How to Survive a Financial Crisis

Be one of a kind with Mike's Plan.

It's January 8th, and this is Mike Milligan with the One of a Kind Financial Show Daily. Um, it is, it's, we're getting close to the end of this first full week of the year, and I wanted to share an episode from the One of a Kind Financial Show. Gary and I looked back on January of 2009 and had a great conversation About Berkshire Hathaway people and how they felt during that time and how to solve for problems before they become a problem. And so, uh, not to bring back nervousness or fear or anxiety for that time, but to learn from history, I now present to you that segment from the One of a Kind Financial Show about the Great Recession from January of 2009. Before we go there, I want you to realize you are one of a kind and you deserve a one-of-a-kind financial plan.

And welcome back to the One of a Kind Financial Show. As we begin the new year, we thought it might be helpful to look back at another January in US history, January 2009, right in the middle of the Great Depression. Markets were volatile, headlines were overwhelming, and many Americans were asking, will I be okay, Mike?

Oh man, that time was filled with uncertainty. I, I remember it like it was yesterday. I was, uh, I was early in my career. I had worked for Wall Street banks and stock-based companies. I was even working at that point in time with an insurance company, used to be called MetLife, if you remember MetLife, Gary.

Of course.

People watched literally in a matter of months from September, October, November, December, January, they watched years of savings go down and then they saw them go up. And for many that were in retirement, it was a very emotional time. We saw some of the biggest names just vanish. Bear Stearns, gone.

Yeah. That's right.

Fannie and Freddie, which were publicly traded stocks back then, gone from that standpoint. Now, they still exist as government entities that back mortgages, but gone. We saw Washington Mutual, which was this huge—

I remember that. Yeah.

Huge.

Just gone. These were companies that had been around for decades, if not centuries. They were just gone. And we didn't know, were we in the beginning stages of the Great Depression? We had no clue, but here we were. And it was a good— that time is a good reminder for us today that successful retirement planning isn't about reacting to fear.

It's building a thoughtful plan designed to weather Yeah, so let's pull out a few lessons from that period. Now, not to scare anybody, but to— not to predict the future, but to understand what history has shown us, Mike.

Yeah, so during 2008 and 2009, some people panicked. They sold at the wrong time, and many missed the rebound that followed. The takeaway isn't that markets always bounce back the same way. Nobody can guarantee that. The lesson is that emotional decisions can derail long-term strategy. So designing investment portfolios aligned to risk tolerance and time horizon so that decisions are guided by planning and not panic is very critical before something like this happens again in the future.

Right. And we saw the danger of being too concentrated in one company or maybe one sector or one asset type. You have to be diversified. And we saw a lot of problems with that too, didn't we, Mike?

Well, yeah. I mean, if you guys remember, the financial crisis was caused by a real estate bubble, and then it was caused by the weaving together of all the debt that that had. And so a thoughtful allocation strategy helps spread risk out. While diversification doesn't prevent loss, history shows it can help reduce volatility. Gary, do you know what company was one of the big winners during that time?

No, I can't recall.

It's a little company called Berkshire Hathaway.

Oh, yes.

Yes.

It's a little company. Warren Buffett. Yeah. Warren Buffett, because he created such a long thought-out plan within Berkshire Hathaway, he was able to lend money at 10% and 12% to companies like Goldman Sachs and many other financial companies like that, where he was basically guaranteeing Berkshire Hathaway shareholders either a 10 to 12% return because of the debt repayments, or that he was going to own those companies. Because if they didn't get the interest payment, there were these warrants to own the company. And the reason Berkshire Hathaway was able to do that is because Warren Buffett had a long-term plan in place.

The show is the One of a Kind Financial Show. I'm Gary Nolan, your consumer advocate. With us each week at this time is Mike Milligan, Mike is with One Oak Financial. I want you to get on the calendar, all set up with that comprehensive plan. It's a brand new year, time to get started. 800-748-1838, 800-748-1838, or text the word ideas to 600-700. 800-748-1838, or text the word ideas to 600-700. All right, another challenge people faced in 2009: where's my paycheck coming from in retirement, Mike?

