TIPS FOR SURVIVING A RECESSION BY PASTOR OLU OLUGBAMILA

TIPS FOR SURVIVING A RECESSION

FOUNDATION SCRIPTURES:
2 Kings 6:25-29 And there was a great famine in Samaria; and indeed they besieged it until a donkey's head was sold for eighty shekels of silver, and one-fourth of a kab of dove droppings for five shekels of silver. 26 Then, as the king of Israel was passing by on the wall, a woman cried out to him, saying, "Help, my lord, O king!"(Jehoram, son of Ahab) 27 And he said, "If the Lord does not help you, where can I find help for you? From the threshing floor or from the winepress?" 28 Then the king said to her, "What is troubling you?" And she answered, "This woman said to me, 'Give your son, that we may eat him today, and we will eat my son tomorrow.' 29 So we boiled my son, and ate him. And I said to her on the next day, 'Give your son, that we may eat him'; but she has hidden her son."

2 Kings 7:1-2 Then Elisha said, "Hear the word of the Lord. Thus says the Lord: 'Tomorrow about this time a seah of fine flour shall be sold for a shekel, and two seahs of barley for a shekel, at the gate of Samaria.' " 2 So an officer on whose hand the king leaned answered the man of God and said, "Look, if the Lord would make windows in heaven, could this thing be?" And he said, "In fact, you shall see it with your eyes, but you shall not eat of it."
We can draw a remarkable parallel between what is happening in our world today and the situation in Israel (particularly the capital city of Samaria) in the days of Prophet Elisha!
What should you do to prepare for a recession?
1. DON’T EAT YOUR SEED – that’s your future and your posterity! Those women conspired to eat their ‘seed’( their sons!) Don’t take a far reaching step in a temporary situation. e.g: the tithe is the first thing affected once your income is threatened. If you know that you will need a miracle sometime in your future, don’t take the Miracle Worker out of your financial equations.
2. NO ONE HAS A SOLUTION EXCEPT GOD – Not America, not Obama, not Nigeria, not Yar’adua. You must look on to God to keep you through this season. The king that the woman ran to couldn’t help her... "If the Lord does not help you, where can I find help for you? From the threshing floor or from the winepress?" I quote Obama: ‘there is no silver nullet approach to this problem’
3. Assess your job situation. In a recession, no one is insulated from layoffs. There are jobs and sectors of the economy that are very vulnerable. Examples are incomes that depend on sales commissions - particularly on consumer goods like cars or electronic appliances – such people could see their incomes pinched. Wisdom and knowledge can bring some measure of stability in these times (Is. 33:6).
4. Whether or not you have lost a job, consider investigating or training for a 2nd career. The more versatile you are the more chances you have of being gainfully employed during a recession. Learn new skills and stay employed.
Most people do not lose their jobs during a recession, so there is little need for you to panic. However, job loss certainly does happen, and companies will be looking more closely at the contributions each employee makes. If you feel some downsizing is on its way and your job may be at risk, remove the risk as a possibility. Surviving a recession is extremely difficult if you lack employment. Take this time to learn new skills and deepen your abilities, position and value at work. The more you know, the more valuable you are and the less likely the company will be to let you go. You may also be able to use these new skills to earn some extra income by freelancing or doing some consulting work on the side.
The closer you are to being a 5-talent man the better off you are. David was a prime example. He had 7 skills. He was already anointed to be king. But that position was not yet vacant. What did he do? He went right back to work for his father as a shepherd (probably for no salary at all!). Soon he got a palace job as a harp player, next as Saul’s ADC (armour bearer) and ultimately as the commander of the army of Israel. When he fell out with Saul and had to run away from Israel, he became a contract soldier for the King of the philistines! Paul trained as a tent maker in spite of the fact that he was a lawyer. His tent making skills sustained him while his ministry work took him around the world. Learn some basic skills! The more basic the better. You may have a PhD, but if it cannot get you a job in an ivory tower, consider getting a job as a Pot Hole Digger to feed your family!
5. Build an emergency fund. You should have at least three to six months' of living expenses in a safe place such as a fixed deposit or savings account. (Provides her supplies in the summer, And gathers her food in the harvest. Prov 6:8). If you don't have an emergency fund yet, here are some ways to build one:
a. Reduce spending on nonessentials such as cable TV, restaurants and entertainment.
b. Increase your income by working more hours or getting a second job.
c. Continue contributing enough to your retirement plan to get the full employer match, but consider putting any extra savings in your emergency fund until it is sufficient.
6. Don't spend to relieve anxiety. According to a research study; "When people become anxious around job loss, ironically, they will spend more”. Shopping is one of the most psychologically soothing activities we have. Be wise and spend wisely!
7. Avoid escapism. It is easy to fall into escapism when things are not going so well and you’re attempting to survive a recession. Don’t pick vices such as drinking, gambling, staying out late, etc just to “escape” your problems. The Great Depression in America is referred to as the Golden Age of Hollywood, due to the huge success the theatres enjoyed during this time. Casinos and liquor purveyors also experience up ticks during recessions as people try to gamble and drink away their problems. However, you should pay more attention to such expenses now, when you are focused on surviving the recession, than when things are going well. Make a conscious effort to reduce frivolous spending and note that every retailer is doing what they can to capitalize on these down times -- they know that things are bad for people, and their marketing tactics can make an escape into shopping or entertainment awfully enticing. Simply put, do not pretend that you are not affected by a recession -- you are.Even if you are among the select few with enough means to not even notice the problem, rather than continuing to spend freely, consider diverting some additional cash to investments or finding a good deal on real estate or a new car (if you need one). If you absolutely must escape, consider volunteering for a cause you support. This is an excellent way to have a good time, escape and do it for free.
8. Monitor your investments. When the stock market is on a downward spiral like it is now, you have two choices: either cash in now or hold for the long wait.
9. Consider diversification into the property market. While this sector is not recession proof, it is one of the sectors in our economy where demand far outstrips supply, especially residential low end. Avoid the Ikoyi, V/I, Lekki high end market as the property market is going to experience price reduction.
10. Reduce debt. It should always be in your financial plan to reduce your debt rather than to increase it, but this is especially important during slower economic times. If you can see the writing on the wall, do what you can to reduce your debt, particularly bank loans and leases as much as possible.

