Recessions are an inevitable part of economic cycles. Most of us are worried about how to survive a recession. The thought of a recession is really stressful, but it is important that you should not get panic. Realise that recession is just part of the economic cycle. Most of us will feel the discomfort of a recession but remember, there are easy ways to prepare to survive a recession. In this article, you can find 5 steps to help you stay positive and survive a recession, and feel more confident about your finances. This article is based on Brian Tracy’s video.
How To Survive A Recession?
Successful people save in prosperous times. So they have a financial cushion in times of recession.Brian Tracy
Recessions and the social, psychological, and financial challenges they bring, are an inevitable part of economic cycles. Because of this, it’s important to take steps to recession-proof your life before the recession hits. After all, it’s far better to be proactive and prepare in advance than it is to be reactive and have to stress to figure out what you’re going to do when a time a recession comes around.
Taking these steps can not only help you survive a recession but will allow you to come out thriving on the other side. With that in mind, here are five steps to help you stay positive and thrive through a recession.
5 Steps To Stay Positive And Survive A Recession
- Keep Planning Ahead
- Set Your Mind Up For Peace
- Identify Needs Vs Nice-To-Haves
- Stay Healthy
- Help Others In Any Way You Can
1. Keep Planning Ahead
Before the recession hits you should have set goals for your career, finances, family, and relationships. These goals should include both short-term and long-term targets, and take into account the potential challenges a recession would present in those areas. Because recessions have major financial impacts, it is important that you put money away in savings, too. It is even better if this saving system is automated. Consider setting up a system so part of your paycheck automatically goes into savings. Planning early on and regularly will give you a safety cushion if finances get tough in a recession.
2. Set Your Mind Up For Peace
When a recession hits, the negativity can be mentally challenging. That’s why it is important to work on keeping a positive mental headspace and setting your mind up for peace. Starting a meditation practice or using positive affirmations can go a long way in helping you stay grounded and focused. These tactics can help you clear out negative thoughts and help you focus on the positives in your life. They can also give you more clarity on how to navigate the current economic state from a more calm and stable perspective. Having these routines in place can help you work on believing in yourself and your abilities while removing doubt and fear.
3. Identify Needs Vs Nice-To-Haves
In times of recession, finances can be stretched thin. That is why it is important to take stock of your spending and have a defined budget. This will give you a clear picture of where you’re spending money and where you can save. It is also important to keep in mind the big difference between spending money on necessities versus spending money on things that you would like to have but do not necessarily need. This does not mean that you have to cut out all the non-essentials, it just means you should consider reducing this discretionary spending to save more during a time of recession.
4. Stay Healthy
One of the best things you can do for your mind and body during a recession is to stay healthy. There are many ways you can do this, many of which are free. This can include going for a walk outside to get some fresh air and sunshine, getting some exercise or yoga, or eating healthier and drinking more water. By using this time to focus and invest in your body and mind, you’ll be in a better position to make better decisions for your future.
5. Help Others In Any Way You Can
If you’ve taken steps to set yourself up for success during a recession, another big step you can take to continue to feel positive and thrive is helping others. Helping others is one of the most rewarding and positive experiences you can have. This can be accomplished in many ways including volunteering or through donations to a local charity supporting those in need. By doing this, you gain meaning and purpose and you’ll feel good about yourself. Your level of self-fulfilment and positivity will increase and you’ll be full of gratitude knowing that your acts of kindness have made an impact.
Recessions are going to happen. They’re a normal part of the economic cycle. Knowing this, it is important to take steps ahead of time to put yourself in the best possible position to stay positive, survive and thrive in the best way you can during economic downturns. By planning ahead and taking the right steps to protect your financial, mental and physical health, you’ll be in a position to not only thrive but to pay it forward and help those less fortunate.
References & Credits: Brian Tracy YouTube
There is a saying that necessity is the mother of all inventions. Through many creative ways, you can save money to prepare yourself financially. During a recession, you can cut costs by delaying a major purchase or getting into bargain shopping and be prepared for a loss of income. You can think about chopping one fixed cost from your budget that you rarely use.
Diversify Your Income
If your career is not in a recession-proof industry, one of the riskiest things that you can do during a recession is to rely on one source of income. You can treat it as your opportunity to look into diversifying your income so that you have other sources to rely on.
Hope that from the above, you understood that recessions are going to happen because recessions are a normal part of the economic cycle. Hence, don’t get panicky and stressed. It is important to take necessary steps ahead of time to put yourself in the best possible position to stay positive, survive a recession and thrive in the best way to come out as a winner in the end.
What steps have you taken today to recession-proof your life?
Do you have any tips to share to survive a recession?
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Mathukutty P. V. is the founder of Simply Life Tips. He is a Blogger, Content Writer, Influencer, and YouTuber. He is passionate about learning new skills. He is the Director of PokketCFO.
He lives with the notion of “SIMPLE LIVING, CREATIVE THINKING”. He Believes – “Sharing is caring.” and “Learning never ends.”