anything that's not relevant to your job search. If you spent your employment gap caring for children or other family members, or recovering from an injury or illness, simply leave it at that.

Look beyond the resume

While the resume will be just the facts, the other information you provide to your potential employer can offer context.

The cover letter

The great thing about this document is that you're not tied to a chronological format like with a resume. The cover letter is your sales pitch, so start with why you're excited about this specific opportunity, and sell your skills and achievements. Then, take a line or two to explain your career lapse. Keep it upbeat and forward-looking, and never apologize.

The interview

If you're lucky enough to land an interview, expect to address the career gap. Recruiters and managers give the following tips for dealing with employment gaps in an interview: Be prepared with a list of talking points about the gap. Don't act surprised or defensive when it's brought up. Be honest, even if you were fired. Dishonesty is a big red flag. And whatever you do, don't dwell on negativity.

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This article is from Carrie Kirby of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

Best Money Tips: How to Prepare for the Next Recession

Amy Lu — Tue, 06 Sep 2016 09:30:21 +0000

Welcome to Wise Bread's Best Money Tips Roundup! Today we found articles on ways to prepare for an economic downturn, tips to help you sleep on a plan like a pro, and affordable DIY kitchen upgrades that are totally worth it.

America Is Back: 4 Economic Predictions for 2015

Damian Davila — Tue, 10 Feb 2015 14:00:04 +0000

With 2014 already in the books, everybody is dusting off their crystal balls and predicting what the 2015 U.S. economy will look like.

And the predictions are looking awesome. Here are four that explain why 2015 may be a great year for the U.S.

1. U.S. Minimum Wage Will Be Higher

Americans are overdue for a better hourly rate. At the federal level, the last minimum wage increase was back in July 2009. However, before 2007 the minimum wage had been stuck at $5.15 per hour for 10 years.

Though the labor market has experienced significant recovery in recent years (the unemployment rate is now a much-improved 5.9%), many people are still stuck in low-paying jobs, and demanding better pay. Accordingly, lawmakers have agreed to raise the minimum in several U.S. cities and states in 2015:

$12.25: Oakland, CA (March 2, 2015); San Francisco, CA (May 1, 2015)
$11.00: Seattle, WA (April 1, 2015); Berkeley, CA (October 1, 2015);
$10.50: Washington, D.C. (July 1, 2015)
$9.15: Connecticut (January 1, 2015); Vermont (January 1, 2015)
$9.00: Rhode Island (January 1, 2015); Massachusetts (January 1, 2015); Minnesota (August 1, 2015); New York (December 21, 2015)
$8.75: Alaska (January 1, 2015); West Virginia (December 31, 2015)
$8.00: Nebraska (January 1, 2015); Maryland (January 1, 2015)
$7.25: Federal minimum wage

The years ahead look even better. For example, my home state of Hawaii is set to experience minimum wage increases every year for the next three years: $7.75 (2015), $8.50 (2016), $9.25 (2017), and $10.10 (2018).

2. U.S. Consumer Spending Power Will Be Strong

The fracking revolution has increased oil production, which, combined with lower global energy demand, caused oil prices to decrease about 50% in 2014. This has benefited the average U.S. consumer by providing extra room in their budget. Some places around the country are enjoying gas prices below the $2.00 per gallon mark. However, there are several other goods and services that will also experience price drops. (See also: 8 Buys That Will Be Cheaper in 2015)

The best news is that no matter which U.S. inflation forecast you peruse, price levels are forecast to remain stable in 2015, meaning your dollar will buy just as much (if not more in some cases).

3. U.S. Will Continue to Attract Foreign Investment

In 2015, the U.S. is poised to outperform almost all developed nations. Our country is finally experiencing the benefits from the end of 2009's recession and our GDP is expected to grow 3% for the first time in 10 years. Some of the key drivers of our strong economic growth are:

Lower oil extraction costs due to the shale oil boom;
Increase in U.S. natural gas exports in 2015;
Lower gas prices;
Overall increase in consumer spending in goods and services;
Increase in government spending; and
Increase in affordable new homes in 2015.

These and other economic factors create an ideal scenario for America's economy, and economists forecast that our positive economic outlook will attract strong foreign investment in 2015.

4. U.S. Interest Rates Will Go Up

This is the consensus from Wall Street's biggest banks.

