Skip to main content

So About The Economy...


Everything's expensive right now: Food. Gas. Rent. 

The stock market's looking slumpy.

We're apparently on the verge of a recession/possibly already in a recession.

Given these circumstances, we probably won't be able to max out our retirement accounts or fully pay off the student loan this year. They seemed like reasonable goals a few months ago; now, not so much.

To help prepare for possible economic turbulence, we've been making some adjustments to our finances:

1. I reduced my retirement contributions by about half. I'll still get the employee match and I'm still putting in a decent chunk of my salary (20%), but we need more liquidity at the moment. 

2. We're bolstering our savings account. We still have an emergency fund, but we hacked out a pretty big piece of it to bring the student loan balance down to ~$10K. I'd like to have a little more cash on hand in case of layoffs at my company (since my industry will definitely feel the effects of an economic downturn).

3. Tangentially, I've been casually scoping out the job market to see what's available. I lack even an iota of enthusiasm for a job hunt, but it's best to be prepared and I need to know what's out there.

What about you? How are you feeling about the current state of the economy, and are you making any financial adjustments during this time of uncertainty?

Comments

  1. I feel awful, but not all of that is rational. I'm making a lot of little swaps right now, in addition to not going anywhere other than work or the grocery store except on foot, but that is my continual effort to protect myself against COVID-19. An example of a little swap: I like to drink seltzer, but I figured out that a can of seltzer is about 50 cents, and it's cheaper to make tea and keep a pitcher of it in the fridge. But it's exhausting, and I really hope things stabilize at some point.

    ReplyDelete

Post a Comment

Popular posts from this blog

Okay, Fine, I'm Back

Why? I miss blogging. I miss talking/ranting about money and personal finance. So I've fired up a new Blogger account, this time with uber-ugly formatting circa 2005!  (A stipulation of me returning to blogging is that I don't have to make the blog look nice. Sorry. I did try to pick the best theme that Blogger has to offer, but we're not working with a whole lot of options here.) And why launch a reboot rather than pick up where I left off on the original $76K Project?  For one thing, all of my old links are broken and I'm too lazy to fix them. For another, the original blog focused on debt reduction. We've* moved beyond that. Although we still have a sizable student loan (~$30K or thereabouts), most of our fiscal attention has turned to saving, investing (we have quite a bit of catching up to do in terms of our retirement accounts), giving, and spending on the things/experiences we value. That said, I do plan to move some of the more useful and/or popular $76K Pro

Well! So That Was April.

Happy spring! Here in the $76K household, April turned out to be a rather eventful month: 1. Our teenager ended up in the ICU and was diagnosed with Type 1 diabetes.  File this situation under "Things We Would Have Never Predicted," especially given that he was rarely ill up until now. In fact, it had been so long since we'd seen his doctor that the man had retired in the meantime and we had no idea until the ER team asked for the name of his primary care physician. 2. As a result, we've been learning and trying new things. Since he was released from the hospital, we've been learning as much as we can about T1D and working with his doctors to get his blood sugar into a healthy range. This has involved frequent blood glucose checks (his fingers have become pin cushions, basically), insulin injections, and some dietary modifications. It's a lot of responsibility for a 15-year-old who's also in the middle of final exams, but he's handled it amazingly wel

Thanksgiving Chili, Video Games, and Housing Decisions (November 22-28)

I've returned to blogging because I miss writing, particularly about personal finance. But I've realized that I don't want to structure it by topic the way I did when I was writing at The $76K Project. Somehow, that feels like too much work.  Instead, I'm going to try going with a weekly journal format. More informal! Less pressure! No real research necessary! I plan to blog as lazily as possible. So here's the rundown for Thanksgiving week: Work My partner worked on Monday and Tuesday; I worked Monday through Wednesday. I spent the longest short week ever answering customer questions about a Black Friday sale and counting down the hours to the holiday weekend.  I'm supposed to dive into my new role next week, although I get the impression that I'll be juggling elements of both jobs for another month or two. I'm nervous about the new gig and will miss my friendly, supportive teammates. However, I'm so burnt out on customer service that I'm willin