The recent COVID-19 Pandemic has affected millions of businesses around the world, causing some to review their current financial situation intensely. As some of us have been forced to close our doors,, it can be difficult and exhausting to ensure that you won’t be affected during this uncertain time. In this article, we will be looking into how you can save money during this Pandemic without effecting your long-term savings.
Start a new business budget:
Chances are you already have a budget in place to assist with your finances. Having a strict budget to follow each week ensures you don’t over expend on unnecessary purchases. Consider taking the chance to review it, as you might be able to cut down costs in one area or another.
To create a budget, write down all your business expenses. From your electricity and water bill, gas and fuel, and how much you spend on paper and pens. From here, try and create an amount that you wish to stick to each week.
It may not work at first, but over time you can adjust and review your budget to create something that works both for you and your business. If you’re looking for some budget templates to get you started, have a look online, with many options, you’ll undoubtedly find something to help you.
Change your home life to help your business:
If you’re spending large amounts at home and on your business, you might find yourself in a difficult situation. By changing up how you do things at home, you don’t have to worry so much about the money you are losing at work. Thing’s like meal prepping, canceling subscriptions and memberships are all great starts.
Meal prepping is great because it not only allows you to have ready to go meals, but you don’t have to worry about grocery shopping every single day. If you have a weekly plan set out, you know exactly what you need to purchase, and you can avoid all those unnecessary purchases.
All of us are guilty of having lots of subscription services. Whether it be television or music, the price of these services can add up. Instead of paying for several subscriptions, try and choose two that you most use. One music and one video should be enough to keep you going, and it doesn’t have to be permanent.
With so many gym workouts that you can do from home, you can save money without the expensive gym membership. Try downloading some apps for exercise ideas, and take to the outdoors to get some fresh air. If you have your own equipment, then that’s an added bonus!
Review your bills:
Electricity and water bills can add up to be some of our most significant expenses. Have a look at your previous statements, and see if there are any ways that you might be able to reduce them. This could be by switching your provider, or by changing some of your living ways around your home.
If you’re looking at reducing your energy bill, try to limit your usage by switching off unnecessary lights. For a long-term solution, you can consider installing solar power and LED light bulbs to reduce usage. However, these both require money to be outlaid first, before you will see saving results.
If you’re trying to save some money on your water bill, try limiting your usage at work as much as possible, and turn off the tap when it’s not in use such as when you’re lathering your hands. A long-term solution would be installing low-flow faucets to your shower and sinks to reduce your water usage.
You’ll also want to take into consideration your phone and internet bills. By switching to another provider, or downsizing your plan, you can save extra money each month, and you might not even notice the changes.
Have a look at your stocks:
Some argue that during this Pandemic, it could be the best time to invest in specific stocks. If you’re thinking of investing, check out these recession-proof stocks to help you make a decision. Professionals recommend that you should consider making automatic contributions of smaller amounts so that you don’t need to worry about your investments.
If you’re worried about your existing investments and current stocks, try to seek advice from a financial advisor. That way, you can determine if pulling out altogether is worth it, or if you should stick through this uncertain time.
Protect your savings:
For some of us, reaching into our savings can be tempting, especially if our business is no longer open. It would be best if you aimed to avoid touching your savings account unless it is absolutely necessary. This way, you can ensure that you will still have enough money to get you through another event when this is over. Life after the virus will always go on, and an certain accidents can lead to unexpected bills, which you will want to have savings for.
Focus on necessities only:
One of the easiest ways to save money during a particular time is to purchase necessities only. This means no new product, or expenditures that aren’t needed straight away. Try and focus on the essential products only. If you don’t need it immediately, don’t spend the cash! If you’re finding this difficult, try and pick one “want” a week, so that you can limit your expenditure.
Review your credit cards:
One of the first things you’ll want to do is cancel any credit cards that you won’t be using anytime soon. This could include travel credit cards that won’t be needed with the current restrictions. If you have any built-up debt, try and pay off as much as you can straight away, so that it doesn’t increase over time with interest.
Hopefully, by reading the above tips and tricks, you’ll be able to manage your accounts and work together to save as much as you can during these uncertain times. If you find that you are still struggling, seek advice if you need it, and talk with your financial adviser if you are low on funds. Good luck, and remember, this won’t last forever.