Safe your self

Hedging in the financial sector is a risk management strategy. It is about reducing or eliminating uncertainties. For example, if you take out homeowners insurance, cover yourself against fire, break-ins, or other disasters. When people protect themselves, they generally try to protect themselves from a negative event.

If you live in an area with tornadoes, hurricanes, or snowstorms, you may not have perishable food, water, batteries, a radio, and other supplies for at least a few days. Some hedgers adopt a prepper mentality. They store large amounts of survival necessities along with weapons, cash, gasoline and much more.

Having a few additional important things on hand is probably a good idea and certainly a way to reduce anxiety in the event of a likely scenario, such as a blackout or illness. The zombie apocalypse is fairly unlikely, but as we saw during the COVID 19 pandemic, job loss, lack of food and toilet paper, and disruption to international supply chains are all too possible.

I think there are additional ways that we should prepare to deal with the difficulties that life can bring. Even during record snowfall or an unexpected injury, we need more resources than food, water, and blankets.

6 protection against difficult times

1. An emergency fund.

Life without an emergency fund is risky. If your car breaks down or your oven breaks down, you need money quickly. If you don't have an emergency fund, you'll need to take out or use loans. You will be reassured when you save about $ 1,000, if your fridge dies or your child has a tooth damaged while playing basketball.

2. A debt-free goal

Admittedly, that is a difficult question. Debt is the enemy of peace. You need to use the money you earn today to pay for things you bought last month, last year, or longer. Once you are out of debt (with the exception of your home loan), you will be amazed by your feelings of freedom and hope for the future. Suddenly you control your money and not your creditors. You can save, invest, give more or work less.

3. An understanding of needs and desires.

You need food, but you can live on rice, beans, and vegetables. You need protection, but no major upgrades or renovations. You need clothes, but you probably already have a lot. You need means of transport, but not trips abroad. You need to communicate, but you don't need the latest iPhone or multiple streaming services. In difficult times it is helpful to know what you need to survive and without what you can live.

4. Strong relationships.

Even in times of social distance, we still need connections. We need relationships that offer unconditional support. Build these relationships with your time and attention, your kindness, your generosity, and your listening ear. Family, friends, neighbors, your church or synagogue and other clubs or organizations to which you belong and to which you contribute will be your lifeline when a crisis arises.

5. Resilience and ingenuity.

Resilience enables us to recover when things don't go as we planned. It helps us learn and adapt instead of giving up under stress. Ingenuity enables us to use our skills and strengths to overcome and overcome our problems.

6. An attitude of hope.

In times of need and uncertainty, it is normal to worry. It takes self-control to be positive, but it's so much more rewarding than sinking into your fears.

How can you strengthen hope?

  • Arm yourself with facts about your situation, not gossip, guesswork, or scaring.
  • Don't waste energy and look for someone to blame.
  • Control what you can control instead of fighting the things you can't.
  • Encourage yourself. Talk to yourself like a friend.
  • Intentionally seek and focus on things that are going well no matter how small they are. Write them in a diary so you can read them again and remember your blessing.
  • Do something to help someone else. Being generous will remind you that you are not without resources.

We cannot always prevent bad things from happening, but we can decide how to deal with these circumstances. If you don't have these hedges yet, let COVID-19 inspire you to build them.

About the author: Karen Trefzger is a writer, singer, teacher, wife, mother and grandmother and has been choosing an easier life for over 20 years. She is the author of Minimalism A to Z and blogs at MaximumGratitudeMinimalStuff.

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