It is hard to fathom a recession when all asset classes are increasing in value. But this is exactly the right time to make a plan to prepare for an upcoming recession.
Personal Capital provides a free tool enabling you to track your net worth, cash flow, budget, emergency fund, asset allocation, performance against benchmarks, any hidden fees and retirement planning.
Since most of us are working at home; you can cut everything from your Starbucks to restaurant food. BTW eating or drinking any food not prepared at home is risky.
Don’t leave your money earning no interest. This is all the more relevant since now your Emergency Fund would now be much larger compared to the bull markets.
Human Capital is the biggest asset which you should now leverage. The free time you save by not traveling and staying at home can be used to add value at work.
Tax-loss harvesting is when you sell investments at a loss in order to reduce your tax liability. You can harvest losses to offset gains as well as up to $3,000 in non-investment income.