Australian Business News and Times

Business News ,Reports and Times of Australia

Recruitment

Recession-Proofing: 6 Tips for Managing Your Finances During an Economic Downturn

by Leave a Comment

jobs
Photo: Alicia Christin Gerald / Unsplash

Increased instability, job losses, and record inflation have pushed society to the edge, and we’re now facing the very real possibility of having to cope with a recession (or possibly a depression). 

That certainly isn’t good news, as recessions and economic downturns are scary times, but it isn’t necessarily entirely doom and gloom either. As long as you take steps to protect yourself and your family from taking too much financial damage, you should be okay. That’s why we’ve put together this list of tips for managing your finances during an economic downturn.

Protect Your Future

While making it through your present-day obstacles is your main concern, it’s crucial to ensure you’re not putting your future self at risk so that current-you can be a little more comfortable.

So, if you have a self-managed super fund, now is the time to enlist the assistance of one of the best SMSF specialist accountants in town. Those with commercial funds should also re-evaluate their strategy and check whether their current fund is performing at an acceptable level.

Make (and Stick to) a Recession Budget

Your usual budget won’t cut it during an economic downturn. Instead, you need a specific recession budget. This type of budget includes increasing the buffer you have in your emergency fund and cutting costs, the latter of which we’ll look at more deeply in the following sections.

Diversify Your Income

You’ll also want to build additional income streams, so you’re not reliant on your primary paycheck. That could include a side hustle, selling things you no longer need, or doing odd jobs advertised on local platforms and noticeboards. 

Pay Yourself First

Even in a recession, saving should still be a priority. If you struggle to have funds left to save at the end of your pay cycle, try using the pay-yourself-first method. This strategy is particularly helpful if your emergency fund isn’t looking too healthy at the moment. However, paying yourself first can also help you reach financial goals you may not have otherwise been able to achieve. So it’s worth practising, no matter what your current situation is.

Look at Ways to Cut Costs

In addition to shopping around for groceries and seeing if your utility providers can give you a better deal, it’s also a good idea to look at ways to reduce your cost of living without sacrificing your lifestyle. While some sacrifices may become essential if times get rough, increasing the buffer between your expenses and income is always a good idea. Indeed, it is a vital step in preparing for a recession.

Invest if You Can

Finally, although spending extra money seems counter-intuitive when the world is going to hell in a handbasket, investing now can be highly beneficial to Future You if it’s within your means. That’s because stocks essentially “go on sale” during economic downturns, meaning you’ll be able to get a slice of the pie at a significantly reduced cost. 

Remember that your strategy needs to be long-term to provide the most benefit, so you need to avoid panicking over the state of your investment fund when times are tight. Also, follow the golden rule of only investing amounts you can’t afford to live without.

Recessions aren’t fun, but they don’t have to be the end of the world. Take steps to protect the financial security of yourself and your family, and you should be able to ride it out. Good luck, and don’t be afraid to ask for help if you need it. 

The secret to getting ahead in modern business

by Leave a Comment

Young african american woman working with tablet in office

Photo credits: nd3000 / Adobe Stock

It goes without saying that the professional landscape of business gets more and more competitive all the time. As digitalisation and technological advancement continue to become bolder and smarter, every aspect of life as we know it – including, of course, business – is evolving and realigning with the way the world is moving. Thanks to these modern marvels, the world as we know it is transforming from the inside out. Never has there been a more exciting time to be in business – or to be alive in general, for that matter.

But at the end of the day, why exactly is it such an ideal time to be an active player in the business landscape? And how can you effectively get ahead and stay ahead in a professional landscape that, like it or not, continues to get more and more competitive all the time? There is a secret to excelling in modern business, but to understand that secret and its impact, you must first understand the nature of modern business from the onset.

Modern business is more capable and efficient than ever

Here’s the thing. Digitalisation and technological advancement have essentially created a modern world that is more capable and efficient than ever. The whole point of any form of digitalisation or technological innovation, is to make life easier in some way. So, as the world currently becomes more and more driven by these modern marvels, aspects of life – including business – are becoming smarter and more driven all the time. For instance, modern business is operating on a more efficient basis than ever – and technology is largely to thank.

No business is successful without the hustle

Achieving longevity and success in any type of business is never accidental. Being a successful entrepreneur demands a unique sense of determined will and absolute focus on the task at hand. Regardless of if your business specialises in recruitment (think industrial recruitment at Zoom Recruitment, for instance) or security, or any type of business in between, there is one secret to business that ultimately can and does apply to practically every successful business there is.

The secret to getting – and staying – ahead

Ultimately, what it all comes down to is focusing not on the competition, not on the industry you are trying to break into, but on your own trajectory. This is literally all that matters. And a large part of that focus must be on your consumers and what they expect and want from you. Without the attention and loyalty of consumers, no business can hope to thrive and excel beyond its first fiscal year – if that. So, focusing on staying in your own lane and listening to how and what your consumers want you to change and to focus more on, is paramount. It might sound easy and even obvious, but the reality is that so many people are focused on making their businesses better than their competition, that they don’t focus enough on their own business.

A New Way to Hire Staff for Small Businesses

by Leave a Comment

work office jobs

If you’re a small business and you’re finding it hard to hire staff, here are some handy tips that can help you save time and money.

With the introduction of a new technology known as On Demand, hiring staff has never been easier. Not only are you able to hire a worker at a click of a button but these workers are also contracted, meaning that you are able to negotiate an hourly price for the work that needs to be done.

With the introduction to being On Demand, companies like Uber and Airbnb are paving the way for this new type of economy. The On Demand economy works in a way that you only use and pay for a service or a good when you need it and for the amount of time you need it. Uber and Airbnb are in the logistics and accommodation industries respectively and are both large multinational companies. However, at the core, both of these companies are formulated to take away the middle man and save on costs wherever possible. 

The On Demand economy has since expanded into other industries including recruitment. Recently, companies like Workfast and Freelancer have launched web and mobile applications that connect employers with workers.

Casual work in Australia has been on the rise over the past decade with a current estimated 3.2 million Australians taking on some form of casual work.

For workplaces, having a team of casual staff can save on costs by being able to scale workforce in accordance with demand. The go both ways and for workers, this means that they are able to be flexible with their role and have a better balance between work and lifestyle.

Some benefits in hiring casual staff for small businesses:

Easy to hire with new technology

With the introduction to new applications hiring reliable and vetted staff has never been easier. New hiring platforms such as Workfast and Freelancer allow you to view profiles of potential employees before you decide to hire them. The profiles are all categorised into specific industries and you can view previous employer ratings and comments before you commit.

Scaling your business with demand

For small businesses, it may be difficult to project when, where and for how long busy periods will last. A cafe or restaurant may need to hire a casual worker due to its unpredictable nature of hospitality with customers. Casual staffing on weekends and sporadically throughout the week may be the only option for these businesses.

Diversity of workers

Having a diverse pool of workers means that workplaces can keep things fresh and relative to industry standards. Many casual workers or temporary workers are students who need the flexibility of balancing study with work. Single parents make up a proportion of these workers as can work a few days a week in between looking after their families.

Hiring staff can be a difficult task for small businesses. However, by arming yourself with knowledge of how workplaces and workers are evolving, you can be better prepared for the future success of your business.