Terry Savage, Tribune Content Agency

Savers are about to face the most significant financial challenge of all — the challenge of self-discipline.

Short term interest rates are dropping. Short-term six-month Treasury bill rates have already fallen significantly below 4%, down from a high of 4.75% one year ago this month, and 5.5% two years ago. Expect rates on certificate of deposit to follow quickly.

If you were planning to live on the interest you earned, it’s time to revise your budget — not your asset allocation. And that’s where self-discipline comes in.

It was pretty easy to sit on the sidelines of a roaring stock market when you were earning well over 4% on safe “chicken money” investments such as short-term CDs, T-bills and even money market accounts. You had set aside an approp

See Full Page