Here’s How to Alleviate Your Financial Stress During COVID-19

In the pandemic, you not only have to manage your stress, but your finances, too. So if you want to keep your finances healthy and your stress levels low despite the present economic uncertainty, you need to take control of your income and spending. Legacy Shifters presents this guide to help you budget wisely in the coming months and maybe even for good. Let’s begin.

Track your spending.

Keeping tabs on your spending regularly is something you should start making a habit of, not just in the pandemic. With this, you get an accurate picture of where your money is going, as well as better identify where it should go instead.

You can track your expenses any way that works for you. There are some nifty budgeting apps that can help you do so on the go and with plenty of ease. A spreadsheet is also a great alternative and may even be preferable as you can customize it to your heart’s content.

Know your priorities.

Take the time to categorize your expenses. Grouping them into fixed and variable categories is an efficient way of identifying your priorities. From there, you can break them up into smaller sub-categories as they apply to you.

As a rule, your fixed expenses are those that are consistent from month to month, such as mortgage and insurance payments. However, this doesn’t mean that everything in this category should be a priority. For instance, you might have magazine subscriptions or gym memberships that you can do without at this time. On the other hand, variable expenses are those that are likely to change every month. While there’s definitely room for adjustments in this category, you may also find that there are priority items here, too, such as utilities and your grocery budget.

The key is to determine what you truly need at present, as well as to be fully aware of what you’re doing with your money. From there, you’ll be able to step back, look at the big picture, and make more empowered spending decisions.

Stay on top of your obligations.

It can be hard to meet your financial obligations in a pandemic, especially if you’ve had a drastic change in your income. In many cases, it may not be enough to prioritize your bills. It’s important to know, therefore, that you do have options so you can keep up with payments. Learn all about your eligibility for programs under The CARES Act that can help your mortgage and/or student loan payments. It’s also smart to reach out to your creditors and work closely with them to alleviate some of the financial stress.

Increase your income.

Despite the difficulties of COVID-19, it also came with opportunities. Consider exploring the many ways you can work from home. This is a great way to stay productive and earn an additional or steady income during the pandemic. When you create a profile on a freelance job board, you’ll have access to tons of opportunities whether you’re interested in web design, marketing, accounting, writing blog posts, or data entry–just to name a few.

If you’re new to remote work, do expect a learning curve. In fact, it can be easy to find yourself overwhelmed at first, especially if you do too much, too soon. To work from home successfully, therefore, you need to maintain a productive and efficient routine. Multitasking is also counter-productive because it inhibits creativity, disrupts your focus, and increases stress, so it’s best to avoid it.

In conclusion, being uncertain about your finances is stressful and downright unpleasant. But even with the current challenges, you can still work on keeping yourself out of the red. You may even come out of the pandemic with healthier finances, as long as you stick to your plan. Ultimately, there’s no better time to take control of your budget than now.

Looking to build a better financial future? Legacy Shifters programs can educate you on managing your money effectively and achieving your financial goals! Become a member today!