With the COVID-19 pandemic affecting the world alike, no industry is an exception to the wrath of the pandemic. As a result, numerous businesses online time and attendance software have started shutting down due to the pandemic. It would be in your best interest to look forward to securing your finances during the pandemic, as markets have started to fluctuate while wiping the wealth of the investor largely. If you were concerned about your finances due to the COVID-19 pandemic, you should emphasize on saving and reducing your expenditure.
Let us delve on a few vital financial management tips during the lockdown. Rest assured these tips would help improve your financial health during the time of the pandemic.
With the emergency being unpredictable and relatively difficult to manage, it would be in your best interest to look forward to keeping some funds for managing the emergency. You should consider saving as much as possible. A good option would be to maintain a budget. Avoid making expenses where you can do without.
Such a situation could occur anytime. Therefore, it would be in your best interest to have a proper health or term insurance. Consider going through the health cover benefits. Determine how much it would cost during any critical illness. If need be, take more coverage and increase the premium amount. The insurance cover would help you during a health emergency. Have an honest assessment for taking proper health coverage for you and your family.
Checking your Installments or EMI
Non-payment of the EMI installment would reflect on your credit score report. It would be pertinent to opt for banks EMI moratorium or you have to pay the dues within the stipulated time. Rest assured that a good credit score would assist you in acquiring a loan in the future when needed. You should not ignore your CIBIL score.
Continuing with SIPs
You should not panic for SIP withdrawal at the time of the pandemic. Rest assured that SIPs and long-term investments would keep you financially strong. It would keep your money safe. Therefore, rather than redeeming your investments considering the volatility in the market, long-term investments would help you create a bigger corpus when the market resumes.
Do not go panic shopping
Avoid spending your money on purchasing groceries, food items, medicines, for stocking up things due to your fear of COVID-19 lockdown. Consider purchasing daily use items and the ones deemed imperative part of daily use. When you panic, you put a strain on your finances.