Smart Money Habits to Incorporate in Your Life During this Difficult Time

I must acknowledge that this year has not ended yet but a lot has happened for the past six months that has left many of us worried and depressed. This has been a special year of its own and sometimes we just have to take things the way they are. I know at the beginning of the year many of us made resolutions and finances happened to be one of them, of course not forgetting health and relationships which are also very crucial.  We all had goals set and which we wanted to achieve over a period of time. However, COVID-19 is here with us and everything seems not to be working. Most of us are going through a hard time and will be unable to achieve our goals especially those that we set on the financial part.  Life has proven to be hard; jobs have been lost and most of us do not have any other source of income. 

This is the main reason I am writing this. It is a difficult time for everyone and only financial discipline can help us during this period. How have you managed your finances in the past? Is it something that you can try amidst this pandemic? In times of uncertainty such as this, many of us tend to feel anxious and stressed at the same time. Nevertheless, everything does not seem to be bad as we portray, there are concrete moves we can make to protect ourselves financially without necessarily worrying about our employment and businesses. 

You are likely to find yourself in a difficult situation when this crisis will eventually be over if you decide to lean only on the things that make you feel better. This is the time to get out of your comfort zone and do the unimaginable. Have the courage to show up for yourself; this will not only prepare you for what is to come but also reduces your risk of anxiety. 

Connecting with your money mindset is definitely the first smart money habit that you need to incorporate in your life at the moment. Did you know that our emotions, self-worth, and sense of safety have a huge impact on how we interact with our money? It is an emotional period for us and the only thing we can do is make healthy money decisions. Do not blame yourself for not investing in the past; do not blame yourself for not having that emergency fund or a savings account but all these should be an eyeopener for you. Take time and connect with your money thoughts, with time, you will achieve all the things you want. 

You can also review your budget and know where to cut costs. This is the time to analyze well your finances and know where they are going. Have you been extravagant or spendthrift during this period? Are there expenses you can cut? This is not the time to spend on non-essential things but to save money for major projects later. You should be very intentional with your spending right now; it will help when all this is over. Review all your expenses for the past three months, this will help you track your cash flows and the changes you need to make. 

Continue investing. If you had that investment plan, this is not the time to stop investing or sell your investments. You can review your goals and keep the same consistent investment just like before. Do you feel like you are financially stable at the moment? You can as well increase investment. Prices of goods have been lowered therefore nobody should lie to you that increasing your monthly investment will hurt you. Continue focusing on your long-term goals. 

Last but not least, get ready for the future. Life has to continue after this pandemic. What financial plans have you made? Staying home has allowed us to rethink and think well. It has shown us the importance of having an investment; the importance of having a savings account and even the importance of having that emergency fund. It will now be time for every one of us to act to improve our financial health. Let not another uncertainty time catch us off guard.