Dealing with Financial Uncertainty during a Pandemic
Coronavirus has significantly impacted the daily lives of millions of individuals all over the world, with several countries implementing stringent lockdown procedures to curb the spread. Not only has this affected the way people live in general; many businesses have had to close as well, leaving scores of individuals with any way to earn an income. If you’re currently struggling with financial uncertainty, the tips below can help you through this challenging time.
Put Large Purchases on Hold
The last thing you want to do when your finances are severely limited or worse, non-existent is commit to making any large purchases – especially if they will require monthly repayment. For instance, you may have been planning on replacing your vehicle or doing home upgrades while your finances were more stable, but now is certainly not the time to spend any money unnecessarily. Hold off until such time as your income is more stable.
Cut General Expenses wherever Possible
At a time when your next paycheck is not a certainty, you’ll also want to keep your general spending to an absolute minimum. This is the ideal time to go through each line item in your budget and determine whether it’s a genuine necessity or not. Items such as Netflix or other monthly subscription services may be nice to have but should be eliminated until such time as you’re more financially stable.
When planning your grocery list, snack items may sometimes need to be reduced or even eliminated to cut costs. Sugary cereals can be replaced with oatmeal for example, which will provide far more value for money over time. Although it may initially be difficult to eliminate fancier foods, it’s important to remember that maintaining financial stability is far more important over time than a bag of crisps.
Don’t be too Proud to Apply for Assistance
Although many individuals think that applying for and obtaining government assistance is only for ‘poor folk.’ However, various stimulus packages and other forms of financial assistance have been made available in each state to specifically address shortfalls that members of the public are experiencing as a result of not being able to work at the moment.
While it may seem like there’s a tedious amount of paperwork to fill in when applying for this assistance, it will certainly go a long way in helping you to put food on the table or even pay your rent while you aren’t able to earn an income as usual. Most recipients who have applied for assistance have received direct deposits into their bank accounts within a few days at the most.
The most important aspect to remember when dealing with any form of financial uncertainty is to limit spending wherever possible – and until such time as you’re able to work again. If you’re unsure of how to compile a realistic budget or you need assistance with regards to seeing where some of your expenses can be trimmed or even eliminated, get in touch with our financial team today. We will be more than willing to assist you.