And this is not bad news at all. Given our stronger economic growth, the Federal Reserve needs to tighten up interest rates a bit. Otherwise, the economy would get "too hot." Plus, it rewards savers by giving their accounts a boost. According to the economists from those same Wall Street's big banks, here is what we can expect:

Short-term rates: Forecasts put this federal funds rate at 1%.
Long-term rates: The expected rate for longer-term securities, such as a 10-year T-bill, is around 2.5%.
30-year fixed mortgages: A separate report predicts that this critical interest rate should be just 4.4% at year-end. This is a slight increase from current 30-year fixed rates averaging between 3.60% to $3.90, depending on location.

2015 is likely to be the year when the U.S. economy's recovery is felt by most average Americans. While not every single economic problem has been solved, these four predictions show us that there is good reason to stay positive.

Do you expect 2015 to be better for the economy — and your pocketbook?

This article is from Damian Davila of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

What I Miss About the Recession

Xin Lu — Fri, 29 Mar 2013 09:48:30 +0000

The recent "Great Recession" was officially deemed to be over in 2009, but it is only recently that the economic recovery seems to have really picked up speed. While it is nice to see the stock market go up and the unemployment rate go down, I do miss a few things about the recessionary years. I'm not actually looking forward to the next recession, of course, but when it comes (and it will, some time), here's what I'll be looking forward to more of. (See also: Preparing for a Recession)

Less Traffic

Lately I have definitely felt that traffic has increased during commute hours. It is great that more people are getting jobs, but I do miss the shorter commute times and less congested roads. Apparently the increase in traffic is happening all around the country, and the National Safety Council reported the first increase in traffic related fatalities in years.

Shorter Lines

During the recession we rarely had to wait for a spot at a restaurant, but now that is very common. Restaurants that did not need a reservation during the recession are bustling once again. It is great to see establishments have more business, but it was nice to eat in sparsely populated dining rooms where it was easier to hear your friends across the table. There were also shorter lines at many malls and parks.

Bargains

It was much easier to find a bargain during the recession. You could negotiate down the price of almost everything, including rent. Hotels and travel were also cheap, and there were more restaurant coupons than I could use.

Lately I have definitely seen fewer sales and coupons and an increase in prices on most goods and services. Large ticket items such as furniture and real estate were being sold at below replacement cost during the last recession, but now it is much more difficult to find a bargain that good.

Frugality and Saving

In the last few years everyone talked about saving instead of buying that next big thing. The frugal people were suddenly not so crazy!

Now it seems that the tide is turning, and saving money is beginning to be uncool again. The zero interest environment does not help the savers' argument at all, and there seems to be less urgency for everyone to save as a whole. The funny thing is that saving during the lean years when you have less income is much harder than saving during the flush years. I do miss that more people cared about saving money during the recession, and I hope they realize that they should try to save more now to prepare for the next recession.

There are many things about the last few years that were not very nice, but I definitely saw the brighter side of the worst economy since World War II. I hope some of you were able to get some great bargains that you could use for years to come, and that you are keeping up those good frugal habits you have learned. In the next recession those who have cash will have many more choices than those who don't.

What do you miss about the recession?

This article is from Xin Lu of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

Once Again Safe as Houses?

Philip Brewer — Tue, 24 Jul 2012 09:37:00 +0000

A good reason to buy a house: It's affordable, and you want to live in it. A bad reason to buy a house: You're worried about "missing the bottom" in the housing market. (See also: Your Equity Was Always Imaginary)

As soon as housing prices made their initial leg down, I started seeing people thinking that it was time to buy. But very few of those people were saying, "I just saw this perfect house!" Most of them were saying, "Maybe I'd better buy now, before prices go back up."

I saw so many people talking that way, I wrote a post — Don't Worry About Missing the Bottom in Houses. My point was that — unlike the stock market, where prices turn on a dime and zoom back up so fast that it's hazardous to your wealth to try to time the market — the housing market turns very slowly. After the bottom is long past, there will still be houses whose owners didn't sell as prices were falling. Some of them will move to sell at the first sign of rising prices. And, of course, there will always be the occasional motivated seller who simply has to sell.

You never need to rush to buy after a housing crash — house prices will stay down for years. But now, it's been years.

One never knows the future, of course, but sometimes the trends are so strong and so obvious it seems safe to make a prediction. That's how I saw the housing market back in March of 2009, when I wrote that post.

