Teneshia LaFaye - How to Survive and Thrive in a Recession

How to Survive and Thrive in a Recession

By Teneshia LaFaye

MissMoneySense.com

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2020 Teneshia LaFaye. All rights reserved.

No part of this book may be reproduced, stored in a retrieval system, or transmitted by any means without the written permission of the author.

Published by Teneshia LaFaye 03/22/2020

ISBN: 9798629428992

Introduction

I know what its like to worry about where your next paycheck is coming from and stressing about feeding and taking care of my family. I struggled from paycheck to paycheck and robbed Peter to pay Paul for many years in spite of having a good job using my college degree without the burden of student loans. However, I made a decision years ago to stop the insanity and empower myself, so I am now able to thrive regardless of what the economy is doing.

We are in an unprecedented time, facing a health pandemic and an economic crisis simultaneously. Experts have predicted conditions can rival the Great Depression of the 1930s that forced millions of Americans into poverty and homelessness.

So, I wouldnt blame you for panicking. Millions of jobs will be lost. Congress was pressured to scramble to put together an economic stimulus package to prevent another Depression.

I decided to write this book to share how I overcame two economic recessions and even my personal depression to create an extraordinary life that is immune to an economic downturn.

If youre worried, I know how you feel. I remember worrying during the recession that followed the 9-11 crisis in 2001. At the time, I was a journalist in the sports department at my hometowns daily newspaper. It was all over the news that Social Security is in jeopardy and would be bankrupt in 30 years, which was before I would reach retirement age.

Meanwhile, I found out that I wouldnt receive a pension if I remained a journalist for 30-40 years as I had planned to do. I remember having panic attacks so badly that halfway through a movie I would jump out of my seat and bolt out of the theatre.

I rushed to the emergency room at least once a month, and each time my blood pressure was normal and my heart was fine. So, after my third ER trip yielded no health issues, I decided that I needed to get my anxiety in check.

At the time, I also was separated from my spouse, who I later divorced, and I struggled to raise our two sons. I suffered through a mild depression and took medications to sleep through the night and to be calm during the day.

Then, one day in 2008, I decided to stop being a worry wart and stabilize my income.

Seek help and pull yourself up

So for those of you who recently lost your jobs or who are about to lose your jobs, understand once youve hit the bottom, you have nowhere to go but up!

When I was depressed and stressed, it helped when my aunt told me, Teneshia, everybody needs help sometimes.

So, I accepted financial assistance from my grandfather to help me with rent and food. I talked to my car finance company and my cell phone provider to defer payments, and I worked hard to find clients in my insurance niche.

Believe it or not, everyone isnt suffering financially in this crisis. You may be related to people who can help you with some of your bills like my grandfather helped me.

Several governors have also stepped forward to alleviate stress from the economic crisis by putting a freeze on mortgage payments, foreclosures and evictions for 60-90 days, and several creditors, cell phone and utility companies are allowing customers to defer payments without late fees or negative reporting.

Here are some ways to cut down expenses:

• Dont order so much take-out. Cook and eat leftovers. Get free groceries from your local food pantries.
• Eliminate your cable bill if you still have one and use Netflix or Hulu.
• Stop taking baths. Take brief showers.
• Turn off lights in the daytime and unplug chargers and appliances when they arent in use.
• Reduce the coverage on your car insurance and shop around for the best new rate.
• Reduce your cell phone bill by switching to a pre-paid plan with one of the many discount carriers.
• Contact your states social services department to apply for food stamps, a free government phone and a $10 monthly internet plan.
• Limit trips to the hair and nail salon and find a friend who can offer these services or do them yourself.
• Of course, cut out shopping until you stabilize your income and have surplus to save.
• Reduce your credit card and loan monthly payments to the minimum.

Start by listing all of your bills in a notebook or on a spreadsheet. Then determine the ones you will reduce, eliminate or defer. Keep in mind that if you defer, you may have to play catchup in a few months by making a double or triple payment or you may be able to push payments to the end of the loan, which could mean more interest you end up paying on your debt.

The buck stops with you

All the work you put into reducing your bills and getting help from the government will be for naught if you dont find a way to continue to increase your income.

For those of you who are out of work, you should file for unemployment and dont be too prideful and picky. I never wanted to do sales, and I felt dumb when it came to insurance. But I got my insurance license while I was unemployed for a chance to make whatever income my effort dictates. Because I knew I had a strong work ethic, I knew eventually, I would be successful at insurance sales. But I never imagined I would get to six figures a year. So, insurance is a viable way to increase your income

And here are ways you can make more money immediately:

• If youre healthy, wake up early and go to a day labor place to work and get paid the same day.
• Visit a temp agency and take a skills assessment and apply for some jobs. This can lead to permanent employment.
• Be a sitter for the sick or mentally ill by applying at a nursing agency or the hospital.
• Check online job boards.

Some of you are probably considering going back to college or adding another degree in hopes of getting a new full-time job or a big promotion. We all were raised to go to college to get a degree so we can get a good paying job to live the American Dream.

But you see how thats worked out. Americans combine to owe nearly $2 trillion in student loans, and millions of Americans cant afford to repay their student loans.

For many, a college degree is useless because they are working outside of the field that their degree is in.

Im not even using my journalism degree, but I also was fortunate to not have to take out student loans.

Take control of your income

In the times we are living in, its dangerous to rely solely on a job for your livelihood. Most companies dont look out for employees like they did after the New Deal was created to implement Social Security and Medicare and other social programs to bring Americans out of the Great Depression back in the 1930s. Few companies still offer pensions, and job will never pay you enough to thrive.

I recommend being a full-time business owner, which you probably think is scary because, like going to college, we have all been conditioned to work for hourly pay on a job. However, Ive been successful as a job-free business owner since 2013.

The fact that wealthy people have at least seven income streams and none of the sources comes from a job should give you a humongous clue learn how to create your own income.

Think about your talents and interests and turn them into a business. There are people earning a great living from styling or cutting hair, repairing cars, mowing lawns, doing nails or eyebrows, changing locks, replacing roofs, unclogging toilets.

I can go on and on with the many ways you can earn an income besides working a job to build the owners dream. Its amazing how people are willing to fight horrible rush hour traffic every morning and evening, and some are even willing to shake a sign to passersby for minimum wage.