In the face of an unpredictable economy, can you withstand a fiscal crisis? We'll show you four steps to take to protect your household from falling into debt during low financial times.
Our slide show begins with the navigation to the right.
Step 1: Prepare for the Worst-Case Scenario
Come up with a plan to live on less. You never know when you might lose your job or end up with unexpected bills. June Walbert, a financial planner with USAA, recommends taking out a mortgage that you can afford to pay on only one income, even if both spouses work.
Sponsored Content
(opens in new tab)
Step 2: Keep An Emergency Fund
You need at least six months' worth of expenses in an emergency fund. Many people got lazy about emergency funds when it was easy to get a home-equity line of credit. But with lenders pulling back equity lines, it's important to build up your emergency fund again, even if it means temporarily decreasing retirement-plan contributions.
Sponsored Content
(opens in new tab)
Step 3: Lower Your Credit-Card Rates Now
First, ask your credit-card companies for a better deal, which can work if you have a good credit record. Or take advantage of a 0% balance-transfer offer -- just be sure to pay off the balance in full before the teaser rate expires, which is usually after six months.
Sponsored Content
(opens in new tab)
Step 4: Pay Off Your Mortgage Before You Retire
Most people aren't in a rush to pay off their mortgage if they have a low fixed rate and can earn more by investing elsewhere. But if you plan to retire soon, repaying that debt can give you a lot more flexibility, especially if your investments are down and your other expenses have increased -- which is happening to many retirees this year.
Sponsored Content
(opens in new tab)
-
-
What Are Home Heating Oil Prices Across the U.S.?
And how high will home heating oil prices go as we head deeper into winter?
-
Stock Market Today: Stocks Spiral After Strong Data Sparks Fed Fears
Data on the services sector and factory activity came in stronger than expected, pointing to a resilient U.S. economy.
-
Should I Cancel Amazon Prime? Here Are 12 Good Reasons
Amazon Prime The giant retailer had a year of ups and downs, leaving many wondering: Do I need Amazon Prime?
-
10 Things to Know About Hurricane Insurance Claims
Becoming a Homeowner Hurricane damage? Know what’s covered, what isn’t, and how to make the most of your policy if you need to file a claim.
-
The Most Expensive Natural Disasters in U.S. History
Economic Forecasts Wind, water, fire and drought have all wreaked havoc on the United States. What’s been the worst?
-
Amazon Prime Day 2022: Some of the Best Deals from Kiplinger Editors
Amazon Prime Amazon Prime Day is here. We’ve identified some great values on products and services, a number of which we’ve used ourselves.
-
10 Tax Deadlines for April 18 (Today is Not Just the Due Date for Your Tax Return)
tax deadline Between requesting a tax extension, making IRA or HSA contributions, and meeting other tax deadlines, there's more to do today than just filing your federal income tax return.
-
Alternatives to Amazon Prime for Free Shipping and More
Amazon Prime You don’t need to pay Amazon Prime’s juiced $139 annual fee to find a wide swath of products online at different retailers.
-
40 Ways to Earn Extra Cash in 2022
business We flag a wide variety of cool side hustles to earn bonus bucks for expenses both expected and unexpected as we begin to emerge from the pandemic.
-
40 Best Amazon Prime Benefits to Use in 2022
Smart Buying Amazon Prime membership will soon rise to $139 a year. Get your money's worth by following this guide to the best Prime perks to use for the rest of 2022.