Having done so, I figured I was obliged to mention when it's no longer the case.

I'm certainly not calling a bottom in the housing market. I'm not predicting that prices will go up soon.

All I'm saying is that the abnormal situation where you really can predict a market is coming to an end. Three years ago, I was willing to bet that there was no reason to rush into the housing market. There was no danger of "missing the bottom."

Now things are returning to normal. I don't know that prices will head back up any time soon. But after years in which they really couldn't, I've begun to figure that now they could.

I still think that the only good reason to buy a house is that you've found one you really want to live in, and you're able to get it at a price you can comfortably afford. And when that's the case, you don't really need to worry about whether the market is at the bottom or not.

This article is from Philip Brewer of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

How to Retire During a Recession

Kentin Waits — Mon, 26 Dec 2011 10:48:14 +0000

If there’s any group more worried about the long-term effects of the recession than new grads, it’s the soon-to-retire. The economy is forcing nearly everyone to reevaluate their financial plans and goals and (for better or for worse) is making most of us settle in for a few more years of work before we can retire.

As I listen to all the talking heads discuss new strategies for working longer and later in life, it seems that the old three-legged stool model of retirement is all but obsolete. The three legs of retirement — Social Security, an employer-sponsored retirement plan, and personal savings — are shaky at best. Economic forces have reduced both personal savings rates and retirement plan balances. And just keeping the bills paid has cut into the new money we can contribute.

So is there a way to retire in the middle of a recession? Maybe. By reconsidering the three-legged stool model and taking a bit more aggressive and holistic approach to retirement planning, jumping off the work treadmill might still be possible. Here are the five steps that can help you prepare for retirement during a recession. (See also: Deciding What You Want Out of Retirement)

1. Pay Off Your Mortgage

Paying off our largest fixed expenses well before retirement is an obvious, but seldom discussed part of a real retirement strategy. Saving more for retirement depends on knocking out the big bills and devoting more money and energy to personal savings and other asset-building activities. Don’t discount the valuable peace-of-mind that mortgage-free living can give you as you settle into retirement.

2. Downsize and Downshift

Many financial advisers base their retirement calculations on replacing enough income through savings to support pre-retirement lifestyles. But is this realistic? What exactly do we sacrifice in putting off retirement until we have enough in savings to support our current standard of living? Maybe enjoying our golden years is enough of a reward to sacrifice a few of life’s luxuries. A more modest home, a smaller budget, a used car, and fewer vacations all seem like worthy trades for time and a bit of freedom.

3. Save More

Of course, savings is always an essential component of a retirement plan, and saving more is usually a winning strategy. Many financial experts see the writing on the wall with pre-tax 401(k) contributions and are now advising their clients to redirect a larger share of money to Roth IRAs. Personal tax rates are bound to increase and the old advice of socking away pretax money while we’re young and enjoying a lower tax rate upon withdrawal at age 59½ may not hold true much longer. Whatever vehicle or approach you choose, having more choices later in life typically means crunching the numbers and saving till it hurts.

4. Get Creative

Getting creative with expenses and income may be the unspoken fourth leg of the new retirement stool. Solutions like trading a large home for a small duplex can reduce expenses and provide rental income. Phasing out of our careers slowly, going part-time, or switching to contractor or consultant status is another way to test to the waters of retirement while still keeping the money coming in.

5. Supplement

Even post-retirement, some folks are choosing to go back to work part-time in their previous fields or explore new, lower-stress jobs. The days of all-or-nothing retirement may be over, but that doesn’t mean that it’s not possible to thoroughly enjoy the retirement part of semi-retirement. Extra income during these years can supplement personal savings and help retirees feel engaged and plugged in to their local communities.

For those of us who believed that retirement would be as simple as that old three-legged model, the rules seem to have been suddenly and unfairly changed. Still, retirement is possible — maybe just not in the form we anticipated or as quickly as we had expected. The new retirement stool is made of up of many legs, and we’re responsible for the stability of most of them. The time to start planning is now.

How have your retirement plans changed in the last three or four years? Do you expect to enjoy the kind of the retirement your parents have? What advice would you give middle-aged readers who are rethinking their retirement strategies?

