Since the onset of the COVID-19 pandemic, many people have been hit with financial problems. Over 3 million Americans have filed for unemployment with more joining in every day. Even with the stimulus checks given by the government, most people are finding it difficult during this time. Budgeting is a major way to get by and not fall into more debt. Prioritize expenses.
A great strategy to financial budgeting is separating wants from needs, now is not the time to go on an online spree or to a fancy restaurant. According to Kelly Crane, a certified financial planner and CIO of Napa Valley Wealth Management, in an interview hosted by CNBC, she emphasized the need to make a list in relation to the want/need divide; “Look for anything else you can live without right now…your unlimited phone plan, cable, cleaning service, or any delivery services. These are items that might be important in normal life but could go in recessionary times.” This new way of life might undoubtedly be hard to adjust to but it is a curial strategy to survive the coronavirus pandemic.
- Find a hack to offsetting Loan debts
What can be worse than being broke and in debt? Nothing! Budgeting for debts might be a little overwhelming during this period which is why financial institutions have independently set up loan relief into their scheme in consideration of the harrowing effects of COVID-19. So, what you need to do is contact credit counselors and financial advisors who would help mitigate and maintain the outflow of income from your financial budget until things start to look a little less bleak.
- Make plans for an extra source of income
The amount of income ultimately affects the feasibility of your budget. A proactive financial move would be to scout for means of an extra source of income to add to what you already have. Figure out what your skill sets are and search for remote jobs that are available. Most of these jobs are on freelance sites like Fiverr, Upwork, and Freelancer so research and begin to make extra income to compensate for your budget lapses during this pandemic.
- Adopt a lifestyle of a zero-budget
The key to successful budgeting is tying every loose end and that is what zero-budgeting means. Every amount from your income should be accounted for and tied to a budget list. It might look stringent, but zero-budgeting cuts down a lot of unplanned expenses which are ultimately unnecessary. Because zero budgeting may pose tedious for most, there are apps like YNAB, Clarity Money, and Mint available for download that help with automation.
You can do it!
Budgeting can be a daunting task. Absolute discipline would be needed along the way which is why consultations with a financial advisor, reading books on a similar subject, reaching out to credit facilitators for relief packages, and generally keeping up with government implementations cannot be overemphasized.
If you are drowning in debt and need guidance, you have found it! The attorneys at Dsouza and Strachan Law Group have the answers you are seeking. They can get creditors off of your back and offer the counseling you need to stay on track in the future. Contact Dsouza and Strachan today for a free consultation.