There’s been a plethora of news recently related to the impending recession. Because all of this talk can cause a lot of fiscal and emotional stress, you’re wise to start preparing yourself for what’s to come.
Here are 11 surefire ways that you can do so:
- Critically Assess Your Budget. Do everything you can to reduce costs. Analyze the places where you are spending money and figure out how to cut or eliminate all uncessary expenditures. You should also home in on debt reduction and attempt to lower your monthly interest payments as well.
- Mingle. There is no better time to work on networking. Get to know others in your company, industry and local area. You’ll be able to leverage those connections if you need to, while deepening your support system and network in the process.
- Work on Your Visibility. Don’t fly under the radar. Before the next round of layoffs hit, position yourself to secure your spot. Showcase your value, skills and willingness to help the team in order to stretch your staying power.
- Beef Up Your Savings. Start contributing even more to your emergency fund. You never know when you might need to pull money out of it. The whole reason for establishing an emergency fund is times like these.
- Check on Your Investments. It might be pertinent to reallocate some of your investments as we brace ourselves for increased volatilty in the market.
- Figure Out How to Make Some Cash on the Side. A side hustle can be invaluable when you are facing the threat of layoffs or a reduction in income. Launching or leaning into a part-time gig allows you to supplement when/if needed.
- Stay on Top of the Situation. Keep abreast of the changing economic climate and any shifts within your company. If you’re an entrepreneur, run some numbers to see how a recession will impact your business and then plan for it accordingly.
- Delay Large Purchases. It is smart to press pause before buying any major items, at least until we are in a more stable economic situation. Now is the time to save, not spend.
- Focus on Stress Reduction. A recession brings a lot of additional stress into an already stressful world. That’s why it’s critical to establish habits and daily routines that lessen your anxiety (ie. pilates, meditation, fitness, journaling, running, etc.)
- Practice Self-Care. Don’t let your self-care fall to the side. Set clear boundaries and ensure that you are getting enough sleep, eating properly, and taking care of yourself. When you do, you’ll be able to better deal with whatever comes your way.
- Have Open Discussions. Talk to family members about the possibility of a recession and your plan in response to it. It’s also imperative to maintain a dialogue with those you work with so that you are in the know and/or can inform others on your team about how they will be impacted.