This article is from Kentin Waits of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

How to Prosper Despite the Coming Economic Challenge

Ken Kaufman — Mon, 19 Dec 2011 00:35:09 +0000

Link:

http://www.openforum.com/articles/how-to-prosper-despite-the-coming-economic-cha...

Many economies face difficult times in 2012. But your fate does not have to be directly correlated to any of them. By continuing to solve problems for your customers and by adding more value than they will ever expend on your product or services, you can make your business a contrarian, and likely part of the reason world economies can have any hope of recovery!

At a recent conference The Economist’s Economic Editor Zanny Minton-Beddoes discussed the state of the world economy. She warned her comments would not paint a very rosy picture, yet I will argue there is still so much opportunity for businesses to grow and succeed.

Here are four issues Zanny suggested will carry into 2012 followed by my thoughts on how you can navigate around, over, or even through them to achieve success.

1. US Debt to GDP Exceeds 100 Percent

The United States continues to creep closer to insolvency than financial health. For the first time since 1947, the United States’ Debt to GDP exceeded 100 percent. That means the total gross economic value America can produce in a year will no longer cover the entire debt load to which this country is obligated. Normal businesses would be bankrupt before they even reached 50 percent debt to annual inflows.

2. Mortgage Debt Overhang

Thanks to recent declines in real estate values and over-aggressive lending practices, over 20 percent of households in the United States owe more on their homes than they are worth. It used to be worse, but this will continue to be a drag on many industries and the economy as a whole for years to come.

3. Political Paralysis

Nothing is more frustrating about America’s struggling economy than the inability of its government to get anything meaningful or productive done to improve the situation. While each party seems content to align themselves on the far ends of the politicalspectrum, they have forsaken the political middle ground where progress and improvement needs to happen. With a big election year ahead, the stalemate seems destined to continue into 2012.

4. Europe Has Its Own Challenges to Overcome

If you think the United States’ debt to GDP is bad, consider the insolvent country of Greece at over 145 percent. So long as the European Union is at risk with Greece, Italy, and potentially others, America’s capital and debt markets, and, consequently, its economy, will still struggle, despite an arguably faux increase in the value of the dollar.

How to Prosper Anyway

Before you get too overwhelmed with these problems, there is still a long list of companies that are succeeding anyway. How? They recognize these economic issues are generally outside of their control and influence, and they charge forward in spite of what they hear in the mainstream media and from other business owners who continue to blame the economy for their problems. Here are some suggestions to make sure you’re included among the companies that thrived despite the macro-economic woes.

1. Put Your Head Down and Go to Work

As simple as this may sound, it really works. Turn off the news, shut-out the doom-and-gloom, and focus on what you can actually control. Find new markets for your existing products. Develop innovative products and services. Get a grasp of the key performance drivers of your business and train your thoughts and actions to improve those metrics.

2. Micro-Manage Your Cash Flow

Your business needs cash like your body needs blood. Businesses that thrive in tough economies know their cash flow and keep a close eye on every inflow and outflow. They charge the right prices and collect money faster than competitors. They minimize all expenses, with an eye toward reducing waste, getting the best prices without sacrificing quality, and squeezing as much value as possible from every dollar spent.

3. Look to Emerging Markets

With many of the developed countries and economies flat or even contracting, most large companies are targeting emerging countries as their best prospects for growth. So should you.

4. Consider Buying another Business

Just as real estate values are down, business values are also coming down. If you’ve considered buying a competitor, merging one of your vendors or suppliers into your existing business, or any other merger or acquisition strategy, this might be one of the best times to pursue such a course of action. If you can prove that such activity will pencil to profitable and sustainable growth, you’ll likely be able to find relatively inexpensive financing to help you with the transaction.

This article is from Ken Kaufman of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

5 Ways To Grow Your Business Despite The Economic Crisis

Elaine Pofeldt — Fri, 16 Sep 2011 22:12:29 +0000

Link:

http://www.openforum.com/articles/5-ways-to-grow-your-business-despite-the-econo...

Looking at the gridlock in Washington, it’s easy to get discouraged about the future of your business. But entrepreneurs have a long history of tunneling under, over and around obstacles—and finding new opportunities on the other side. You can do the same, even if the obstacle is as daunting as the current economic uncertainty we all face.

Here are some strategies to us to grow your business, despite today’s political climate.

Seek more business from highly profitable clients.

