financial hard times

Since there is so much uncertainty right now, many are making predictions about where the economy is headed, when the virus will subside, and when we will return to “normal.” While no one can be sure, it’s worth considering the future when planning for it. If you’re nearing or entering retirement, a solid plan is even more important. Here are three tools to help survive hard times.

An Emergency Fund

First, assess your emergency fund, or create a plan to make one. Ideally, an emergency fund would cover all essential expenses for a few months. This could be necessary in the event of job loss, investment income loss, or an unexpected medical expense. An emergency fund may include a steady source of income, especially if you’re already retired. Without a pension to rely on, many retirees have the necessity of creating guaranteed income streams in retirement.

A Social Security Maximization Strategy  

If you experience financial hardship, you might rethink your Social Security claiming strategy. The earliest you can claim Social Security benefits is age 62. However, claiming benefits before your full retirement age will result in a permanently smaller benefit. If you wait to claim past your full retirement age, your benefit will increase by 6 – 8% per year you defer until age 70.[1] If you think you need to claim earlier than you originally planned, keep in mind that you have one year after claiming to suspend benefits. You can repay your benefits within a year and go back into deferral.[2] This way, you can still receive a larger monthly benefit by delaying your Social Security benefits.

A Long-Term Investing Plan

Create a long-term investing plan, regardless of what’s happening in the here and now. Avoid making hasty decisions based on emotions, such as locking in your losses by pulling out of all your investments. Instead, you might review your asset allocations, reassess your risk tolerance, and consider your income needs now and in the future. Here are some dos and don’ts in a volatile market to consider if you’ve been concerned by recent market ups and downs.

You might be wondering when society, as well as your financial situation, will return to “normal.” Eventually, markets will rebound, but for those nearing and in retirement, this may not be soon enough. There will likely be other market drops in your lifetime, so consider planning for them. We can help you create a retirement plan that doesn’t overlook the possibility of hard times.

[1] https://www.ssa.gov/planners/retire/delayret.html

[2] https://www.ssa.gov/planners/retire/suspend.html

The content presented is for informational purposes only and is not intended as offering financial, tax, or legal advice, and should not be considered a solicitation for the purchase or sale of any security. Some of the informational content presented was prepared and provided by Lone Beacon Media, LLC dba Lone Beacon, while other content presented may be from outside sources believed to be providing accurate information. Regardless of source no representations or warranties as to the completeness or accuracy of any information presented is implied. Lone Beacon Media, LLC is not affiliated with the Advisor, Advisor’s RIA, Broker-Dealer, or any state or SEC registered investment advisory firm. Before making any decisions you should consult a tax or legal professional to discuss your personal situation.


The content presented is for informational purposes only and is not intended as offering financial, tax, or legal advice, and should not be considered a solicitation for the purchase or sale of any security. Some of the informational content presented was prepared and provided by tMedia, LLC, while other content presented may be from outside sources believed to be providing accurate information. Regardless of source no representations or warranties as to the completeness or accuracy of any information presented is implied. tMedia, LLC is not affiliated with the Advisor, Advisor’s RIA, Broker-Dealer, or any state or SEC registered investment advisory firm. Before making any decisions you should consult a tax or legal professional to discuss your personal situation.Investment Advisory Services are offered through SHP Wealth Management LLC., an SEC registered investment advisor. Insurance sales are offered through SHP Financial, LLC. These are separate entities, Matthew Chapman Peck, CFP®, CIMA®, Derek Louis Gregoire, and Keith Winslow Ellis Jr. are independent licensed insurance agents, and Owners/Partners of an insurance agency, SHP Financial, LLC.. In addition, other supervised persons of SHP Wealth Management, LLC. are independent licensed insurance agents of SHP Financial, LLC. No statements made shall constitute tax, legal or accounting advice. You should consult your own legal or tax professional before investing. Both SHP Wealth Management, LLC. and SHP Financial, LLC. will offer clients advice and/or products from each entity. No client is under any obligation to purchase any insurance product.
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