- Mercer Advisors

A Recent History of Federal Reserve Policy

The past quarter century has held times of economic prosperity and crisis in this country. Because your retirement hinges on your financial options and decisions, the economic health of certain parts of the financial world can dictate if and how you struggle, survive, or thrive in retirement. As such, it's arguable that no other institution has as much of a direct effect on the financial world—and thus your financial situation—than the Federal Reserve. So, keep reading [...]

Rebecca Mack2024-10-16T16:08:35+00:00October 14, 2024|Federal Reserve, History|

How Lower Interest Rates Could Impact Your Money

The Federal Reserve recently announced their decision to lower interest rates, marking a significant shift in monetary policy. This change could have far-reaching implications—namely to your retirement finances if you rely on interest-earning accounts like money market accounts, CDs, and savings accounts.[1] The Impact on Interest-Earning Accounts Interest-earning accounts, known for their stability and, of late, their relatively higher yields, may soon see a decrease in their returns. As the Fed cuts rates, financial institutions that [...]

Rebecca Mack2024-10-01T17:34:44+00:00October 1, 2024|Federal Reserve, Investing|

The Fed Speaks, Earnings Release, and the Market Drops… But Your Retirement Finances Shouldn’t Care

In recent months, the financial landscape has been marked by unpredictability. The Federal Reserve's recent announcement to maintain interest rates at their current levels has left many investors on edge. While the Fed has signaled a cautious approach, it has not ruled out the possibility of economic struggles ahead, indicating a readiness to lower interest rates if necessary. This uncertainty has coincided with a notable drop in the stock market, particularly following disappointing earnings reports from [...]

Rebecca Mack2024-09-10T15:59:02+00:00September 10, 2024|Economy, Federal Reserve, Retirement Income|

Today’s Interest Rates and Your Retirement

The Federal Reserve makes a monthly statement about its interest rate policy, which is based on the data it tracks and analyzes to understand the state of the economy. This includes data regarding inflation, employment, and more. These statements are important for the rest of the nation to understand how the economy is doing as well as what the Fed’s strategy for dealing with inflation is—namely their interest rate decisions, which can affect people’s finances in [...]

Rebecca Mack2024-07-26T15:11:45+00:00July 26, 2024|Economy, Federal Reserve|

3 Factors to Know for Rising Interest Rate Conditions

The 2022 economy has broken multiple records, first, with the highest inflation rate in 40 years, and now, the highest federal reserve interest rates since 2008.[1] In efforts to curb raging inflation, the US Federal Reserve has raised interest rates six times in 2022, reaching a target of 3.75% in November.[2] This rise in the cost of borrowing not only affects inflation but trickles into the decisions you make before and in retirement. Understand how this [...]

Rebecca Mack2022-12-15T04:02:32+00:00December 15, 2022|Economy, Federal Reserve, Financial Planning|

Inflation Finds its Way to Your Wallet

There’s no doubt that people have been feeling the effects of inflation on their wallets. Everything from food to gas to home repair products seems to be increasing every day. Federal Reserve Chairman, Jerome Powell, is taking inflation very seriously, raising interest rates to combat the explosion of inflation. And although the moves have made an impact, the Federal Reserve noted that inflation is stickier than it had predicted.[1] This is all to say that inflation [...]

Rebecca Mack2022-08-19T21:08:22+00:00August 19, 2022|Economy, Federal Reserve, Financial Planning|

Inflation Presents Unique Risks – Know How You’ll Respond

If your weekly grocery bill is noticeably higher or you can’t believe how expensive gas is, you’re not alone. Inflation is at 40-year highs,[1] and a recent poll found that 52% of Americans said the most important issue facing the country is inflation.[2] It’s significant that so many Americans recognized inflation as a major threat considering how unpredictable that market has been. Inflation presents unique risks, so it’s important to know how you’ll respond to them. [...]

Rebecca Mack2022-07-14T15:03:46+00:00July 14, 2022|Economy, Federal Reserve, Financial Planning|

You Can’t Stop Inflation, But You Can Prepare

Did you ever hear your parents or grandparents talk about how much less everything used to cost? They weren’t exaggerating - in 1960, a gallon of conventional whole milk was 31 cents, and today it’s $3.77 on average.[1] A few dollars might not seem like much, but that’s a 1,116% increase. You’ve likely noticed higher prices recently, even if they aren’t 1,116% higher. Unfortunately, you can’t stop inflation. But, you can prepare by working to protect [...]

Rebecca Mack2022-06-23T16:06:41+00:00June 23, 2022|Economy, Federal Reserve, Financial Planning|

Rising Interest Rates and High Inflation – How Will You Respond?

The Federal Reserve voted to raise interest rates for the first time since 2018 and has several more rate hikes planned for this year.[1] Rising interest rates can have significant effects on the economy and your finances. Between a volatile market, high inflation, and rising interest rates, know how you’ll respond. The Federal Reserve Raising Interest Rates for the First Time Since 2018 The Federal Reserve recently voted to raise interest rates for the first time [...]

Rebecca Mack2022-05-06T15:45:55+00:00May 6, 2022|Economy, Federal Reserve, Financial Planning|

Where Could Interest and Tax Rates Be Headed?

Are you aware of the latest news that could affect your money? We recently heard from Federal Reserve Chairman Powell regarding interest rates, plus the Biden administration released a “Green Book” outlining some potential tax-increasing measures. There are several big changes proposed, and if they come to fruition, you may need to review your tax minimization strategy. The Latest from the Federal Reserve Powell indicated the possibility of interest rate increases in 2023. The Fed’s projections [...]

Rebecca Mack2021-07-30T15:15:48+00:00July 30, 2021|Estate Planning, Federal Reserve, Financial Planning|