1. Set Aside Emergency Cash: Make sure you have six months worth of emergency cash that is liquid and accessible. Put it in a savings account where you can easily get to it if you need to. Yield is not as important as liquidity.

2. Build Cash Reserves: Everything from cars to houses has plummeted in value – and prices are likely to get even cheaper over the next six months. When you find that dream home, you want to be ready to pounce, so try to keep a stash of cash reserves on hand for big-ticket items.

3. Keep an Investment Watchlist: If you’ve got potential stock purchases in mind, be sure to keep a list of them on your radar. Stocks are also likely to get cheaper before the end of the year. I’ve said this for a while now, but once the market corrects some more, we may be looking at the investment opportunity of a lifetime, so you’ll want to ensure that your capital is ready for action when the time comes. Look for great ideas now.

4. Get Stock Advice: If you need a hand generating investment ideas and tips on where to invest your money in this tough climate, get some professional advice and let the experts do the work for you.

Another way people are beating this sour economy is by turning their hobbies into income generators. Some people are selling handmade scarves, others offloading their stamp collections.

Our friends at The Sovereign Society have discovered a new hobby that allows you to passively earn up to $70,000 a year. You could pick up this hobby in a matter of minutes. If you’re interested, click here to learn more.