I think it’s safe to say that we’re knee deep into a Recession. In February, I had the great fortune of being on American Public Media’s Marketplace Money with Tess Vigeland, Lynnae of BeingFrugal.net and Steve at BripBlap.com. Back then, we didn’t know if we were going to be in a recession but everyone pretty much believed we were well on our way. Here’s what I said:
JIM: It’s been crazy. Way back in September and October and November, when the economy was slowing down, but people hadn’t really cemented the idea that we were in a recession. Everyone was focused on the stock market and how it was, you know, one day it would be down 300 points, then up. Then down. My readers were saying, what should I do with my 401(k)? But in the months that have been since, everyone’s now worried about what should I do because I’m afraid I might lose my job? You know, it’s a shift away from “Oh, my 401(k)s down,” to “I might lose my job and not even have a 401(k) to contribute to.” And I think that’s led to a lot of nervousness.
It’s been three months and with the stock market recovering from the doldrums, I’m curious to know what everyone is worried about now or what they’ve been focusing on.
For me, I’ve been focusing on keeping my financial house in order. I call it personal finance defense and the best offense is a good defense.
We’ve returned to a more frugal lifestyle, eating out less than we did before and deriving entertainment from cooking our meals (two birds with one stone!). We’ve focused on making sure our financial documents are well integrated and organized (hence the deluge of videos about the charts we make, like the cashflowchart and the financial network map). We have continued to regularly review our credit reports to catch any errors and to make sure our credit score is as high and as accurate as it can be.
What have you been focusing on or what has been worrying you, if anything?