Wednesday, 22 September 2010
In order to survive what has been called an “economic tsunami”, here are five tips that may help you prevail during the worst financial crisis since the Depression.
1. Pay down your debt. If you have an excellent FICO score, you may be able to apply for a home equity loan. In addition, if you have a mortgage with a variable rate of interest, you may be able to change it to a fixed rate through refinancing.
2. Put away at least 18 months' worth of savings. Or at least estimate how much you will need to carry you over if you are suddenly laid off.
3. Take a second look at your household budget. Eliminate unnecessary expenses. You may also want to think about increasing your income by working overtime, or applying for a second job. If you have teens at home, perhaps they can apply for part-time work after school to help with the bills.
4. Learn a new skill. This can help you to achieve a promotion at work as well as increase your paycheck. If this is not feasible because your company is cutting back, utilize your existing skills by offering your expertise to others. People always seek the services of a painter, mover, or someone who does general housework. These extra jobs can bring in additional cash.
5. Consider starting a business that will allow you to make extra money. Work-at-home businesses are thriving these days. You do not need a large budget, just an idea and the empowerment to take the leap. If you are a great writer, you can offer your services to website owners who need content; if you have a creative flair you can sell gift baskets online. Whatever you feel is your greatest strength - take it. Plan a business around it, and you can succeed.
Keep in mind that you are not alone. The nation and the world are as frightened by this crisis as you. Stay informed and stay positive. Prepare for the worst and hope for the best. Have a family discussion and decide on a proper course of action. And finally - implement a plan and work hard to achieve your goals.
Stay Well Stay Happy