For many, COVID-19 is not just a health crisis. It’s also the reason why they have been laid off from their jobs, reduced their working hours, gotten notice of pay cuts, and so much more. This devastating event evolved from being a health concern to that of financial, as well. Most people are still grappling with the loss of their income, closure of their business, or tanking of their investments.
If you find yourself relating to any of the scenarios above, it is understandable how this can be a very disheartening time for you. However, if there is a silver lining to this, it’s that humans are masters at adapting to their current circumstances, and there is no way that the pandemic will last forever.
As you navigate your new reality, it is the perfect time to reassess your finances and start rebuilding what was once lost. When this is all over, you might even be in a better place than where you started.
Here are some tips on recovering financially if the pandemic has hurt your income.
Assess where you can cut spending
First things first: review your monthly expenses. If there are things like subscriptions or pending purchases that you can forgo, for now, do so. You have to focus on itemizing your basic needs like rent or mortgage, food, groceries, and bills. This is the first step to taking control of the situation.
Once you come up with a new budget, you will have a clearer idea of a new figure you should be making per month.
Seek government assistance
It won’t hurt to check what forms of aid your company or government is trying to extend to affected families. Sign up for any benefits lists, or newsletters for updates, and stay tuned to your local government units. Now is a time when people should be looking after each other, so don’t miss out on the opportunity to lean in on your community for support.
Take up an online job
The digital space is where most companies and businesses have sought refuge from the pandemic. There is an increasing demand online for virtual assistants, writers, web developers, graphic designers, and the like. If you have skills that you think you can put to use, now is a great time to start applying. With flexibility for time, you can take on a few projects and slowly start earning again.
Start a small business
Major restaurants, retail shops, and malls may have ceased operations for the safety of the public, but this does not mean that people don’t have the same needs anymore.
If you can think of a creative way to sell products online, you can potentially make this a source of income for you, as well. This can include sourcing medical supplies to those in need, preparing healthy homemade meals for your neighborhood, and the like.
Study your credit card purchases
If there is an opportunity for you to pay for things via an installment scheme, feel free to take advantage of it—especially if it’s a huge purchase. However, don’t be overconfident in buying so many things just because you have the luxury to do so.
While personal finance guide or blogs heed you to be a responsible credit card owner or will typically advise you to pay for things in cash, you just may not have the luxury to do that right now. Just remember that you still have to be financially smart with installment buying, as there might be interest fees that could pile up in the long run.
Venture into the stock market
Turning to the stock market may be counterintuitive right now, but the industry still has a lot of earning potential. It’s not too late to study trading systems and see how you can come out victorious. If it helps, you may want to learn these commandments for profitable stock trading, so you get a head start in your new journey.
Sell used items
If you’ve wanted to declutter and sell some of your pre-loved items, now’s the time. Look at what you already own—clothes, gadgets, shoes, books, equipment—and start paring down. You will be surprised at the amount of money you can rack up from selling secondhand items.
You can easily put up a garage sale in your area or broaden your reach by listing them online. Your trash could be another person’s treasure—and you would make money off of it, too.
Financial Recovery Takes Time
If you’ve found yourself in this position, don’t fret. It’s easier said than done, but remember that this isn’t where you’ll always be. With hard work and the support of your loved ones, you can manage to pull through this challenge, recover, and finally achieve financial freedom.
About the Author
Adrian Reid
Adrian is a stock trading educator and the founder of Enlightened Stock Trading. He helps busy professionals achieve financial freedom sooner by creating profitable stock trading systems that suit their personality and lifestyle.
