Business Advice

Managing Your Finances Amidst The Pandemic

Coronavirus Disease 2019 (Covid-19) put many threats on us. Health issues were the primary concern. The government imposed additional safety standards and protocols not to spread the virus. The implementation of the lockdown period caused much more crisis in our life. We were confined in our home, and there were limitations on what we could do. We could not, for instance, go to our workplace and carry out our usual work. Although the government offers financial assistance and relief goods, this is still insufficient. In this pandemic, I learned how to manage my finances to keep me going.

So what are the things I’ve done to survive in this financial crisis? Read further to learn more.

Create a budget allocation

Be firm on budgeting. Always make sure that expenses are accounted for properly. Avoid unnecessary spending and prioritize your needs. I saw to it that I included health essentials, vitamins, and medicines on my list.

Learn to Save

Even without a pandemic, we must save money for future use. Life is full of uncertainties. We never know what will happen next. Always make sure you keep a part of your salary so that you have something to spend if your paycheck does not come in on time. Even businesses are affected by the financial crisis caused by Covid-19. Some even closed their operations. If we are living paycheck-to-paycheck, it is a must that we save. At this time, I always make sure not to spend all my salary. I open a passbook, so I cannot easily withdraw my savings. Find the best way of saving money. It is really of great help.

Don’t hoard supplies

During this crisis, people tend to buy food supplies and other grocery items needed during the lockdown period. Yes, we indeed need these things but set a limit. I usually purchase foods and groceries in the quantities my family needs. I prepare a list of my expenses to ensure they have a budget allocation.

Generate other sources of income

Depending on our salary alone will be difficult for us to save. With the increasing prices of commodities, finding an additional income is helpful. The lockdown period gave us enough time to look for a job and other opportunities online. This time is also very appropriate for us to learn a new skill and unveil our talents. I have noticed that some of my colleagues have learned how to bake and sell their goods online. Others pursue their online business, loading centers, and other income-generating projects. Business owners have found ways to make their companies adaptable even during this crisis. If I am a consumer, the best way to buy things is to avoid the crowds by purchasing through an online store. Online business is now relevant. The easiest and safest way to purchase anything you need is through an online store.

Invest while you still can

Investing money during a pandemic is quite a risk to take. But do you know that investment creates a long-term return? There are lots of companies that provide investment. We can invest in stocks or insurance companies. Saving money is the most important thing to do to keep us financially stable. But how do we save money if nothing is left of our salary? The tips above will help us to have savings to use during emergencies. Please follow the guide I will share with you to help you save.

Have a list of expenses

Organize what the needs are. Use a spending tracker mobile app to ensure all the expenditure is recorded correctly. Once we know our expenses, set a limit on savings to match our income. If your expenses are high and you think your salary enough, live with your budget. Avoid unnecessary expenditures. Make sure you spend money on what you need and not what you want.

Know your goals

Do you save for an emergency? Or, do you save because you want to buy something? Choose the best tool to save your money. You can save through a bank’s savings account, time deposits, mutual funds, VUL, and stocks. You can transfer money online from your salary/payroll account through your regular savings account for an easy saving scheme.

I have learned that finances can go down because of the pandemic. Individuals and business people have a hard time coping with this crisis. I strongly suggest you limit your expenses and always save for the future.