Are You Prepared?

America is facing tough economic times.  The Federal Reserve and the Federal Government are doing things to shorten the downturn and get America growing again.  We have great confidence that it will happen again.  But this letter is directed at what we, as individuals, should be doing right now to help our personal economy.

First, we must realize that we can have control over a great many things. While the national economy is outside of our control, we make decisions every day that affect us personally.  Economists love to discuss whether the drop in gas prices, combined with tax cuts, will spur people to save or buy.  The answer to that question should depend on your circumstances.  Let’s review some personal questions:

• Are you making the right decisions to protect your family?
• Are you and/or your spouse currently employed with good prospects to stay that way through this storm?
• Can or should you cut back on spending?
• Do you need to make a major purchase (car, boat, house, appliances) in the next 12 months?
• Do you have high interest credit card or consumer debt?
• Do you own a home?  What are the chances of refinancing at lower rates
• What would happen to your family if you or your spouse died?  Or, need a nursing home?
• Do you have a 401k?  If so, how is it allocated?
• Should you continue to make contributions to your 401k?  How much into what account?
• Should you convert your traditional IRA to a Roth IRA?
• Are you living off your pensions and investment income?  If so, which assets are you taking income from?  Should you stop or change?
• Are you worried about your investment accounts?
• Do you have an advocate looking out after your best interests?

These questions are the starting point of your own personal recovery program.  The key is to work with a professional who will take a 360° view of your situation and help you make informed decisions.

We are here to help in both the good times as well as the rough times.  If you have not been able to attend one of our Economic Recovery sessions, or if you have not visited with us recently, contact our office today.

Visiting with us will help you get the answers you need to make an informed decision.