Preparing for the Next Downturn

If there’s one thing we learned from this recession, it’s that economies tend to be cyclical. Stock markets crash and rebound, unemployment rates go up and down, and real estate prices can decrease just as quickly as they increased during the boom years. Unfortunately, there’s very little we can do about it, and an economic downturn is likely to happen again.

With an ounce of prevention, though, there are some things we can all do to put ourselves in a better position the next time around. After all, sudden job losses might not have been so crushing had we all had enough money in savings to carry us through the downturn. And spiking credit card rates might not be quite as big of a deal right now if we hadn’t been carrying such a large debt load prior to the recession’s beginning last fall. If only.

No matter what mistakes we made this time around, it’s never too early to start planning for the next economic crunch. Consider this your emergency survival guide to a solid financial future, no matter what’s happening on Wall Street…

5 Ways the Recession is Good for Your Kids

Some days, you might feel a bit down in the dumps over a lost job or a depleted 401K, but that doesn’t mean your kids may be. In fact, it’s beginning to look like the recession might actually be good for your kids—in the long run, at least. Whereas older generations learned their money lessons from the Great Depression, today’s younger generation is finally getting its chance to see the benefits of frugality and savings up close. Here’s a few more ways that the economic downturn might be benefiting your kids…

Ditch the Downturn, Go to… Zurich

From the picturesque buildings to the awe inspiring landscapes, there is a reason people like Zurich so much. Designer boutiques and culinary treasures lie behind every corner, while world-class ski resorts are just a short ride away. Meanwhile, with the unemployment rate in the U.S. rising to 9.8. percent last month, abandoning the States for a better life overseas may have never sounded like a more rational decision. Of course, picking up and leaving isn’t quite that simple.

Job prospects in many exotic locales are even bleaker than they are in the States, while the benefit from a low cost of living could easily be offset by high taxes or low wages in other cities across Europe…

Saving on Spa Days

Whether you’ve lost your job or you’re struggling to keep the one you still have, there’s no denying it’s a stressful time out there. But even as women cut back on expensive gyms, luxury vacations, and “It” bags, one thing we’re not forsaking is the spa.

According to statistics from the International SPA Association, overall revenues at spas across the country were up last year, even as the total time spent per visit went down. How could that be? It turns out more stressed out women—and men, let’s be honest—are visiting day spas for treatments that take less time, usually 30 minutes or less, than in years past…

A Bad Economy Can Be Good for You

Lost your job? Here’s some good news: Mortality rates are going down, since unemployed workers are less likely to catch illnesses from coworkers or be involved in commuter-related car accidents, and more likely to spend time doing healthy things like exercising in the outdoors and eating at home. That’s definitely an upside. Here’s how the recession is good for your health:

1. No more germy coworkers. Office cubicles can be a cesspool for germs, and with cases of H1N1 on the rise, this may not be such a bad time to be unemployed. Not only that, but unemployed and at-home workers are less likely to take public transportation during rush hour, reducing their chances of catching something during cold and flu season even more.

2. More incentive to quit smoking. With less discretionary income to spend on cigarettes, smoking is becoming a luxury not everyone can afford. In Great Britain, 39 percent of smokers polled said they’re planning to cut down on or quit smoking because of the economic downturn. Meanwhile, Washington State’s Tobacco Quit Line says it experienced a spike in calls during April 2009: 4,221 calls compared to 1,231 during the same time last year…

How to Haggle with Your Doctor

These days, everything’s negotiable – even health care, if you know how the system works. You may be able to negotiate a 20 percent discount or more on costs at the doctor’s office. A few pieces of advice:

Where to start:
Never try to negotiate a medical bill without getting a bit of background information. Read the details of your current or previous insurance plan to get a sense of what will and won’t be covered in your upcoming visit.

It’s also worthwhile to find out what Medicare pays physicians—since it is usually substantially less than what they charge private insurance providers or patients themselves—to perform whatever procedure you’ll need. This will help you determine the bottom floor of what a physician will accept. You can do this by calling the doctor’s office, asking for the procedure’s “CPT code,” and going to the American Medical Association’s CPT search engine to look up the typical payment for that procedure based on where you live. When it comes time to bargain, it’s perfectly reasonable to offer a payment that is 25 percent above the Medicare rate for services…

The Grand Prize? Free Rent

What’s one way to grab the attention of consumers in an overly-crowded market of coupons, deals, and special discounts? Offer up a free place to live.

Shopping sprees and around-the-world trips have apparently become passé when it comes to company-sponsored contests, since an increasing number of businesses are dangling free rent as the grand prize in seemingly-unrelated marketing efforts meant to attract new customers and draw attention to their products.

From discount clothing chains to beverage companies, there doesn’t need to be any connection to the housing market for free—or discounted—rent to be offered as a prize. Need proof, or just a place to stay? We’ve gathered up a handful of contests to prove our point…

My Husband Loses Money on Stocks-And I Don’t Mind

My husband loves to play the stock market. He picks what he considers to be up-and-coming companies that few people have heard of yet, or undervalued blue chips, and buys up their shares. As he puts it, he likes feeling like he has an “ownership stake” in companies.

Sometimes, his strategy pays off. His initial investment of $5,900 more than doubled between 2005 and 2007. He bought Apple at $65 a share and watched it climb to $190. The start-up 24/7 RealMedia doubled and he sold it before it plunged. His oil companies enjoyed record profits. But he often loses big, too…

Love in the Time of Layoff: Desperation Dating

Getting laid off in the throes of a recession is tough, but getting laid in a recession is, well, not.

It’s true: unemployment has done wonders for my dating life. Had I known it ten years ago, I would have surely done everything within my power to get canned. But like most women, I had rent to pay and dead-end jobs to contend with until I got kicked out of both places on the same day.

Now that I have all the time in the world to kill, there’s no end to the possibilities.

I’ve got a laptop and libido, what more do I need? Whether it’s online or on the streets of Boston, I’ve dated more men in the last six months that I have over the course of six years. Maybe it’s the fact that there are lotsa people out there with lotsa time on their hands. And because dating is so similar to the job search process they almost seem to go hand-in-hand (minus the alcohol). I toggle between Monster and Match…

PONO Giveaway Winner

Yes, we wanted to keep it for ourselves–but we didn’t! We picked a winner for last week’s giveaway, so if Zoe Benfield sees this post before she checks her email, she should contact us to get her lovely PONO necklace.

If you missed out, you can always try to win the Tiger Balm shoulder rub we’re giving away this week. More to come…