The economy is getting scary - How should you prepare for the worst as a freelancer?

The economy is looking pretty scary lately. Stock prices are plunging, unemployment is on the rise, and experts are predicting a recession. If you're a freelancer, this can be especially scary. After all, when the economy tanks, businesses start cutting back on spending - and that often means less work for freelancers. So what can you do to prepare for the worst and make sure you're still able to keep food on the table (and a roof over your head)? Here are a few tips:

Build up your savings

Ideally, you should have at least 3-6 months of living expenses saved up so that you can weather any storms that come your way. If you don't have much in the way of savings right now, start small by setting aside $50 from each freelance paycheck into a separate savings account. Then, when times are tough, you can dip into that account to help cover your costs.

Diversify your income sources

Don't rely on just one or two clients to provide all of your income. Spread your work around to as many different clients as possible. That way, if one of them decides to cut back on their spending, you won't be left high and dry.

Stay positive

This one might sound cheesy, but it's important! A positive attitude will help you stay motivated and focused on finding new clients, even when times are tough. So keep your chin up, and remember that this too shall pass.

Join a community

The Doughnut community is ideal for uncertain times. Come and join us in the live chat rooms to discuss your concerns. Many of us are in the same boat as you, and we're happy to help you through these tough times.

🍩 Just the Sprinkles

No one likes thinking about worst-case scenarios - but when it comes to freelancing, it's always better to be prepared. By following these tips and building up your savings, diversifying your income sources, and staying positive, you'll be in good shape to weather any economic storms that come your way.

Read more blog posts by our community members

Doughnut is the online community for freelancers.

Doughnut is an online freelancer community and digital co-working space that helps you meet other freelancers, learn from each other and build relationships with each other. With market analysis for freelancers, you'll always be ahead of the curve in determining which skills are highest in demand and how much other freelancers are charging for similar skills.

Trusted by 1000s of freelancers across the globe.