The American economy has been great for the last ten years. Our economy has been on the rise since the real estate market crashed over ‘08 & ‘09. Now, we reside in one of the longest running economic upswings in American history, one that can only continue for so long. With this inevitability in mind, how should you handle your finances in the next few years to come?

You should consider exchanging your stocks for hard cash now. Waiting to cash in is a bet on the economy continuing to improve. Waiting until a recession to get your capital is a risk, because waiting too long could get you caught in a bank rush. During a bank rush, people run to the bank and demand to withdraw their money. Banks make profit from taking customers money and investing it. This means that they won’t always have the money on hand. When you look at your bank account, you see a number. On a typical day, that number represents the amount of money you technically own. However, during a bank rush, the overwhelming demand for cash will dry out the banks reserves. If you didn’t get the cash earlier, your bank account becomes a number with no meaning.

The money you spend during a recession can be pivotal in your financial success. The investments you make while goods are at an all time low could eventually make you the money you need to retire early.

Liquidating your assets could be the key to your financial success. Most professionals would say don’t invest right now but, I suggest investing in one thing, cash. Liquidating your assets now could put you in the position to buy goods and plan your success while the economy is failing. With money tied up in stocks, or god-forbid all your livelihood be lost in a bank rush with no way to access your rightful dollars, you will not be in the position to thrive off of a recession.

Even recently we have seen the stock market take a dive, suggestive of the oncoming recession (Dow Jones has been on the decline for about four months now). People with more solidified assets should begin to worry and plan their finances around the expected recession to hit in the next few years.