Tips to Manage Your Finances during the Covid-19 Crisis

As Aristotle once said, “It is during our darkest moment that we must focus to see
the light”. The sudden outbreak of a virus has put us all in a dark place. Every
business is put on hold since the marketplace is shut down for months. Thousands of
people are being laid off their jobs and mass unemployment has begun to wreak
havoc among citizens. With almost every person glued to their desktops and mobile
phones, we all are subjected to our houses. During these concerning times, one must
be wise while planning their budget and how to spend it appropriately.
The following tips will give you a head start to manage your finances and prevent
you from going into a financial crisis-
 Keep calm-
It is crucial for each one of us to maintain peace while taking any decision. We
must clear our heads from any negative thoughts and focus on the task at
hand. So, before you sit down to plan your expenses and savings, make sure
to have a relaxed mind. We must stay focused and never lose track of our aim.
It is important that we stay positive and not let our anxiety get the best out of
us.
 Conduct thorough research-
Refer to the recent articles, browse through the news, and keep yourself
updated regarding the current scenario. Your decision must correspond to the
current financial scenario. Hence, make sure you are updated with the latest
news regarding the pandemic and your governments’ rules and regulations.
There are many plans crafted to supply the needs of a common man, make
sure to research about them, and pick the ones suitable to your situation.
Gain the skills of assessing your current budget, adjusting and dividing
expenses, reassessing financial goals, and finding available benefits.
 Analyse your budget-
Good analysis and research can steer you in the right direction. Start your task
by analyzing your income and budget. Use this extra time wisely to draw up a
suitable budget plan for your family. One can prepare a balance sheet of their
current assets and liabilities. In this manner, it is easy to differentiate between
credit and savings.
 Emergency budget-

One can never expect the future. It is necessary to have a sturdy footing to fall
back on during the worst of times. We must keep aside at least one-fourth of
 our income in case of emergency situations. There are many algorithms
available on the internet that assess the amount of savings one must put aside
based on their income, medical needs, and cost of living.
 Government programs-
Most of the governments across the globe are very considerate about their
citizens. They draw up various schemas and plans to help a common man in
the financial crisis. For individuals falling under certain annual income, there
are various programs like tax credits or employment insurance. The schemas
vary across various countries based on their economic and demographic
status. This pandemic has led the government to further relax the loans, taxes,
and bank policies. Do your research and find out more about such schemas
that might benefit your friends and family. Although most of these schemas
validate your eligibility for application, you might already qualify some existing
ones.
 Reduce your expenses-
This goes without saying that we must spend money on things we need but
not on things we want. It is beneficial if you try to reduce your expense on
unnecessary items especially during this pandemic. Focus on absolute need of
the hour and save your income.
 Stay clear of fraudsters-
Although most of the businesses claim to be safe and legitimate, few among
them take advantage of these uncertain times. Do not fall prey to these online
schemas claiming to improve your profits and make you rich. Do your research
before trusting any third-party services. Avoid making hasty decisions when it
comes to money issues. Constantly keep a check on your finances and analyze
your spending. Always stay on guard and keep your money safe.
 Explore-
The world is full of opportunities and the internet is at your disposal. Get your
cape on, and start studying the market and analyze your finances. Seek all the
additional help you need to become financially stable during these
unfortunate times. With the credit and bank unions adjusting their lending
policies, it is absolutely necessary to manage and maintain your credit. Many
companies are coming forward with their free health, wellness, and fitness
programs to keep the customers healthy and entertained.
Make sure to understand and implement the above tips so as to come out of this
pandemic without facing any financial crisis. This is a very crucial time and it is
important to be empathetic and understand while communicating and spread
positive vibes. One must remember that we are all in this together. We must have
faith and stay optimistic about any changes happening around us. So even though
this feels like a nightmare, keep hanging on because the better days are here.