The world feels a lot right now. But panic buying baked beans isn't a financial strategy. Here's what actually is.

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The International Monetary Fund is warning Australia’s inflation could be one of the highest in the world if the conflict in the Middle East drags on.  

The world feels chaotic right now. And your bank account might be starting to feel it too.

Which means we have to be smart about how we’re spending. The key here? Stay informed but not panicked.

So here are the three things that can actually make a difference for you right now:

Your spending.

1. Time for a financial audit

No one likes looking at their bank account and getting a nasty surprise (hello exposing Macca’s receipts). But it’s important to know where your money is going.

Three in 10 Aussies are wasting around $600 a year on subscriptions they don’t use…or have forgotten. That amount can make a huge difference.

Take a look at where your outgoing costs are: Netflix, Stan, that gym membership you keep meaning to use... Whatever you’re not using? Cut.

Instead of just trimming the obvious, it could be time to break your spending into three buckets:

1. Essentials (rent, groceries, bills)
2. Lifestyle (eating out, subscriptions, shopping)
3. Leakage (things you don’t value or didn’t realise you were paying for)

The goal isn’t to strip everything back, but it’s to be intentional. You want to keep the things that genuinely add value to your life but remove the ones that don’t.

Once you know what you’re working with, you can start to make clearer decisions.

2. Build a ‘chaos buffer’

With the world already feeling chaotic…It might feel like you’ve missed the boat with an emergency buffer. But it’s never too late to start.

It’s basically just money you have set aside in case of an emergency.

Think: Unexpected hospital bills, car repairs or even getting laid off. The idea is that this chaos buffer isn’t dipped into… unless you really find yourself needing it.

Saving enough to cover around 3-6 months of essential (rent, mortgage, utilities, groceries, etc) is the standard advice from experts.

That can be an overwhelming amount…. especially with one in three Aussies saying they couldn’t come up with $500 in an emergency, according to CommBank.

That doesn’t mean you shouldn’t start.

Put a set amount away into a buffer fund each time you’re paid. Make it a habit (just like paying your rent or a mortgage).

Once that’s under control, you can start thinking about the bigger picture…

3. Staying strong with your investment portfolio.

With the markets going up and down faster than an umbrella on a Melbourne afternoon… you might be tempted to make drastic changes to your investment portfolio.

But investors that weather the storm tend to reap the benefits, according to JPMorgan Asset Management. In fact, in the past 20 years, six of the market’s best 10 days happened within two weeks of its worst 10 days.

Markets are pretty unpredictable…

You don’t want to make emotional decisions right now that solidify your losses. Because let’s be real: emotional decisions are often not our best (just ask anyone who's ever sat in a hairdresser's chair fresh out of a breakup).

Of course, everyone's situation is different. But whatever your portfolio looks like, make sure your decisions are driven by your actual financial goals - not a scary news cycle.

And at the end of the day, buying baked beans isn’t a terrible idea either. Beans on toast hits different when you know your finances are sorted.