The coronavirus outbreak has disrupted nearly every aspect of our daily lives and caused a great deal of concern and uncertainty about the future. This is especially when it comes to finances, as many Americans have lost their jobs and are looking for ways to better manage their money.
Continue reading for 4 smart money moves to make during the coronavirus outbreak.
4 Smart Money Moves to Make During the Coronavirus Outbreak
1. Assess Your Emergency Fund
Ideally, an emergency fund should contain 6 months of expenses in savings for job loss, unexpected medical bills, or large home expenses.
If you have an emergency fund, look at ways you can reduce your monthly spending and make your savings last as long as possible.
In the event that you don’t have any savings, but are still employed, try to cut back on non-essential expenses and start putting aside some money to create an emergency fund.
2. Revise Your Budget
Taking stock of your monthly expenses and revising your budget is definitely among the smart money moves to make during the coronavirus outbreak.
To get a better sense of what you are spending, review your expenses from the last 2-3 months and determine any that are not essential.
Based on this information, create a bare-bones budget, determine your spending triggers, and devise strategies for reducing your expenses.
3. Be Savvy with Your Investments
Being a savvy and steady investor during a pandemic is an absolute must. This means reevaluating your financial goals, assessing risk tolerance, and possibly rebalancing a portfolio that has a disproportionate amount of stocks or bonds.
4. Make Sure You Have an Emergency and Estate Plan
Smart money moves to make during the coronavirus outbreak are designed to protect your finances and family.
As such, it is important to have an emergency and estate plan to make sure your affairs are in order. Ensure that you have sufficient life insurance, long-term disability insurance, an updated will or trust, and a family emergency binder with all pertinent documents and information.
Learn More About Money Moves to Make During a Pandemic
For additional information about managing your money during the coronavirus crisis, please contact our office today to schedule a comprehensive consultation with one of our experienced wealth advisors.