For personal debts, you need to pay off because your creditor is going to put pressure on you to pay. You don’t need such distractions at this time. Of course I’m assuming you are not the kind of person that will give an excuse for not paying what you owe. (... He who swears to his own hurt and does not change; Psalms 15:4)
11. Don’t run from stocks. During a recession, the stock market tends to perform poorly. Naturally, in the interest of surviving a recession, the temptation to get out of all of your stocks and flock to Fixed deposits and savings accounts is very strong. Of course, there is nothing wrong with feeling secure, but look for buying opportunities also in these slower stock market times.

If you have a long-term time frame of mind and some extra cash on hand, you may be able to buy stock in very established companies at relatively low prices. So, if you have the patience and intestinal fortitude, you can position yourself nicely for the next market run once the economy gets back in gear.
12. Evaluate spending & update your budget. Whether you’re surviving a recession or not, you should always monitor your spending and have a constructive approach toward budgeting -- we all know this and read about it daily. However, in reality, most of us tend to shy away from budgeting, especially when things are going well.13. In surviving a recession, don't fall victim to vices. There are con artisits out there ready to swindle you out of your hard earned money. Remember that woman who complained to the king was conned by the other woman into giving up her son for dinner. Don’t be quick to part with your money. Also compare services, find new quotes and even get creative about your recurring expenses

14. Position to reap the recession. Recessions are a very natural part of any economy. And while we need to be mindful of the impact recessions have on our lives, there is no reason to run and hide. Simply paying attention to your actions will help you conserve cash and make things easier until the economy comes back around. Furthermore, if you are among the bold, you may be able to lock in exceptional gains and profits by investing while the market is low.
15. Consider others and their need. This was the catalyst for the miracles of the widow woman, the 4 lepers and the feeding of 5000 in the wilderness!
16. Go back to God. He can still send ravens to feed you. He can still ensure that your barrel of meal does not waste and your cruse of oil does not fail! He has put His word on the lips of His servants to declare abundance in the midst of famine!
Isaiah 33:6 Wisdom and knowledge will be the stability of your times, And the strength of salvation;
2 Chron 7:13-16 When I shut up heaven and there is no rain, or command the locusts to devour the land, or send pestilence among My people, 14 if My people who are called by My name will humble themselves, and pray and seek My face, and turn from their wicked ways, then I will hear from heaven, and will forgive their sin and heal their land. 15 Now My eyes will be open and My ears attentive to prayer made in this place. 16 For now I have chosen and sanctified this house, that My name may be there forever; and My eyes and My heart will be there perpetually.
17. Finally, you must understand that whenever God allows this kind of occurrence, He is about to cause a wealth transfer from the ungodly to His children. Examples abound: Egypt and the slave children of Israel Syria and the city of Samaria. The Moabites and Judah under King Jehoshapath.
If you believe it, it will come to pass. If not, you will miss out on it!
God bless you richly!
OLU OLUGBAMILA