Whatever we call our current economic state, we’re not on a high note. Experts differ on how difficult things will become, and for how long. But no one will argue that this is the best of times.

Your attitude toward all of life is impacted by money. Finances certainly aren’t everything, but they are important. It is easy to become overanxious, discouraged or confused in a downturn, which is not a good thing. You need all your capabilities to be working especially well in a time like this. So how can you have the right attitude during economically tough times? Here are some suggestions:\

Let someone in. That is, you need to have a few safe people you bring into your confidence about your financial situation. Don’t be alone with what you are dealing with. The more you try to gut it out by yourself, often the stronger the fears, obsessions and even decision paralysis can take hold. Isolation increase our cognitive distortions, often toward the negative.

Not just facts, but feelings.With these safe people, get beyond the financial realities, problems and threats, and talk about your emotions: what you are afraid of, near term or long term. It’s often the feelings that need to be helped, so that you can gain help and support. Don’t leave them out, even if it is uncomfortable.

Get encouragement and reality.You need something from these people. There needs to be a personal transaction, of two kinds. First, there is the encouragement that they are for you, on your team, and understand your concerns. Second, they can give you reality and perspective. Many times, when I have had a financial problem that worried me, I have sought out trusted friends who helped me see that a problem isn’t always a catastrophe. The catastrophic thinking is what can paralyze your abilities to tackle the issue.

Remember that you have choices.You always have some sort of choice. You may not be able to turn an economy or an industry around, but you have some freedoms. They can help. On top of that, exercising choices in and of itself increases problem-solving abiities and generates more of a can-do attitude. Movement helps.

Make a plan.Structure, goals and plans work, especially with your money issues. It doesn’t have to be complex. But a plan is better than no plan. You may want to cut spending, find ways to make more money at your job, or look for additional opportunities. Whatever it is, a bad plan is better than no plan. Track it over time, fine tune it, improve it. But put something down on a piece of paper, no matter how basic it seems.

Put money in its proper role.A friend of mine, who is a very successful businessman, recently had a major downturn and lost a great deal of money. I asked him how he was doing. He said, “I couldn’t control a lot of what happened. And so I had to begin realizing that there are a lot of things more important than money, and to get involved in them.” He was referring to his marriage, family, primary relationships, his church involvements and his hobbies. The entire experience was transformational for him.

You don’t have to be swept away by tough times. Good people have had good lives during downturns for centuries. You can be one of them.

This entry was posted on Thursday, June 19th, 2008 at 3:57 am and is filed under Uncategorized.