SPONSORED

How the 2020 recession in the US is affecting Americans in 2021 and into the future – don’t worry though, there’s good news.

Jun 4, 2021, 3:58 PM | Updated: Jan 4, 2023, 2:44 pm
recession in the US...
Photo: Adobe Stock

Teton Wealth GroupThis article about the last recession in the US is presented by Teton Wealth Group.


Most economic experts are agreeing that the US entered a recession in late February and early March of 2020. Luckily, it didn’t last long at all. Only officially from February until April. But now a lot of economists are starting to wonder if there will be another recession on the horizon?  And it absolutely depends on who you talk to. Either way, it’s worth taking a deeper look at some recession facts that everyone should know.

Why are they called ‘recessions’?

2020 recession - recession in the US

Photo: Adobe Stock

They are called ‘recessions’ because calling them “depressions” is far too scary. After the Great Depression, which is actually a term that was once considered milder than “panic” or “crisis,” the term “depression” for an economic downturn seemed much more terrifying. So because of this, economists began to use the term “recession” instead.

What constitutes an official recession in the US?

Economic uncertainty - recession in the US

Photo: Adobe Stock

The National Bureau of Economic Research is the arbiter of the definition. They say that it’s defined by two quarters of consecutive poor gross domestic product or GDP. There are other factors considered too including declines in real manufacturing and wholesale-retail trade and industrial production. But essentially it’s about 6 months of the economy losing its traction and falling.

How long do they last?

Econimic Crisis - recession in the US

Photo: Adobe Stock

On average most recessions last 17.5 months. And that average goes back to 1875. The longest post-WWII recession began in December of 2007 and ended in June of 2009. It’s unfortunately a recession you might be all too familiar with.

What’s the worst effect of a recession?

Covid Recession - recession in the US

Photo: Adobe Stock

An old economist joke is that a recession is when someone else loses their job, and a depression is when you lose your job. The reality is that job loss is possible. And there could be long term economic scarring for just a few 

Can you retire during a recession?

Rertirement - recession in the US

Photo: Adobe Stock

Yes, you can retire during a recession. But it might be good to consider a part-time job rather than stopping work entirely. You won’t have to withdraw as much from your retirement accounts, giving them a chance to recover from any losses. 

Working part-time can help you delay claiming Social Security so you can get bigger benefits later.

Consider an annuity. An annuity can help to create a steady stream of income, and some of your IRA funds can be transferred to purchase an annuity.

The bottom line

Prosperity - retirement in recession - recession in the US

Photo: Adobe Stock

Although retiring during a recession or bear market is never fun, there are several things retirees can do to shield their portfolios from long-term fallout. Realizing capital losses, dollar-cost averaging, and portfolio rebalancing are just some of the strategies you can use to keep yourself afloat in choppy market waters.

Working with qualified advisors like the advisors at Teton Wealth Group can really help you get to where you want to be in your retirement. Even if it’s in a recession.

Every family working toward retirement needs an Ascent Plan. Click here for a complimentary Ascent Plan from Teton Wealth Group today. The Ascent Plan includes the five main areas of retirement planning:  
    • Income 
    • Investments 
    • Taxes
    • Health Care
    • Legacy
This no-cost no-obligation plan will show you how to create a safe and robust retirement.

Related articles:

We want to hear from you.

Have a story idea or tip? Send it to the KSL NewsRadio team here.

