“Money is an artificial force that plays fundamental importance in the development of humanity,
heavily impacting human interactions and its relationships with the environment.”
– Personal Resilience by Peter Tarlow and Séverine Obertelli,
The most recent coronavirus pandemic is not quite yet over, but we have largely adjusted to this new reality. Still, current forcasts for new variants—or an entirely different virus—are on the horizon. Our crowded, mobile world is a petri dish for fast-spreading diseases that now are coming at shorter intervals of time. And time is money so we must consider how to prepare financially for such crises.
Finance is a part of everyone’s lives, and it even affects the lives of small children. The pandemic caused the global economy to experience a sudden collapse. During this most recent crisis, millions of people lost their jobs and even their homes. Money concerns were so ubiquitous that people talked more about money than politics or sports. While the recent coronavirus pandemic now seems controlled, we need to be ready for the next one.
If you’re like me, you’ve probably been thrust into the stressful position of caring for your family while they struggle to deal with a pandemic. It can be overwhelming to consider all of the things that could go wrong and how much money would be required to ensure that none of them occur. But don’t worry—there are ways to save money without compromising your health or safety.
Here are some tips for surviving financially in an emergency:
Be prepared
- Make a plan and set goals.
- Have a Plan of Action and a Backup Plan.
Face the numbers
As the world prepares for pandemics of unprecedented proportions (and they’ll happen again), it’s important to face the numbers.
- To keep track of your finances, a simple spreadsheet like Excel can help track your finances.
- If you have access to an accountant or other expert who can assist you with financial management during such a crisis, it would be ideal if they could do so on a regular basis (even if just every few months). You could develop spreadsheets with columns for each month and then enter all of your income and spending into one cell at a time—this is faster than entering everything manually over time!
- The more detailed information you give them about how much money comes in during each period, such as what percentage goes toward paying down debt (or to savings), etc., the better insight they’ll have into where exactly their clients stand financially before they even start doing any sort of planning or budgeting!
Be disciplined
You might be wondering how you’re going to survive the pandemic. The answer is simple: you need to be disciplined!
- Set a budget and stick to it. This will help prevent overspending and keep your finances in check during the pandemic.
- Don’t use credit cards or store your money at banks that are likely to close down when a pandemic hits; instead, save for emergencies by putting aside savings each month before paying bills or expenses (like rent), then use those funds as needed when they come due instead of using them all at once (which could lead to more debt).
Think long-term, even in a crisis
- Invest in yourself, your business, and family.
- Invest in your skillset, and continue to build upon them as you can afford to do so.
- Make sure that every dollar paid goes directly into one of these three accounts: checking account, savings account, or investment portfolio(s). If there’s any left over after paying off bills and other expenses, like insurance premiums, then put it towards buying stocks/shares on which investments can generate income over time without having much risk involved in terms of losing them entirely should something happen, like an economic collapse due to lack of funds.
- Learn to take calculated risks.
“Money can be both a source of ‘freedom’ and ‘problems,’ or even psychological imprisonment.” Having a lack of knowledge in managing and handling money can lead to personal distress and an eternal dissatisfaction. We hope this list of tips helped you to better understand what your financial future may look like, and how to keep your finances on track. Now that we’ve covered some basics, feel free to take some time out of your day (or night) and reflect on the things you can do to make sure that you are prepared for pandemic times!”
Learn more about Financial Survival Tips for Pandemic Times in our book Personal Resilience: Survival Strategies for Pandemic Times by Peter Tarlow and Séverine Obertelli.
Rose Marie Quintos is a Publishing Assistant and the Marketing Director for Quest Publishing,a division of the Inquesta Corporation. (She can be reached at rquintos@inquesta.com.)
