What will happen in a recession? Is there anything I should be doing on an individual level to prepare?

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Like the title says, I have never lived through a recession as an adult and was just stressing if there are things I should be doing (in particularly financially) in order to prepare.

Comments

  1. The_Endless_ Avatar

    A 6 month emergency fund in a savings account is a good start. 3 months worth if 6 isn’t feasible. You want that money to be easy to access and not subject to fluctuation, I.e., don’t invest it

    Add up your essential monthly expenses (rent/mortgage, groceries, utilities, childcare, that sort of thing) to determine the amount you need and multiply by the months of emergency fund you’re targeting.

  2. Blackbyrn Avatar

    Be patient. Don’t buy anything expensive (house, car, elected official) if you can avoid it.

  3. YesterShill Avatar

    Don’t finance anything. No large purchases.

  4. DoctorFrick Avatar

    Put money aside, be frugal, and wait. Don’t panic. And if you’re able to postpone big purchases, do so.

  5. jp112078 Avatar

    If you have any money left after this bloodbath and feel like gambling , buy the dip next week.

  6. kcasper Avatar

    Depends on circumstances. If you have 50 thousand, be prepared to live on 30,000 and buy 20,000 worth of stocks. Buying stocks in the middle of a recession is the ultimate investment opportunity.

    The family owned Kent corporation has a plan to stockpile 10s of millions in cash right now. During the coming recession they are going to buy as many food product production facilities as they can to expand as the country comes out of recession.

    The majority share holder of Lands’ End (online clothing retailer) is trying to get the company to sell itself to some other more recession proof company before the recession hits.