“It takes the same amount of time to get a so-so client as it does to get a really good client,” says Bert Martinez, CEO of sales and marketing consultancy Bert Martinez Communications, based in Phoenix and Houston. Do careful market research, and focus on the small percentage of customers in your niche who can realistically help you double your sales profitably, he advises. “Contact them every two weeks,” he suggests. Alternate your means of communication from phone to mail to email—and then repeat the cycle until you are able to set up an appointment to meet them or talk by phone, he advises.

Remember: An ambitious goal like doubling your sales isn’t achievable in a month. But if you start working on building your relationship with prize clients now, you’ll be in much better shape than you would be if you keep doing the same old, same old.

Try education-based marketing.

One of the best ways to reach busy prospects is to offer them information that will help them to do their jobs better, says Martinez. That can be as simple as calling them to share some new data you’ve gathered at your business on an industry trend that may be useful to them—without trying to sell them anything. “The benefit here is that you come in as an expert,” he says. “You’re really gaining a high level of trust and rapport.” Sharing your expertise will keep you top of mind if the prospect needs your services in the future.

Use your website to capture more leads.

Offer a great white paper or something else that’s valuable to potential customers for free or a very low cost—and require people to enter their contact information to obtain it, says Kris Cavanaugh, who advises business owners on how to achieve their goals at Shift, an Atlanta firm. This will help you to build a robust contact list. Of course, you’ve eventually got to reach out to folks who share their information to sell them something. “It’s all about follow through,” she says.

Find out what matters to your prospects.

“It doesn’t matter what the economy does—people will buy what they are connected to,” says Cavanaugh. When talking with current and potential customers, make sure you are able to make a clear connection between the product or service you’re selling and what they are going to get from it, she advises. “Do some extra questioning,” she suggests. “If you ask the right questions, you’re going to get to the deeper reasons someone wants something and close the deal earlier.”

Invest in your business.

Even if your budget is tight, it’s important to make strategic investments that will keep your company moving forward, such bringing your website up to date, says Cavanaugh. “All day, we, as small business owners, ask our prospects to take a risk and hire us,” she says. “If you’re not doing it for yourself, you’re not standing on a strong enough foundation to get other people to do it for themselves.”

This article is from Elaine Pofeldt of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

The Recession Glossary

Ray Jamali — Mon, 12 Sep 2011 10:36:17 +0000

The recent economic uncertainties have given rise to an array of new financial terms. Certainly you have heard of terms such as staycation and bailout over the last few years; some of these terms have become so common that they are now included in major dictionaries. Below are 15 of the top recession terms; feel free to add yours in the comments section. (See also: 25 Frugal Changes You Can Make Today)

1. Stress Test

Derived from cardiac stress tests, a financial "stress test" is an assessment of a bank's ability to survive a potentially deteriorating economy. It ensures that banks have sufficient capital reserves to avoid liquidity problems in a downturn.

2. Consumer Confidence

A measure of consumers’ confidence in regards to the economy. Indicating the general public's optimism about economic activity, the consumer confidence level tends to be directly correlated to GDP growth and the employment rate.

3. Funemployment

This refers to enjoying one’s time during unemployment. Funemployment does not mean people are not actively seeking employment or are happy with their lack of jobs. However, it does mean they are taking this opportunity to spend time doing things they would not normally have time for and enjoy.

4. Insource

The opposite of outsource, insourcing is performing duties yourself that were once outsourced to other parties in order to cut costs in times of financial hardship. For example, cooking at home while previously ordering takeout.

5. Staycation

Taking a staycation refers to vacationing at home or close to home due to financial constraints. This can include a fun family night at home, barbeques with friends, or even short trip in the nearby area.

6. Underwater

When your current home value is below its current outstanding mortgage value, it's "underwater," making refinancing virtually impossible, as you owe more then the value of your home. This phenomenon has been the primary cause of record level of home foreclosures in the recent years.

7. Bailout

This refers to providing financial aid to failing or near-collapse corporations. The term became widely used during the financial meltdown of many corporations in 2008. Merriam-Webster named “bailout” its “Word of the Year” in 2008.

8. Madoffed

Named after ponzi scheme runner Bernard (Berni) Madoff, it refers to individuals who have been conned out of their life savings by their brokers, bankers, or advisors.

