Experts warn of stagflation and a gutted SSA. Here are the money moves you can make to protect your retirement
From Yahoo Finance: 2025-04-08 07:30:00
The Federal Reserve chair, Jerome Powell, expressed concern over a moderation in consumer spending and heightened uncertainty about the economic outlook due to recent indications. The FOMC downgraded GDP growth to 1.7% and increased core inflation projections to 2.8%, sparking fear of stagflation.
Economic experts and the FOMC are worried about the effects of President Trump’s economic policies, which could lead to stagflation. The White House’s actions, such as launching trade wars and slashing Social Security, are causing concern among many, including policy experts like Alex Jacquez.
The Social Security Administration (SSA) is facing cuts due to Elon Musk’s Department of Government Efficiency (DOGE), leading to fears of benefit interruptions. The Trump administration’s policies are suspected of setting up the SSA for failure to justify privatization, causing anxiety among retirees who rely on benefits.
With stagflation looming and potential cuts to Social Security benefits, retirees need to protect their savings. Strategies include reducing expenses, revisiting financial plans, increasing income, building emergency funds, ramping up savings, and reassessing investments to prepare for economic uncertainties.
To safeguard retirement savings in the face of economic uncertainty, retirees should consider reducing expenses, revisiting financial plans, increasing income, preparing for financial shocks, ramping up savings, and reassessing investments with the help of a financial advisor. Planning ahead can help weather any economic challenges.