Doing the next recession right! Survival tips?
I moved to the Bay Area this year from the southeast. Raleigh, NC if you want to be specific. I️ made it through 2009 unscathed and with credit score fully intact. But I’m not going to count on luck for future economic changes.
Financial professionals recommend 6-9 months of cash in an emergency fund. What would you do if you faced periods of LONG term income reduction when companies know they can low ball and get away with it?
Employee gets laid off after recession goes full swing
Employers offering 50-60% of what they were paying during high demand
We are facing possibly the next 4-5 years making half of what we used to. Maybe a full year of unemployment. Emergency fund recommendations won’t cover this cut for this long.
Selling investments would sound like a bad idea because stocks would likely be at a low point given the economy we’re talking about.