2020 and the Covid-19 pandemic had a huge impact on the world economy, countries, corporate agencies and even the individual level. From the top, middle to lower classes, everyone feels how the economy is getting more difficult.
Many people rely on their savings to survive when they lose their jobs or their businesses have to collapse. Some have shifted their steering wheel to start new businesses in this pandemic season. Income is minimal but expenses continue, a strategy is needed to manage finances so that life continues. Managing finances during a pandemic needs to be more observant than during normal conditions. Because pandemic times are filled with times of uncertainty. Managing finances appropriately is not only important in times of pandemic, but can be a provision in the future, so that our financial lives remain healthy and can even achieve the important goals we want.
Categorizing expenses according to preferences and priority scale is the main thing that must be done. We can find out which expenses are urgent and which expenses can be postponed. Needs that are desires or related to hobbies or lifestyle must be reduced, especially if our financial condition is still not healthy. Arrange expenses based on daily, weekly and monthly time such as basic food needs for the day, fuel needs for transportation, monthly bills such as electricity and water, taxes, etc. That way we can set aside to save as an investment or set aside to pay rent for a place to stay, which is usually paid annually. The expenditure budget which is divided in detail and specifically will avoid the large amount of expenditure that could have been postponed, so that it will not be bigger than a stake or a large amount of expenses than income.
Recording every amount of our expenses in a separate book or digital application of daily finance records is also something that must be done, so that we know our expenditure transaction history, is there a waste in expenses every month. That way we can set it back in the following month, or cut expenses that can be postponed and allocate it in the following month.
Saving is an important factor in our financial management. Apart from being a means of investment, it can also be used as an emergency fund when there is an emergency need or a sudden need. With savings, it will minimize the need for debt. There is a term "gradually becomes a hill" saving from a small amount if done regularly will one day pay off. There have been many stories of people who collect money even though just coins can achieve their dreams such as buying a vehicle, traveling abroad, etc. Here's how to save that we can practice:
• set aside 10% or part of our salary before making an expense budget.
• Saves from change shopping.
• Save from the remaining money spent every month.
Avoid consumptive debt to fulfill a lifestyle, and only owe for productive purposes. With a note, total debt does not exceed the value of assets and installments of all debts that we have to pay per month, on average or under 35% of our income.
Take advantage of the opportunity for discount / promo items at certain moments such as year-end discounts, Big deal discounts, national shopping day discounts, etc. That way, it will help reduce the spending budget a little. But we also have to really take into account the budget we have, don't get complacent about the many promo offers so that many of the items we buy are not really needed so that the ending is overbudget.
The inadequate salary of our main job, nowadays, can be tricked by looking for additional online income. There are many things we can do such as being a content creator on Blockchain social media such as Hive, trading cryptocurrency, selling online, investing in cryptocurrency to get profit sharing, etc. Besides being able to do it in our spare time, we can also get additional monthly income.
It is important to apply tips for managing finances every month, especially in a pandemic like now. Initially, it might be difficult to apply. But, if done continuously, you will definitely get used to it and can feel the benefits.
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