The Pandemic and Your Budget: Tips and Hints
As the pandemic continues, there are fears about how the situation with personal finances may worsen, sending the country into another Depression. But that doesn’t have to be the case. We have a few ideas on how to save yourself and your money.
The two items no one wants to mention in the same sentence together are personal finances and COVID. They are no longer mutually exclusive but are woefully intertwined. As one progresses, the other responds in kind with an equal but opposite shift.
They are invariably linked, and even after the pandemic has ended, and the world attempts to return to its former state, personal finances have already changed so much that it might never go back to what it once was. Even if you were to win money from the lottery right now, it wouldn’t be the same as before. Every dollar is just a drop in the bucket.
There Is Still Hope
It may seem grim, but in even the worst times, there are always silver linings. It just might be hard to see them. And in this trying period, the silver lining is an opportunity to rethink how you handle money, the acquisition of things, and how you spend your time.
There are a few things you can do to reestablish a hold on your funds that will profit you in the future, in every sense of the word. And these apply to personal finances after COVID, as much as they influence personal finances during pandemic times.
- This step will be the most confusing, but to understand how manage personal finances, the most logical jumping-off point is to figure out your biggest expenses and trim them. Don’t cut anything essential.
This pertains to more frivolous items, like dining out several times a week or buying apps for your cell phone. You have time — cook from home. And instead of ruining your eyes staring at your phone all day, find a better use of all that free time.
- Set little victories. You are rewiring your brain as to how you think about money. It was a plaything before and is now more like a rattlesnake. Devise new spending goals, make a budget, and don’t dwell on how it will change your life.
That way lies madness. And we can easily talk ourselves out of things we don’t want to do, even if it benefits us.
- Take emotions out of your spending habits. Buying new things often makes us happy. We connect pride and joy with the acquisition of objects. It is mental conditioning brought on by clever marketing, and it has programmed us well.
Spend rationally and with logic. Sacrifice fancy for practical, and fun for efficient. If a cheaper item works just as well, then get it instead.
Personal Finances and Pandemic: Conclusion
The is no mystery as to why personal finance is important. Money runs the world. What is more crucial, though, is how we use it to better our situation, especially during a worldwide crisis. Have you made some significant spending changes during COVID?
Ellen Royce is an entrepreneur and a financial advisor with a passion for helping people develop successful side hustles. She knows the importance of smart money management firsthand, as the Coronavirus epidemic has had a devastating effect on several of her friend’s businesses.
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