When a recession is looming, it’s easy to go into panic mode–immediately . And contrary to popular belief, even the wealthy take these preventative measures. “When economic storm clouds gather, even wealthy individuals take defensive financial positions,” said Abid Salahi, finance expert and co-founder of .
Below are some of . Earning passive income doesn't need to be difficult. Salahi noted that high-income earners often start by reducing their discretionary travel spending.
“My wealthy clients typically cut their annual vacation budget by 30-40%. A client who previously spent $50,000 yearly on luxury travels might scale back to $30,000, choosing domestic destinations over international ones.” “Last year, one of my clients, a successful tech executive, canceled his family’s annual month-long European vacation.
Instead, they opted for several long weekends at nearby luxury resorts, saving approximately $25,000 while enjoying quality family time.” Melanie Musson, finance expert with , observed the same. “If a recession might be coming, the wealthy will cut spending on overseas travel,” Musson said.
“They don’t want the expense of airfare and lodging. Plus, the American dollar exchange rate is likely to decrease, making everything in other countries even more expensive.” She said average wage earners can follow this trend by limiting travel.
“While exploring the world has many benefits, waiting until more stable financial conditions for internation.
