How to Effectively Manage Your Money During the COVID-19 Pandemic

Posted by Alaska on Thursday, January 2, 2020

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You probably know that there is going to be a huge economic fallout due to the COVID-19 pandemic. Although you are yet to feel the full economic impact, you need to establish a plan to deal with it when the time comes. All financial news currently estimates a huge economic slide in the coming months, as you have already seen. Personal finance is now more important than ever. In this article, I will walk you through different ways to help you manage your money more effectively during this pandemic period.

Change your eating habits

You need to start preparing your meals to save up on all the money you spend on food delivery companies and eating out. This is a difficult period and you should start normalizing eating last night’s dinner for lunch. The cost of eating food from delivery companies tends to rise quite higher than that of grocery markets. Also, consider eating more canned beans and vegetables instead of meat to save more money.

Cut down on entertainment expenditure

You need to switch to a cheaper television service to find extra cash for your savings account. Cancel your satellite and cable TV since its probably costing you quite a fortune already. Consider a streaming service that costs less than $30 per month. There are a lot of streaming service options that you could consider during this period such as Netflix.

Streaming services offer huge entertainment content that you could enjoy right on your TV. If your TV doesn’t support the Netflix app, then watch through a Blu-Ray player or game console.

Switch to cash on daily expenses

Do you know that you spend way less money when you use cash? When you decide to switch to cash for daily expenses, you will find it easier to limit and track your spending. Cash makes you aware of your choices and you can easily cut back on non-essentials.

All your shopping and groceries are a good prime category for going cash only. Ensure you have enough cash stalked up in your home. Only use cash-less methods of payment on essential services such as rent and bill payment.

Pay off your debt slowly

Your monthly income will be hugely affected by high-interest debt such as credit cards. If you take a closer look at how much you are paying in interest every month, you will be shocked. This is especially true when your credit cards are already carrying a balance.

Take slow steps to pay off credit cards to ensure you get additional money. Getting rid of debt will ensure that you can comfortably save, which is a great thing.

Conclusion

You must manage your funds effectively during the COVID-19 pandemic. Save as much money as possible to cushion yourself during the coming economic fallout.