1. If you prepare for the worst you'll suffer less.
In a recent study by New York University and Carnegie Mellon University, students were subjected to annoying sounds like the drone of a vacuum cleaner. According to researchers, the students who expected to hear an irritating noise again and again were more inclined to be extremely irritated by the noise than those who thought they would only hear it once. Researchers concluded that people can remember hardships as being worse than they actually were as a coping mechanism to "brace" for that hardship to happen again. By bracing for the worst, researchers say, we actually suffer less. If we apply this strategy to finances, it is possible in many areas of our lives to brace ourselves and prepare for the worst. While we don't want to become overly anxious, saving money and planning ahead for emergency situations can help endure an ordeal such as a broken down furnace or a reassessment from Revenue Canada.