Do you ever find yourself not knowing what to do? Don't follow the herd mentality. Instead ask yourself this simple question - What is the herd doing right now? Then do the exact opposite. These are things you may consider to prepare your Financial Future in a failing economy:-
Best Practice Suggests Not Doing The Following In A Failing Economy
Bail out. If you are like everyone else and running around selling your stocks and equity mutual funds now you are being really silly. Because the values are very low all you will end up doing is guaranteeing that you will a turn paper loss into a real one. After every recession there comes the next boom. Just like the sun rises in the east and sets in the west you can't change it so you are far better off staying the course during times of economic uncertainty.
Stop saving. Those regular contributions you've been making to your savings or retirement accounts are an important part of good financial discipline, and there's no reason to stop them now. The strategy of dollar-cost averaging your investments--making periodic contributions to your accounts, regardless of where the market is heading is still good advice.
Speculate. While lower prices for investments create opportunities, betting on the markets can easily get you into trouble, especially with the wild swings we're seeing now. Small, measured investments are usually better than large, hasty ones intended to make a quick killing. Be especially wary if you get tips from e-mail, the Internet, or elsewhere for certain stocks, commodities, and other "once-in-a-lifetime" opportunities
Take on new debt. If you need to take on new debt and using the equity in your home be especially careful as any economic downturns affect job stability and investment income. This impacts directly on determining how much debt you can handle. Sometimes it is still necessary to borrow, to put your child through college or make an emergency repair to your home just be doubly sure that you've examined all the options and risks.
Stop living. Don't over react and stop spending altogether. For example don't putt off doing that maintenance on your car and home. And do not under stop paying your insurance policies as this will have negative consequences if a claim should arise. It is okay to buy gifts on your annual family vacation. While it is prudent to take caution, there's such a thing as over-reacting. It is better to watch what you are spending and adjust if necessary.
You need to think outside the box and do something completely different to create a more stable financial future. Taking on extra work is not where I am going here. Think Plan B. Don't be scared, instead I want you to think strongly about starting or ramping up your Plan B. It is very important that you re-plan how and where you earn your dollars.
Best Practice Suggests Not Doing The Following In A Failing Economy
Bail out. If you are like everyone else and running around selling your stocks and equity mutual funds now you are being really silly. Because the values are very low all you will end up doing is guaranteeing that you will a turn paper loss into a real one. After every recession there comes the next boom. Just like the sun rises in the east and sets in the west you can't change it so you are far better off staying the course during times of economic uncertainty.
Stop saving. Those regular contributions you've been making to your savings or retirement accounts are an important part of good financial discipline, and there's no reason to stop them now. The strategy of dollar-cost averaging your investments--making periodic contributions to your accounts, regardless of where the market is heading is still good advice.
Speculate. While lower prices for investments create opportunities, betting on the markets can easily get you into trouble, especially with the wild swings we're seeing now. Small, measured investments are usually better than large, hasty ones intended to make a quick killing. Be especially wary if you get tips from e-mail, the Internet, or elsewhere for certain stocks, commodities, and other "once-in-a-lifetime" opportunities
Take on new debt. If you need to take on new debt and using the equity in your home be especially careful as any economic downturns affect job stability and investment income. This impacts directly on determining how much debt you can handle. Sometimes it is still necessary to borrow, to put your child through college or make an emergency repair to your home just be doubly sure that you've examined all the options and risks.
Stop living. Don't over react and stop spending altogether. For example don't putt off doing that maintenance on your car and home. And do not under stop paying your insurance policies as this will have negative consequences if a claim should arise. It is okay to buy gifts on your annual family vacation. While it is prudent to take caution, there's such a thing as over-reacting. It is better to watch what you are spending and adjust if necessary.
You need to think outside the box and do something completely different to create a more stable financial future. Taking on extra work is not where I am going here. Think Plan B. Don't be scared, instead I want you to think strongly about starting or ramping up your Plan B. It is very important that you re-plan how and where you earn your dollars.
About the Author:
Simon Smith thinks the simpliest way to impliment your Plan B is to start a home based MLM business. The smartest thing you can do to start, is learn how you will be rewarded by your MLM company. It really is a simple business decision .
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