You've probably seen the headlines: slowing growth, sticky inflation, and whispers about interest rate movement. The big question keeps coming up: Are we headed for a recession?

Nobody knows for sure, but here's what I do know after years of writing about personal finance: Waiting until you know we're in a recession is waiting too long. The smartest move is to recession-proof your finances before things hit the fan.

Here's what I'm doing, and what I recommend to anyone trying to stay one step ahead.

Build (or rebuild) your emergency fund

If the economy slows down and layoffs start picking up, having three to six months of expenses in a high-yield savings account (HYSA) gives you flexibility and peace of mind.

• Look for an HYSA paying around 4.00% APY. There are plenty right now.
• Keep your emergency fund totally separate from your checking or investing accounts.
• Even $1,000 is a good start if you're rebuilding from scratch.

Cut back on high-interest debt

Credit card APRs are often over 20%. If a recession hits and your income drops, that kind of debt becomes a massive burden fast.

What to do now:

• Pay down variable-rate debt aggressively
• Consider a 0% intro APR balance transfer card if you need breathing room
• Skip extra investing until your high-interest balances are under control

Some of the best recession protection is just not owing money to a credit card company. Simple as that. You can get nearly two years interest-free with some of the best balance transfer credit cards -- check out our list here.

Don't panic-sell your investments

Market dips are scary. But history shows that trying to time the bottom usually backfires. Long-term investors who stay the course tend to come out ahead.

If you're investing for retirement, keep contributing. If you've got short-term goals, like buying a house in a year or two, that money shouldn't be in the market anyway. Historically, the S&P 500 returns about 10% annually. Short-term drops are just part of the ride.

And there's never a bad time to start investing. Pick one of the best online brokers and start thinking about your retirement.

Diversify your income if you can

One income stream feels fine, until it's not. Even a small side hustle or freelance gig can give you financial stability when the economy wobbles.

Some ideas to explore:

• Remote freelance platforms like Upwork or Fiverr
• Part-time consulting or tutoring
• Selling a product or service locally (or online)

You don't need to launch a full-scale business. You just need enough to give yourself options if your main paycheck becomes less reliable.

Recession or not, it pays to stay ready

We might avoid a full-blown recession. Or we might not. Either way, the steps above put you in a better position no matter what happens. Building cash, cutting risk, and keeping your cool can help you ride out whatever the economy throws our way.