IT MIGHT NOT BE A RECESSION CHRISTMAS IF YOU DO THIS!

We all know Christmas and a recession DO NOT go well together. After a long and hard year’s work, one needs to unwind and celebrate, and while we are at it, we need to prepare for the next year.

We know how tight things can get at the beginning of a new year with a lot of people trying to count their losses after all the seasonal spending.

Since 1985, this is the worst our economy has been, and a lot of us have yet to come to terms with the current economic inflation, which is now 13.71% by the way. 2020 has been a very eventful year, from a global pandemic, to a nationwide protest and just when we were about to scream “Detty December”, a recession kicked in.

At this point, earning six-figures a month won’t do the trick. Some of us cannot even bring ourselves to imagine how things will turn out, but we what? We move🚶🏾‍♂️✌🏾

For those of you wondering whether this December can still be a detty one, keep reading, I have a secret to tell you🤫

First of all, you need to know what a recession is and how it affects you. “A recession occurs when a country’s economy declines for six months at a stretch, or two consecutive quarters. If recession lasts long enough, it turns into a depression. In other words, that country’s finances aren’t growing, they’re shrinking.” Simply put, Nigeria’s GDP is taking a beating.

When a recession starts, these are the things likely to happen:

1. Business profits take a hit, many go bankrupt and people lose their jobs.

2. It becomes difficult to find work and make ends meet. Young people in particular entering the job market find it difficult to secure a job.

3. Wages go down. Many families have to relocate to avoid high rental costs or to find work and in most situations, children have to change schools too, thereby losing their social support network.

4. Due to financial strain and other factors, families struggle and domestic violence increases.

5. People struggle to pay their debts, which damages their credit scores. This makes it more difficult for many to borrow money in the future (which in turn contributes to more economic stagnation). Some families even lose their homes, cars, lands, and other assets in the case of a credit default.

6. The real estate market would be flooded with people who can’t afford their mortgages. As a result, house prices go down. This is bad news for many people who rely on the equity they built up in their homes to fund their retirement.

7. Business investments go down and it becomes harder to start a business.

8. Most people have to reign in their lifestyle expenses. This means fewer leisure activities, vacations, dining out, etc.

Well, you can choose to blame the government all you want, but if you let this affect you financially and you do nothing about it now, you will only have yourself to blame in future.

So, how can you outsmart this werey wey dey disguise?

1. Live within your means: Yes! You should even start now to cut down on your spending so that Detty December can be possible. No one said you shouldn’t eat, but if you want to survive this, even beyond December, some expenses have got to go or else, nothing detty will come your way. It would even be a good idea to create a budget and stick to it.

2. Begin to think savings and investment: Especially for emergencies, you will need this because “I need 2k urgently” don cast. If you’re about to do this, you should first look for platforms like Saversclub that would give you turnovers above the current inflation rate. You don’t want to put in 10,000 naira and get the value of 5,000 naira in the long run. Trust me it happens, especially when you keep your money in the bank.

Also, you would want to make dollar denominated investments. Onesqm has one of such platforms.

3. Life goes on after Detty December: While we want to flex and turn up, remember that “sober January” is just a month away. Apart from the fact that January can be quite unforgiving, it can be a really long ride when you’re broke.

4. Look for side hustle: Don’t think this recession will go away overnight. You need to supplement your income. Your side hustle can be freelancing or even taking on another job, if your current job can allow it. A little tedious I know, but it pays off in the long run.

So, which one of these tricks will you be implementing? Let us know in the comment section👇🏾👇🏾👇🏾

In the meantime, you can get started on Saversclub and Onesqm. Just visit our websites www.saversclub.ng and www.onesqm.ng or call us on 08180000113.