Concerns about economy lead some to spend out of fear

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MILWAUKEE (CBS 58) -- Financial anxiety and looming tariffs are driving a trend known as doom spending, according to local experts.

Tony Drake of Drake & Associates joined us on Wednesday, April 16 to outline the behavior, in which people make impulsive purchases in response to uncertainty. Nearly 20% of Americans report doing so.

Drake noted that strategies like removing stored payment information, instituting a 24-hour waiting period and building a budget can help reduce unnecessary purchases. He also emphasized saving for retirement and establishing an emergency fund as alternatives to reactionary spending.

He recommends setting aside 10 to 15 percent of income when possible. Those seeking additional guidance are encouraged to consult a financial professional for help crafting a long-term plan.

Learn more from Drake & Associates by clicking here.

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