Stock market declines, crypto crashes, increased interest rates, sky-high gas prices…and the looming threat of an economic recession.
We don’t yet know when—or if—a global recession will happen, but strengthening your financial position is never a bad idea.
Here are 6 financial and career tips to help you cope with a recession.
- Drive Less. With gas prices skyrocketing, reduce your drive-time when you can. Consider ride-sharing, mass transportation, carpooling, or walking. If possible, consolidate your errands and think about shopping locally to conserve gas.
- Revise Your Budget. How long has it been since you reviewed your expenses? Do you have memberships or subscriptions you no longer use? Sometimes it pays to take a few minutes to crunch the numbers and see where you can pare down expenses or set spending limits to help keep your budget in line.
- Reduce High-Interest Credit Card Debt. With policymakers raising interest rates to bring down inflation, the amount you owe on high-interest credit card balances and variable rate private loans will increase. You may want to consider looking into consolidating or refinancing your debt at the lowest possible fixed interest rate to prevent your monthly payments from increasing.
- Build A Savings Cushion. Creating an emergency fund that can carry you through 6 or more months is one of the smartest things you can do during a recession. Backup savings will help you continue paying your mortgage, utility, and grocery bills during a layoff or unexpected financial loss.
- Think Long-Term with Investments. It can be scary to see your portfolio dive during a market downturn. However, it’s crucial to remember that—historically speaking—every time the market crashed, it has recovered. Staying the course—or sometimes investing in more stocks cheaply—will put you in a stronger financial position when the market recovers.
- Get A Side Hustle. Just as diversifying your stock portfolio can help reduce overall risk, diversifying your income stream can reduce the financial upset that comes with a job loss. It’s good to have options; many workers have discovered they love the flexibility, autonomy, and financial freedom of temporary or gig work.
PrideStaff can help you find temporary work that plays to your strengths—and cushions your savings. Whether you’re looking to earn more money or learn a new skill to make you more employable, PrideStaff can connect you with a wide variety of opportunities you might not find on your own. Contact your local PrideStaff recruiter or search hot jobs in your area.
Looking for more ways to strengthen your personal and financial position?