9. Recesionista

A fashionable individual who maintains his or her current life standards by finding creative means during harsh economic times. With the recent economic conditions, more and more people are aiming to live a frugal lifestyle while maintaining some of the pleasures of their prior luxuries.

10. Intaxication

Derived from intoxication, intaxication is an intoxicating feeling one feels upon receipt of their tax refund. In financially difficult times, even a small tax refund can go a long way.

11. Zombie Bank

A bank with a negative net worth. Although these banks have higher liabilities than assets, they can continue business as usual thanks to government backing and handouts.

12. Homedulgence

Similar to staycation, this refers to the tendency of indulging and entertaining at one’s home versus going out due to financial constraints.

13. Bleisure

As more people opt to work from home, the division between business and leisure hours have blurred. Whereas previously there has been a concrete divide between work and leisure time, workers are now managing the two simultaneously.

14. Stagflation

A combination of stagnated economy, i.e. no growth, combined with a very high inflation rate.

15. Double-Dip Recession

A double-dip recession refers to a recession followed by a short term recovery that then back into another recession. Also referred to as a “W-shaped” recession.

This article is from Ray Jamali of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

Can You Survive a Double Dip Recession?

Elaine Pofeldt — Fri, 08 Jul 2011 19:51:11 +0000

Link:

http://www.openforum.com/articles/can-you-survive-a-double-dip-recession

Worried about whether your business can survive another recession? You’re not the only one losing sleep. In a recent survey by Citibank, 83% of small business owners said they are concerned about another economic downturn.

However, many entrepreneurs emerged from the Great Recession with some handy survival strategies. In the same survey, 77% said they would be prepared if the economy went south again. While it’s still unclear if we’re heading into another slump, it never hurts to think ahead. Here are some questions to ask yourself to make sure your business is on strong footing, no matter what the economy does.

Have I asked my team what the company could do better lately?

Ask your staff to be honest and, if necessary, challenge the way you’re doing things. “The best business owners want employees on their team who will not be `yes people’ – as long as there’s a healthy respect,” says Kris Cavanaugh, who advises business owners on how to achieve their personal and professional goals at Shift, an Atlanta firm. Also seek suggestions on how to improve your business from advisors such as your accountant and lawyer – and your clients.

Do I know where all the money is going?

Even small areas of waste or nonessential spending in your business can hurt your business over time. “There may be some things you don’t have to buy so your cash flow stays stronger,” says Cavanaugh. If you’re losing track of purchases by your team, now is the time to put tighter controls in place.

Is talent on our team being wasted?

Evaluate whether there are people on your staff whose skills are not being utilized the way they should be, suggests Cavanaugh. Using even one person’s highest skills more effectively can give your company an edge.

Do I have the right assistant?

No CEO excels in every area. When you’re navigating a tricky economy with a small team, it’s very important to have an assistant whose skills complement your own, says Cavanaugh. It will help you to maximize your effectiveness. “The best CEOs have a really great support network,” Cavanaugh says. “They have surrounded themselves with people who are good at the things they are not good at.”

Am I using joint ventures to economize?

Partnering with another, noncompeting business is a great way to stretch your marketing budget, says Cavanaugh. For instance, someone who runs a personal training business might put together an educational seminar with other wellness professionals, such as a spa owner and chiropractor, to attract prospects who are likely to use the services of all three.

When times get tough, the tough get creative.

This article is from Elaine Pofeldt of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

How to Build Wealth in a Depressed Economy

Mark — Thu, 28 Oct 2010 13:00:12 +0000

The current economic environment has led many investors to become pessimistic about the United States' economy. Consumer confidence is low and unemployment is running high. But as Warren Buffett has often noted, economic recessions are when investors can find some of the absolute best opportunities.

Let’s take a look at a few ways to build wealth during the current downturn. (See also: 5 Money Lessons From Millionaires)

Invest in areas where no one else is

One of the easiest ways to lose your hard-earned dollars is by following the crowd. Fear is causing many investors to rush to the safety of Treasury bonds and gold. These assets do have some value, but they are not the best opportunities right now. The time to rush into gold was when no one was buying it at $300 or $400 per ounce. Gold now trades at nearly $1,400 an ounce. You never want to chase an investment when it is trading close to its all-time high valuation.

