U.S. economy continues to shrink and many aren’t prepared for an economic downturn. Here’s what advisors are telling clients as recession fears grow
Kaufman Rossin’s Chief Investment Officer Charles Sachs’ insights have been included in CNBC, which published the online article, “U.S. economy continues to shrink and many aren’t prepared for an economic downturn. Here’s what advisors are telling clients as recession fears grow” written by Kate Dore. The story details advice from financial advisors for Americans on how to prepare for an economic downturn, featuring quotes from Sachs on how the recession will impact people, controlling how much you spend and save, and how lacking an in-demand skill set can cause personal recession.
“While some indicators point to a recession, other factors, such as the jobs market, say otherwise. But Americans won’t know until it’s decided by the National Bureau of Economic Research, the official documenter of economic cycles.
‘I’ve seen the soap opera unfold on whether or not we’re in a recession,’ said certified financial planner Charles Sachs, chief investment officer at Kaufman Rossin Wealth in Miami. ‘The focus is how does that impact you?’
Since no one can predict when a recession may happen, it’s best to focus on what’s in your control, such as how much you’re spending and saving, he said.
‘If we’re looking at your personal balance sheet, and like many people, you’re living above your means, that’s arguably not sustainable,’ Sachs said.
And recession or not, job loss can happen at any time.
‘If you haven’t evolved and you don’t have a skill set in demand, then irrespective of what’s going on in the economy, you could be in your own personal recession,’ Sachs added.