How can we prevent the negative effects of a financial crisis?
Without minimizing the negative effects that occur during an economic crisis, it is important to understand that being prevented can dodge better off.
Next are some suggestions for preventing the harmful effects of a crisis on our personal finances:
A) Savings: The first tip to manage a crisis situation personally, is to maintain a good economic reserve. That is, if we consider that the most important state of crisis is one to two years, we must generate at least allows us to maintain reserves during that time. Thus, if the company I work for cut its staff, or our own business their profits, we have the savings needed to not unbalance our personal finances or family. Example, if you have a monthly budget of 20 thousand dollars, then you would have to gather and maintain a reserve of 24 months, which would mean 480 thousand pesos. Needless to say, real estate or automobiles, as well as any other good use every day, should not be considered within this pool of money, as these goods are essential to maintaining the standard of living of our family.
B) Investment: As mentioned in a financial crisis, one of the most dramatic effects is the rising prices of goods and products derived from inflation, since this increase can account for our money to reduce its purchasing power in very high percentages. That is, what we bought with 10% of our income, now could cost twice or more. Thus it is recommended that our economic reserves mentioned in the previous section, is invested in a diversified way. We must consider as investment objective, our reserves will increase as much as possible, be safe and available. Today we feature a wide range of financial products that can help us achieve the goals of safety, liquidity and growth of our savings, get close to an expert to assess your chances.
C) Training: Unemployment becomes the most obvious way of a crisis in the population of a country facing this phenomenon. It’s a possibility that worry us at all times, but that becomes more frightening in a crisis due to the increased likelihood of running out of income. One way to prevent a possible reduction in staff let us out of the workforce is training. While we are most useful to our company, less likely we are to be fired when a crisis is why we must maintain a continuous training program that will make us more capable and productive. Such training should not be limited to offering us the company you work but will be essential to grow academically on our own if necessary, and the company where we work together we can evaluate the highest and possibly avoid redundancy when our present a crisis.
D) Financial stability: It is very difficult to know when to introduce a new crisis, so in this regard the recommendations are the following: Being aware of the financial news and trying to consider a new economic crisis, without this we lead to a state of stress or uncertainty continues. Therefore, it is always advisable to be aware of the macroeconomic factors that affect the country and the world. The following recommendation is to keep laestabilidad of our personal finances, take unnecessary risks can lead to a financial statement and vulnerable at the time a new crisis may arise suffer. For example, if we acquire a loan in dollars that exceed our ability to pay, if a destabilization of the economy where the exchange rate is not favorable, you will need to use our reserves and this would place us at increased risk to present dismissal or a situation of high inflation.
It is always better to be safe, so it is necessary to document on how to perform these crises, their harmful effects on the economy of the population and how we can lessen its effects in our pocket. This will surely give us peace of mind to move forward and not enproyectos affect our quality of life.
Remember that every situation is unique. Evaluate your financial well before making decisions and approach experts to advise you.