Investors looking for a nice return should turn their attention to the assets that investors are avoiding. Stocks and exchange-traded funds (ETFs) in the financial sector have been underwater for years now. Many technology stocks are still trading at prices below their true value. The steel and industrial production sector contains some great values as well. These investments are long-term holds that could reap serious rewards for risk-taking investors.

Build another income stream

Unemployment may be running high, but that shouldn’t deter you from starting your own company. A bad economy is the perfect impetus for starting an online business. There are needs for temporary agencies, consultants, and webpreneurs. All of these businesses require very little overhead and can be started from the comfort of your own home. Most just require paying a few bucks for a domain name to get started.

A part-time job can also add a little income. You can do freelance writing or design work for other companies and bring in an extra couple hundred dollars a month. You can start you own catering business or run errands for people in your neighborhood. If you love pets, then start a pet-sitting business. Your entrepreneurial venture could end up turning into a full-time job.

Buy residential real estate

The real estate market looks like an absolute mess right now. Foreclosures are peaking and home prices continue to be depressed. Every market pundit is predicting more pain for the real estate sector. But while the market may be tough now, but there are signs that the sector may finally be reaching bottom.

Mortgage rates are the lowest that they have been in decades. This could help entice some homebuyers and real estate investors back into the market. Remember back in 2009 when everyone was so pessimistic about the stock market? The market reached its low early in 2009 and has bounced back nicely. Many investors missed the rebound waiting for another market drop.

The same thing could be setting up right now in the real estate market. Everyone is waiting for commercial and residential real estate to hit bottom. The truth is that no one can tell when a market is at its lowest point. Investors with the capital should consider getting in these markets now, as they are much cheaper than they were just a few years ago.

Remember that during a bad economy can be the best time to implement your wealth-building strategy. Just because the economy is in a downswing doesn’t mean that you cannot emerge from these difficult times in better financial shape than you entered them.

Guest Post Blurb:

This is a guest post by Mark. Mark publishes his own financial blog at Buy Like Buffett. He is a registered investment advisor and has written financial columns for Baltimore and Washington D.C. area newspapers. Read more by Mark:

This article is from Mark of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

A Mortgage Crisis Solution

Philip Brewer — Tue, 12 Oct 2010 13:00:10 +0000

The latest twist in the ongoing saga of the mortgage crisis is that some fraction of the banks (and other owners of mortgages) didn't manage the paperwork well enough to be able to prove that they actually own each particular mortgage on each particular house. This is bad and sloppy — but it just might contain the seeds to a solution.

I've written before that the root cause of the whole financial crisis was not (as many have suggested) falling house prices; rather it was that housing prices got too high. If you think about it, the average house has to be affordable to the average household — who else is going to buy it? Once prices got too high, they had to fall. The government and many other institutions have done what they can to "fix" the problem of falling house prices, but that's an effort doomed to failure.

Although propping up housing prices is a losing effort, it's a popular one. Homeowners like it — and homeowners tend to be voters. Bankers also like it, and the government has been looking out for them as well, for several reasons: They're a source of political contributions; bank regulators are tasked with preserving the banks (which are endangered by collapsing housing prices); even legislators and regulators who are primarily looking out for the interests of ordinary people know that a collapsing financial sector would be hard on everyone — not just bankers.

The upshot has been that, despite the fact that a lot of people would like nothing better than to stick it to the banks, there's been very little effort to actually do so.

This latest twist in the crisis, though, may give us an opportunity to make the banks do the right thing.

The Right Thing

The right thing would be for the pain to fall where it belongs. A lot of failed mortgages have two culprits. It's as much the fault of the homeowner who bought a house they couldn't afford as it is the fault of the banker who lent them money they'd never be able to pay back. But I'm not too worried about sticking it to the poor homeowner — they're going to suffer plenty. My main concern is that helping them not cost the rest of us a lot more money.

So, to my mind, the right thing to have happen is for the banks who made stupid mortgages to be the ones who lose a lot of money. That's not a popular idea with bankers (who won't get nearly as much bonus money), and it's not a popular idea with bank regulators (who worry that banks that lose money might go under, dragging the rest of the financial system down with it). But the discovery of this record-keeping failure may have taken matters out of their hands.

