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Economy Sucks, Are You Prepared?

Posted on Feb 5, 2008

As the economy continues to fail, unemployment rates rise and the value of the dollar decreases, most of us just sit back and watch as our jobs become more and more expendable. Below are some reasons that you should pay attention and read the rest of this article:

• In the first three weeks of 2008, the Dow Jones Industrial Average fell 9%.
• While gas prices stay at record highs, Exxon made more money than any other company in 2007.
• Presidential candidates include the first possible female President, the first possible African American President, and the oldest President.
• We are still at war today.

Get your first certification or additional certifications

Now is as good a time as any to begin or finish your studying or training to get you certified. If the certification you've been chasing seems a bit out of reach at this point in our life, downgrade your goals to something more obtainable. Any piece of paper that says, "Yes, this person can learn", is very very valuable. The more the better.

Get interviewed

The best way to prepare yourself for finding employment is to practice. Sign up at Career Builders and you'll recieve an email every few days with jobs matching your criteria. Go ahead and apply to a few of these jobs and get some interviews. You'll learn what employers are looking for, what the pay scale is like, and how competitive the job market is. Knowing this information before you actually look for a new job will land you the job that fits you best.

Consider the best case scenario vs. the worst

If the economy worsens, many people will likely lose their job. What will happen to you and your family if you lose your job? Its not a pleasent topic to talk about but it's worth putting some thought into it. Do you have enough savings to pay your bills for 2 months, 6 months, 1 year. If you are out of work, unemployment may cover 60% of your previous salary, and that's only if you find, contact, and apply to 2 job leads each week. In certain fields, 2 leads per week is almost impossible, so don't count on unemployment.

If you could choose a location to work and live, where would it be? Is it in reach for you now? What would it take to get you there if you had to make a drastic change? These are the items you can think about that are a little more pleasant than the worst case scenario. Change isn't always negative, so be prepared to consider drastic changes for the better.

90% Rule

I say 90% here because this is the maximum percentage of your income that you should live at. If you put 10% of your income in savings, you will likely survive an economic downfall, a career change, new children, deaths, etc. I personally live by the 75% rule, by placing 25% of my income in savings. Just act like you never had the money in the first place.