Managing and monitoring of money is a very crucial step. You have to give extra attention when it comes to managing it during tough situations like COVID-19 pandemic outbreak. Coronavirus has already shaken up the groundwork of economy. It affects financial space and stress induced by it grows no border. Taking care of your financial situation during these tough times can also increase anxiety and stress. So, practising some steps to control your money will help you to manage your finances better. With the stock market going down, it is easy for you to get stressed out.
Here, we provide a few simple steps to overcome a financial crisis during severe times.
- Manage your expenses. You don’t know whether your job is secured. Use money wisely and reduce your costs.
- It would help if you prepared yourself to welcome the unexpected. You may lose your job, be underpaid, or not paid at all. Be prepared to embrace unemployment.
- Keep money in hand and prepare a list of properties or gold you can liquidate. Make a plan to attain the credits if your salary is affected by the outbreak.
- Try re-evaluating your goals. Check whether you had invested enough last years. The main agenda is to save at least 30 percent of your take-home salary.
- You can rely on your health insurance. Health insurance plays a vivid role in helping you in a financial crisis, especially during coronavirus days.
- During these times, do not buy, lend, or even use credit cards. You can consider switching to debit cards for the time being until the crisis contained.
- Do not fall into traps. For instance, snake oil sellers can make you buy properties mentioning its the best time to buy for cheap. Do not trust them and their fable; also, this is not a good time to gamble.
- Multiply your current income. Depending on your single source of income will be very difficult and is a threat to your financial moment. Think about how to start a side job that monetizes your expertise and increase your income source.
- Lastly, check your entire expenditure. Before the crisis started, the expenses may have been 50 percent of your take-home income. Since you started working from home, check to tabulate if you are saving from restricted transportation facility, work clothes, and online lunches, thereby increasing your monthly savings.
COVID-19 outbreak has not only jeopardized the lives across the world, and it has shaken the financial platform too. A lot of employees lost their jobs and their only source of income. The economy is undergoing a recession, and worth of profits is wiping out from the market each day. In such difficult situations, you need to take measures to protect both your life as well as your finance. Once it all gets over, we can expect growth in the economy slowly.