Banks have been resisting efforts to write mortgages down to the value of the house, even when the only alternative is foreclosure. All those foreclosures are sad. They'd be sad even if the only people being foreclosed on were foolish people who bought houses they couldn't afford — I don't want to see even foolish people turned out of their home. But it's worse than that. Many innocent people are caught up in the housing catastrophe. (You can see the stories of some innocent victims in the comments on my post Six Options if You're Underwater on Your Mortgage.)

Up to now, though, there's been no pressure on banks to negotiate with homeowners to straighten things out. It's been cheaper to just foreclose, write off the loss, and go on.

But now that everyone knows that the banks had been cutting a lot of corners on the paperwork, the situation is very different. A few egregious mistakes aside, in most cases there really is a mortgage and the owner really hasn't been making his payments. But because of the mistakes, it now seems clear that the bankers will no longer be allowed to slide things through quick and easy. Instead, they're going to be forced to cross every t and dot every i.

This changes everything. In the cases where the record keeping has been very sloppy, it may be impossible to prove that the bank really owns the mortgage. Even where it's possible, it may be expensive. The banks, looking for the cheapest solution, just may find that it's cheaper to negotiate with the owner, and then write a new mortgage (and make darn sure that the paperwork for the new mortgage gets filed correctly). Even if they write the mortgage down to fair market value, they'll probably come out ahead of where they'd be if they had to foreclose, maintain the house for a while, and then sell it into a down housing market. (And they'll come out way ahead of where they'd be if the homeowner discovered that the bank can't prove that they've actually got a mortgage on the house at all.)

I see this as a win for everyone except the bankers. Homeowners get to stay in their house, with a new mortgage that reflects the actual value of the house. House prices fall to where they belong, making houses available to ordinary people — but they do so without the dislocations of so many foreclosures and forced sales. Bank profits will suffer, but in exchange the banks get a chance to clean up their paperwork — valid, provable mortgages that will stand up in court. Really, it's just the bankers — whose bonuses will be under considerable pressure until this is all worked through — who lose.

As a bonus: Going on the theory that there's considerable overlap between the banks most prone to screw up the paperwork and the banks most prone to lend money to people who couldn't pay it back — I'm thinking that the worst of the pain will tend to fall right where it's most deserved.

This article is from Philip Brewer of Wise Bread, an award-winning personal finance and credit card comparison website. Read more great articles from Wise Bread:

recession

How to Stay Calm During a Market Fluctuation

Remember that it's okay to hide

Take comfort in history

Make a volatility plan

Don't panic

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How to Protect Your Finances in Case of a Recession

Bolster your emergency fund

Create your Plan B budget

Attack your credit card debt

Go to the doctor

Resist the urge to tinker with your investments

If you're close to retirement, make sure you have cash

Be prepared

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How to Prepare Your Money for the Coming Economic Slowdown

Beef up your emergency fund

Adjust your budget and pay down debt

Strengthen career skills

Re-evaluate your investment portfolio

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Job Hunting With a Long Employment Gap

Network

Go back to school

Look for a "returnship"

Write your resume carefully

Don't be super specific on dates

Include temporary jobs

Self-employment counts

Just list the gap

Look beyond the resume

The cover letter

The interview

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Best Money Tips: How to Prepare for the Next Recession

Top 5 Articles

Other Essential Reading

America Is Back: 4 Economic Predictions for 2015

1. U.S. Minimum Wage Will Be Higher

2. U.S. Consumer Spending Power Will Be Strong

3. U.S. Will Continue to Attract Foreign Investment

4. U.S. Interest Rates Will Go Up

What I Miss About the Recession

Less Traffic

Shorter Lines

Bargains

Frugality and Saving

Once Again Safe as Houses?

How to Retire During a Recession

1. Pay Off Your Mortgage

2. Downsize and Downshift

3. Save More

4. Get Creative

5. Supplement

How to Prosper Despite the Coming Economic Challenge

5 Ways To Grow Your Business Despite The Economic Crisis

The Recession Glossary

1. Stress Test

2. Consumer Confidence

3. Funemployment

4. Insource

5. Staycation

6. Underwater

7. Bailout

8. Madoffed

9. Recesionista

10. Intaxication

11. Zombie Bank

12. Homedulgence

13. Bleisure

14. Stagflation

15. Double-Dip Recession

Can You Survive a Double Dip Recession?

How to Build Wealth in a Depressed Economy

Invest in areas where no one else is

Build another income stream

Buy residential real estate

A Mortgage Crisis Solution

The Right Thing