How to prepare for a financial Crisis & RECESSION – Times are going to get tougher

Get My Personal Budgeter here –

This ain’t my first recession darling i have been for almost four well hello guys i am back and boy i feel like the time is very much now i know i’ve been gone for the last six months but summer was calling and peace of mind was also calling but i am back because i know that the world has gone to it’s scary times out there the queen is dead house prices are falling

There is a cost of living crisis and i know a lot of people feel uncomfortable unsure about what to do next am i actually feeling very scared so i wanted to go ahead and to give you advice on how to financially prepare for rough times because you’re going to want to hang on to your horses it’s about to get real i didn’t want to jump on the bandwagon about how bad

Everything is which it’s about to be bad but i wanted to give you tools and to make you feel empowered to navigate this season ahead and the reason why i feel like i’m able to do that is because this ain’t my first recession darling i have been for a recession before now that makes me feel a little bit old like when i was 1920 when i was just leaving university

Thinking about jobs there was a recession it was the 2008 recession everything was crashing lehman brothers went down and i was looking for jobs in banking and then this was happening i was very very nervous then but in the same breath i was pretty naive i didn’t actually know what a recession meant for me and i was lucky enough to not really have any debt besides

My student loan debt which nobody cared about so bearing in mind recessions happen they come and go all you want to be able to do is kind of weather and hang on through the storm so i’m gonna give you some advice to do that so point number one listen recessions are not new throughout time there have been moments where things go up and things come crashing down and

The current recession we are in is definitely triggered by a number of factors one covid-19 two war in ukraine three just it’s about that time the world the money the stock market the house prices have been on this is upward trajectory for a very long time and at some point in time there needs to be course correction and that is what you’re going to see happening

Now one thing a lot of people ask is how long is the recession going to be when is the bottom of the recession the one thing you can know about certain things like this is that you can never really predict it and if you try to time the market you are going to lose you’re not going to know how that’s going to work you’re not going to have that specific information

So what you want to do is be prepared and have your arsenal of actions you are going to take point number one is that cash is king in this season honey if you wanted to do soft life you’re going to be cold because just sitting back and not necessarily thinking about how to one maximize your cash and increase your revenue is a very big risk things are going to become

More expensive interest rates are going to go up what you used to spend on something your weekly shot that used to cost 50 pounds now costs 70 pounds therefore you need more money oh gosh you need more money and if you need more money you’re gonna have to work out ways to generate income so you might already have a job now is the time to speak to your employers and

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Ask about pay rises you need the confidence to go in and ask because life isn’t getting expensive and i think a lot of the bigger corporation do have the funds to actually pay people more and i think that people just need to feel equipped and confident enough that they can go in and ask for what they are worth you don’t necessarily need to work every hour under the

Sun for the same array of pay it doesn’t work go in there arts or pay rise you don’t have a job you’re gonna need to get a job or think about generating forms of income whether you decide to upskill yourself whether you try to do some training there are certain industries as well that are recession proof such as healthcare eg pharmacists are always needed engineers

Are always needed consider finding yourself in some of the these recession proof industries where you are not going to get fired because they can’t afford you anymore consider as you’ve heard it many a time side hustles and passive income listen do you know what now is not the season for passive income if you didn’t put passive income in place before the recession

Now is not the time it’s gonna happen i’m sorry that’s just my opinion now is the time active income go to work go to work it’s the time and i know this sounds harsh but there is a season where you have to sow the seeds and there is a season where you get to plant the seeds now is the season to do a little bit more back breaking work to get the money in especially

If he wasn’t prepared previously and another way to generate cash is basically sell the stuff you don’t need moving on to my next point nicely this is really where it hits the fan and it’s time to do a financial audit what has got to go what is it working in your life what are expenses you don’t need to shelter anymore and i know that you know this is it’s hard to

Give up things and i’ll be be completely honest with you i sold my car i sold my mccann porsche macan one i hate driving but two that car was costing me a thousand pounds per month and i was like this is a thousand pounds per month that sits on my drive that’s the opposite of passive income that’s a liability so i sold my car sold it back to them and actually made

A profit and i actually got 30 000 pounds back for my car that i am actually using to purchase a house at auction if you want to see a video of me buying a house on auction again hit the like button leave a comment that will be the next video but i decided that i really need to determine what are my assets and what are my liabilities and that’s what a financial

Audit is all about there are certain things that are just gonna have to go cause you don’t need and this is where you might want to look at your budget i have a budget tracker i’ve shared with many many of you link in the description bar below look at that budget and really look out what you can cut because the issue is that things are going to go up in price for

