CocoSan / Getty Images There are several strategies you can use to recession-proof your finances, from budgeting to diversifying your portfolio. Key Takeaways Stay in control of your finances by creating a budget and adjusting it as needed. Build a healthy emergency fund, which is crucial to avoiding high-interest debt in the event of an unexpected expense. Diversify your investments across stocks, bonds, and other assets to mitigate risk in the event of an economic downturn. Develop multiple incom ...