By Theresa Schmidt

Published: Dec. 28, 2022 at 8:21 AM GMT+7

Lake Charles, LA (KPLC) – The stock market’s performance this year was especially disappointing for those nearing retirement.

If you watch the stock market hoping to see your money grow, this year may have been discouraging. But though the market is down, Certified Financial Planner Reed Mendelson says look at the big or long-term picture.

“It was a terrible year, and 2008 was a was a bad year, and ‘92 was a bad year, and we have always recovered,” he said.

“It took from 2008 to 2013 to get it all back. We got it all back and a bunch more,” said Mendelson.

The Washington Post says the S&P 500 is on track for its worst year since the 2008 financial crisis. And that the market gauge fell by 21 percent, making it the worst six month start to a year since 1970.

“We still have 20 percent more than we had three years ago,” Mendelson said.

Young people have time to catch up. But older people hoping to retire soon may have hard decisions should they protect their funds in low-risk investments that have little return? Or should they postpone retirement and keep working if possible?

Mendelson said it’s crucial to figure out how much money you will need and when.

“Just because you’re going to retire tomorrow, which I am not, doesn’t mean I need the money tomorrow. There is still money I’m not going to need for 10 years. And so that’s part of learning how to allocate your asset,” he said.

He saidyou want more money coming in than going out, and if it’s the other way, you have to find a way to cut expenses. When evaluating how you are doing, he says never look at just one year.

Stocks Tuesday afternoon closed lower after the long holiday weekend, adding to the market’s recent losses..

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