Stock market this, crypto that…the only stock we care about is the base of grandma’s chicken soup. 🍲 Just one bowl always brings us back to life. That and a hot toddy. ☕
If you’re close to retirement, you might be spooked on how the latest stock market drama affects your investment accounts. 👻 Have no fear, my dear. Hold on tight and pour yourself a cup of these helpful hints. 👇
Here’s Five Fast Facts on the stock market and retirement:
- 🎢 Stock Shock - Stocks have been on a wild rate lately. When Trump announced his tariff plan early this month, the market took a major crap. Then on April 9th, Trump put a 90-day hold on many of his most aggressive tariffs and stocks shot back up. What happens when the 90-day period runs out, we’ll have to wait and see.
- 🃏 Know When to Hold ‘Em - One of the best things to do when the markets go crazy is to just stay put. Sure, it’s tough checking your 401k while stocks are in a freefall, but making any sudden money moves could come back to bite your butt. Try your hardest not to panic and tap a professional financial advisor if you need advice.
- 🤔 Risky Business - If you’re approaching retirement or just recently retired, selling investments in a market downturn leaves you open to what’s called “sequence risk.” That’s a fancy name for draining your savings quicker than you had planned and not having enough to last the rest of your life. How and when you cash out really matters.
- 👷🏽♂️ Workin’ for the Weekend - If you still have a job, consider pushing out that retirement date until things settle down. Taking an extra three to six months to see how things wind up could be a game-changer. Plus, you don’t have to tap your retirement savings while you’re still bringing in a salary.
- 💲 Cashing Out - Need to access cash? Refinancing your mortgage could reduce your payments and get you a lower interest rate. You could also open a home equity line of credit (HELOC). While you might be skeptical of taking on debt in retirement, borrowing on a HELOC may be a better option than selling your investments at a low point.
🔥Bottom line: Don’t let the stock market crazies keep you up at night. Historically, the market tends to bounce back after it gets rocked. It’s common to experience sharp turns and upside down loops. Receiving social security payments? If you get paper checks, it’s time to go digital. Head here to learn about the government’s plans to nix checks and what to do.
Has the stock mayhem impacted your retirement plans?
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