High inflation sparks retirement concerns for some Georgians
ATLANTA, Ga. (CBS46) - For small business owners like Shirley Welch, money is tight right now. She’s dealing with record high inflation and her retirement funds are down.
“I would like to retire by a certain age and by the way things are looking right now, I might have to work a few years beyond and I don’t want to do that,” Welch said.
Financial consultant Drew Jones understands the concerns impacting many people right now as the markets are down about 20%
“What’s done is done. You don’t want to panic and you don’t want to sell out already down the market 20%,” Jones said.
Jones said your best bet is to weather the storm and adjust your retirement accounts to take a more conservative approach.
“Now each individual situation is different. It doesn’t mean we wouldn’t advise or recommend some changes. We don’t just necessarily sit with something bad just because you said stay put. We want to stay put in terms of still being invested, but there can always be tweaks, changes to a portfolio and maybe they weather a little bit better. Maybe they don’t fall as far,” Jones said.
As for Welch, she’s now contemplating a later retirement than originally planned.
“I’m 50 now and I would like to retire by 55 and the way things are looking I might have to put in an additional 5-10 years and that’s very scary,” Welch said.
To cool off inflation, the Fed increased the interest rate .75% this week. President Biden said that a recession is `not inevitable’ as Fed works to tame inflation.
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