Yeah. A written retirement income plan helps answer that. Instead of guessing, instead of reacting to every headline, we need to find the income sources you can rely on. We need to look at how assets can be used strategically, and we need to adjust when life changes. See, just because the market didn't come down, many people didn't have a life change. There was something externally happened. So we're not talking about promises or guaranteed. We're talking about a structured plan. Now, we can put guaranteed income in place. We can put strategic allocations or laddered portfolios together. But the key to it is the structured plan that then uses the tools to make sure you have a retirement income plan in place.

Yeah. One thing that people don't think about is taxes. In tough economic times, taxes can feel like the last thing anybody wants to talk about or think about it. But It remains part of the financial picture, Mike, doesn't it?

That's right. Strategic tax planning isn't just about saving money. It's about understanding timing, withdrawal strategies, and long-term financial impact. That kind of awareness helps people make more informed decisions.

So even when markets are stormy, life doesn't pause. Healthcare decisions continue. Long-term care risks, they still exist. You have to keep an eye out on those things.

Exactly. A recession doesn't reduce health expenses. Actually, the stress of it can cause healthcare expenses to go up. So planning for healthcare costs like Medicare costs, supplemental coverage, and even long-term care strategies, this helps maintain stability when life happens.

Yeah. Now, even during uncertain times, people still care deeply about their family, their faith, and giving and legacy too, Mike. That's always very important.

Yeah. Financial planning isn't about numbers. We want to make it about the spreadsheet so often, but what people really want is meaning in retirement. They want contributions. Mentorship, time with grandkids, charitable impact. Financial clarity helps people stay focused on what matters.

So when we look back in January 2009, the big message isn't fear. It's more like perspective, Mike.

When in doubt, zoom out.

Yep. I like that.

History reminds us that uncertainty has always been part of the financial world. A structured retirement plan doesn't eliminate uncertainty, but it can provide clarity, confidence, and direction for your unique, one-of-a-kind situation.

All right, get that one-of-a-kind financial plan. Mike, tell us about it.

Guys, um, we will have an event like the financial crisis again in the future. I don't know what it's going to be. I don't know if it's going to be COVID. I don't know if it's going to be an event like COVID. I don't know if it's going to be an event like, you know, uh, the, the big crash in 1987. I don't know if it's going to be a bubble burst. I don't know what it's going to be, but I'm telling you guys, it will happen in the future because, uh, history tends to repeat itself. I don't know the date. I don't know the time. I don't know the impact. But I know that if we build a financial plan for you that solves your problems and makes you feel good and sleep at night, you won't have as much stress and worry. I cannot reduce all the fear that exists in this world, but I can build a plan, a one-of-a-kind financial plan for you that addresses taxes, retirement income and investments, long-term care and legacy. In the good times, in the bad times. And so guys, in 2026, before this ever happens again, don't you think it's time to prepare for this? You prepare before the storm. You get life ready before something happens. The One of a Kind Financial Plan is that tool that we're gonna use to help you be prepared.

800-748-1838, 800-748-1838, or text the word IDEAS to 600-700. One more time before we wrap up this segment, 800-748-1838 or text the word IDEAS to 600-700.

This has been the One of a Kind Financial Show Daily with your host, Mike Milligan. Again, Gary gave you ways to connect with us on the phone number or our text line. But I want to remind you that I am— that's Mike Milligan— is an investment advisory rep with Advisory Alpha LLC. Ideas by Mike, doing business as One Oak Financial, is an unaffiliated entity of Advisory All opinions expressed by me and Gary Nolan from the One of a Kind Financial Show are strictly our opinions. This is done for education purposes only. Please consult with a tax advisor, a qualified financial professional, or various resources that are out there offered by investor.gov, socialsecurity.gov, or Um, or other reliable sources. Until next time, this has been Mike Milligan.

Be one of a kind with Mike's plan. In a face shot growth, take a stand. Visibility, strategy, take the lead. Transformation's yours, fulfill the need. Mike's got the way to help you rise and stay. Leadership impact you'll find in your one-of-a-kind mind. Be one of a kind. Take the flight. Ooh, ooh, ooh, ooh, ooh. Mike's the guide. You'll shine bright.