Today’s Top Stories

Sponsored

Skier being towed by a rider on a horse. Skijoring....
Bear Lake Convention and Visitors Bureau

Looking for a New Winter Activity? Try Skijoring in Bear Lake

This article about skijoring is sponsored by the Bear Lake Convention & Visitors Bureau. Participate in Skijoring the Bear on February 20th, 2023.  What is skijoring? Skijoring is when someone on skis is pulled by a horse, dog, animal, or motor vehicle. The driver leads the skiers through an obstacle course over jumps, hoops, and […]
21 hours ago
For the second year, Utah Transit Authority (UTA) will be hosting “My BeUTAHful” art competitio...
Elizabeth Weiler

Win a UTA pass, art supplies and gift cards in student art competition

For the second year, Utah Transit Authority (UTA) will be hosting “My BeUTAHful” art competition. From now until March 20, students k-12 may submit their original art following the theme "Imagine + Lead + Change".
2 days ago
Banner with Cervical Cancer Awareness Realistic Ribbon...
Intermountain Health

Five Common Causes of Cervical Cancer – and What You Can Do to Lower Your Risk

January is National Cervical Cancer Awareness month and cancer experts at Intermountain Health are working to educate women about cervical cancer, the tests that can warn women about potential cancer, and the importance of vaccination.
12 days ago
Kid holding a cisco fish at winterfest...
Bear Lake Convention and Visitors Bureau

Get Ready for Fun at the 2023 Bear Lake Monster Winterfest

The Bear Lake Monster Winterfest is an annual weekend event jam-packed full of fun activities the whole family can enjoy. This year the event will be held from January 27-29 at the Utah Bear Lake State Park Marina and Sunrise Resort and Event Center in Garden City, Utah. 
29 days ago
happy friends with sparklers at christmas dinner...
Macey's

15 Easy Christmas Dinner Ideas

We’ve scoured the web for you and narrowed down a few of our favorite Christmas dinner ideas to make your planning easy. Choose from the dishes we’ve highlighted to plan your meal or start brainstorming your own meal plan a couple of weeks before to make sure you have time to shop and prepare.
2 months ago
Spicy Homemade Loaded Taters Tots...
Macey's

5 Game Day Snacks for the Whole Family (with recipes!)

Try these game day snacks to make watching football at home with your family feel like a special occasion. 
2 months ago

Sponsored Articles

Skier being towed by a rider on a horse. Skijoring....
Bear Lake Convention and Visitors Bureau

Looking for a New Winter Activity? Try Skijoring in Bear Lake

This article about skijoring is sponsored by the Bear Lake Convention & Visitors Bureau. Participate in Skijoring the Bear on February 20th, 2023.  What is skijoring? Skijoring is when someone on skis is pulled by a horse, dog, animal, or motor vehicle. The driver leads the skiers through an obstacle course over jumps, hoops, and […]
Banner with Cervical Cancer Awareness Realistic Ribbon...
Intermountain Health

Five Common Causes of Cervical Cancer – and What You Can Do to Lower Your Risk

January is National Cervical Cancer Awareness month and cancer experts at Intermountain Health are working to educate women about cervical cancer, the tests that can warn women about potential cancer, and the importance of vaccination.
Kid holding a cisco fish at winterfest...
Bear Lake Convention and Visitors Bureau

Get Ready for Fun at the 2023 Bear Lake Monster Winterfest

The Bear Lake Monster Winterfest is an annual weekend event jam-packed full of fun activities the whole family can enjoy. This year the event will be held from January 27-29 at the Utah Bear Lake State Park Marina and Sunrise Resort and Event Center in Garden City, Utah. 
happy friends with sparklers at christmas dinner...
Macey's

15 Easy Christmas Dinner Ideas

We’ve scoured the web for you and narrowed down a few of our favorite Christmas dinner ideas to make your planning easy. Choose from the dishes we’ve highlighted to plan your meal or start brainstorming your own meal plan a couple of weeks before to make sure you have time to shop and prepare.
Spicy Homemade Loaded Taters Tots...
Macey's

5 Game Day Snacks for the Whole Family (with recipes!)

Try these game day snacks to make watching football at home with your family feel like a special occasion. 
Happy joyful smiling casual satisfied woman learning and communicates in sign language online using...
Sorenson

The Best Tools for Deaf and Hard-of-Hearing Workplace Success

Here are some of the best resources to make your workplace work better for Deaf and hard-of-hearing employees.
How the 2020 recession in the US is affecting Americans in 2021 and into the future – don’t worry though, there’s good news.