World Mental Health Day – WAYS TO OVERCOME FINANCIAL STRESS POST COVID-19
The COVID-19 pandemic has left the world in a state of serious financial and psychological stress. The virus has not only impacted our health, but also our ability to earn a living and support our families. The good news is that there are ways to overcome financial stress and anxiety during these difficult times.
Here are some tips to help you get started:
1.Create a budget and stick to it.
One of the best ways to reduce financial stress is to create a budget and stick to it. When you know exactly where your money is going, you can make informed decisions about your spending and saving. Creating a budget may seem daunting, but there are plenty of resources available to help you get started. You can find budget templates online or use a personal finance app like Mint or You Need a Budget (YNAB).
2. Build up your emergency fund.
An emergency fund is a pool of money that you can tap into in case of unexpected expenses, like a job loss or medical emergency. If you don’t have an emergency fund, start by setting aside $1,000. Once you have that saved, you can start working on building up your fund to cover 3-6 months of living expenses.
3. Cut back on unnecessary spending.
One way to reduce financial stress is to cut back on unnecessary spending. This includes spending on things that you don’t need, like cable TV, eating out, or entertainment expenses. Instead of buying things on a whim, try to plan your shopping trips and stick to a budget. This will not only help you save money, but it will also help you control your spending and avoid impulse buys.
4. Save for a rainy day.
Another way to reduce financial stress is to save for a rainy day. This means putting aside money each month to cover unexpected expenses, like a car repair or a medical bill. If you can’t afford to save money on a regular basis, start by setting aside $50 every month. Over time, you can increase your savings target if you are able to stick to it.
5. Cut back on credit card debt .
One of the best ways to reduce financial stress is to reduce your credit card debt. When you have a large amount of debt, it can be difficult to get loans or credit cards in the future. If you are unable to pay your credit card bills on time, your credit score may suffer. This can make it difficult to get a loan or a credit card in the future.
6. Explore other options for income.
If you are unable to find a job in the current economy, explore other options for income. This could include freelancing, starting your own business, or looking for part-time work. When you have other income sources, you can reduce your dependence on the government or the workplace. This will help you maintain your independence during these difficult times.
7. Seek professional help.
If you are feeling overwhelmed by your financial situation, seek professional help. A financial advisor can help you create a budget, manage your debt, and invest for the long term. They can also provide support and guidance during these difficult times. When you have professional support, you can feel confident that you are taking the right steps to overcome financial stress.
