The Covid-19 pandemic has forced us to rack our brains and change our habits. Including the habit of managing finances. There must be a difference from what we did before the pandemic. So what are some tips for managing finances during a pandemic that we can do easily?
I am one of those who quite often participate in financial talk shows because I feel that my knowledge of finance is still limited. The thing is, it’s quite a shock, right, suddenly becoming a mother who also serves as Minister of Household Finance. So, here are some tips for managing financial Financing during the COVID-19 pandemic.
Tips for Managing Finances During a Pandemic
This is the gist of the IG Live I watched yesterday. How to manage finances during the Covid-19 pandemic It is undeniable, during this pandemic, many are in shaky financial conditions. Starting from not getting THR, salary cuts, to the most extreme, namely unpaid leave and layoffs.
Everybody is suffering in this condition. Everything was hit, so that made us change the business model, suddenly start doing business, and also the way we spend the money we have. According to him, this problem can be minimized with careful financial planning in advance. So what are some tips for managing finances during a pandemic?
1. Do a Financial Check-Up
It turns out that not only the body but also the financial condition needs to be checked. The goal is that if unexpected conditions occur, say a pandemic and all kinds of things, or there is a reduction in income, we are ready. Sometimes it’s quite stressful to see the overall financial condition, but this is mandatory. Let us determine where we should manage and improve our financial condition.
2. Frugal And Not Extravagant
If you have received information about your financial condition (or while you are waiting), the first thing we can do is save money. The simplest is to tighten food expenditure, aka hold out for snacks outside. Even though we are WFH, the temptation for food delivery is so big hahaha. Yes, but make sure not to exceed the amount we eat per day.
In addition, determine the priority scale so that finances remain safe. For example, see if you need new clothes for Eid or not? Do you need a new cellphone or not? Don’t forget to remember what we need and what we want. Especially if we have cash, it’s already been saved during this pandemic.
3. Prepare An Emergency Fund
We must be prepared with the possibilities that exist, therefore, we need to have an emergency fund. We reveal that ideally, one person should have an emergency fund that can meet their needs for at least 3 months. But if there are 2 people we finance, then we need at least to cover expenses for 6 months. Are there parents covered? Then there must be a minimum of 12 months of spending in our emergency fund savings.
So, during a pandemic, emergency funds must increase by 1.5 times. Because we never know how long this condition will last, he added. Therefore, the money obtained from saving earlier, we can allocate to an emergency fund. WFH conditions make us reduce post transport. Better diverted to the post to save, right?
Thus the review article about Tips for Managing Financial Financing During the Covid-19 Pandemic, hopefully useful.