Survive a Recession and Come Out Stronger
There are many reasons the economy could dip into a recession, including financial panics and sudden changes to major industry prices. While the idea of negative economic growth is concerning, the best solution begins with a calm approach. Not only can you survive a recession, but you can actually come through in a better place than you began.
This may be an excellent time to consider the FIRE method of preparing for the future. If you have already started on this path, the following tips can help you stay on track.
Rethink Your Priorities
This is a great time to consider whether your career and lifestyle have been satisfying. Are you spending time doing things that bring you happiness? Are you moving closer to your long-term goals? Do you need to revise any of those goals? Before making any big changes, make time to reflect on your priorities and the direction your life is heading.
Update Your Resume and Get a New Job
One of the scariest parts of a recession is the loss of a job. Whether you have to find a new position or you’re ready to move beyond your current position, or if you want a second job, an updated resume is crucial. Look for design platforms online with free templates that allow you to add your own information. You can also find valuable resources for adjusting your resume to internet applications. You can create a stellar and professional-looking resume by using an online resume creator and free templates. You can choose from a library of professionally designed resume templates, and then add copy, photos, and your choice of colors.
Review Your Family Budget
Ideally, you should review your budget every month. During times of an uncertain economy, it’s helpful not to panic. Not only does this positively affect the overall economy, remaining calm also helps you make wise decisions about your budget.
Alleviate Financial Stress
Once you’ve cut spending where possible, look at ways to reduce your debt. It’s hard to maintain a positive outlook with the constant stress of debt hanging over you. Suggestions for reducing your debt include
• Consolidating loans
• Paying off high-interest debts
• Earning extra income
According to The Harris Poll, financial stress is hard on relationships and families. Making an initial investment in financial guidance can strengthen your family financially and emotionally.
Relocate for Affordability
Time.com notes that financial advisors recommend that you spend less than 28% of your income on your home. If you live in a city where housing costs are high, moving to a new area could result in a lot of savings. Control your moving costs by comparing the prices and services of local movers. Before you meet with movers, check out online reviews and check with the local Better Business Bureau. Look for companies offering discounts and make sure your favorites are licensed and insured.
Find Peace When Selling Your Home
Change is hard. This is especially true when you have an emotional connection to your home. When foreclosure is a threat and you owe more than your home is worth, a short sale may alleviate some of your stress. A short sale essentially allows you to sell your home for less than what’s owed on your mortgage as a form of mortgage relief. Work with a dedicated loan resolution specialist who can help you every step of the way.
Look With Hope to the Future
Your feelings about change and an uncertain future may be tough right now. One way to move forward with hope is to find a community that strengthens you. Although you may feel alone, there are many others facing the same threats and uncertainties. As a group, you may share tips and resources that help you continue on.
Your worries and concerns about a recession are normal, especially as you face the prospects of a new job, the loss of a home, and a move. Surviving these obstacles and coming out stronger is possible as you remain calm, find a job after updating your resume, make and evaluate plans, and build a cooperative, helpful community.
Thanks to guest author, Dylan Foster, of healthwellwise.com for the information in this post.