This period of time if you have a mortgage the likelihood is that if you are coming to re-mortgage now those interest rates of four percent five percent upwards are not going to be cute rents are going to potentially go up and we already know that the cost of living in general is going up gonna have to reduce some costs somewhere my gym membership i found out was

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140 pounds when i could have a gym membership for 40 pounds canceled let’s even get let’s get excited i want to know in your comments below what are you canceling let’s just cancel the cancel cancel and just hit every teaching all of that money is coming back into your bank account now it’s likely to go into the expensive living but it is what it is another smart

Decision is to pay off debt that you have now as much as possible again i know a lot of people kind of wait to pay off debt or they pay off little bits at a time but because of the higher interest rates you need to pay off your high interest rate debt first please honestly this is some something that can really snowball and mountain in a way that is not going to

Be valuable particularly now get in there look at those debts look at those credit cards look at those carolina payments is it kilana payments and just think about right how am i paying this off and just get an action plan to get rid of your high debt now so something you’re going to want to think about doing is financial prioritization this is really what i call

The it’s the budgeting action it’s the looking at what on earth is going on how much cash do i have how much debt do i have what are my expenses what’s going to happen if this becomes more expensive how am i going to afford life and how do i think about how to approach what i need to do next you really need to sit down with a piece of pen and paper and actually

Work out okay what do i need to do and i think financial auditing is something that people don’t do enough i think we just get on with our lives and we don’t really think about what’s going on we see i have a low balance in the bank or we see a higher balance in the bank but we really aren’t doing that kind of long long-term planning about our finances even if

It’s on a weekly basis or a monthly basis now is the time to sit down and do a financial audit and i swear i should do a little template for you guys but let me know in the comments if you want to see that so this might be an old school method and it is to consider consolidating and buddying up now is not the time to try and be independent on your own and i am

Pretty sad that we’ve lost this ability in our communities to connect with others to find others to help us to find a neighbor or find a friend or find some kind of group where you work together so for instance you know i’m a mum and if i could find someone else who could do babysitting for me for free that’s an expense i don’t have to pay and then i could then

Babysit for them for free how can you share labor time resources with other people that you trust and you love maybe it’s time for you to get a group together talk about how you are going to power through this season together other ways that you can find systems amongst the people that you know to really add value to each other if it’s sleepovers that you can save

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On electricity and gas i know this sounds extreme but you don’t know what people are going through right now and actually some people cannot afford to heat their houses every single day so i also wanted to talk about income generation during a recession because yes as that tick tock rightly noted some people are getting rich at this point in time because if you

Did have the cash already and if you did stock up and if you did have your passive income sources you were ready to actually spend some money i don’t think there’s anything wrong with now investing now and actually personally i put more into the stock market now than ever before if you want to know more about that i will let you know i also mentioned that i’m

Actually purchasing a home on auction tomorrow and because there are some great offers now in the market of more affordable homes because home prices are not falling and again i’m in a slightly different position but i can share that process if you were ever thinking about if now is the time for you to make certain financial decisions that involve you spending

Money or putting money into certain things it’s not financial advice i’m not against it though i think if you can determine that if you can afford it if you don’t need the cash right now if you have your emergency savings now is a really great time to actually make some take some action and my final point is to have mental and emotional preparation at times like

This i think we’ve gone from the pain and the anxiety of covid to the pain and anxiety of wars to death to now a crisis and i think the one thing that you can invest in is actually trying to really ground yourself at this time as i’ve mentioned before this has happened before this will happen again so how do you want to react how do you want to feel in this moment

In time and also if there is information out out there that doesn’t serve you that makes you feel worse the news is literally making your mind blow and making you feel more anxious you are okay to turn it off you don’t have to listen to all of that you don’t have to believe all of that you need to prepare yourself and your home and your family and your mind but

Honestly there’s a lot of noise that isn’t necessarily the most helpful for everyday people so whatever you can do to keep your sanity and to keep your confidence and your mental and emotional stability in chat you should really focus on doing that first and i’m telling you now when your mind is right your money is just as good guys i hope you enjoyed that video

It’s been a long time coming i’ve really wanted to come back and just have a chat with you and get the break going again but you know i have to enjoy myself and i even i needed peace of mind i needed a break but i’m back and whatever you want me to talk about next let me know in the comments send me messages on instagram i will be relaunching the break instagram

Page so i’m here and we are back to make moves money moves together i thank you for watching bye

Transcribed from video
How to prepare for a financial Crisis & RECESSION – Times are going to get tougher By The Break