No matter how well you handle your money, inflation and recessions are a natural part of the economic cycle. The impact they have on you will depend on your financial situation. With inflation, the cost of necessities such as food and utilities might force you to slim down your lifestyle to endure the rising cost of living. With a recession, you may find yourself suddenly unemployed and then struggle to find another job. Inflation and recessions both have a greater impact on lower- and middle-class individuals. People with less wealth are more likely to be subject to job loss. Their lower incomes also means they’ll have less opportunity to save. No matter what your situation, smart investing and having an emergency fund can help you through both inflation and recessions.