Whether it is business, life, or world trade, the SARS-CoV-2 i.e. COVID-19 has affected all of them globally. There are critical challenges that await our attention.
This post is specifically to outline, how one can manage his/her finances so that they don’t have to worry much during such unprecedented events. It is very rightly said, prevention is better than cure.
Here’s the Covid-19 Recession Stats.
Though I’m not a financial advisor, I used some of the following techniques and helped my position better financially during such challenges.
So if you are looking for “how to overcome…”
- This pandemic financial crisis or for that sake any financial crisis
- Anxiety issues
- Growth in your profession
This post will aid you to save some bucks. Let’s dive right in.
Why We Should Worry?
Already the world community is facing job and business losses because of this pandemic financial crisis. Therefore, one must find a way to generate income from different sources instead of a single one.
This becomes more valid, especially for people doing jobs. Most of the jobs nowadays seem risky during such pandemic financial crises or economic slowdowns. Companies become reluctant to
- Maintain sufficient staff
- Relieve their financial challenges
- Attend their mental health at the workplace
and guess what, the attrition rate climbs up.
Sound financial condition is the primary need of anyone today for survival and growth.
To become so, one must understand that depending on only one income source especially doing a job may suddenly damage your financial condition during such lows.
Therefore, an action plan for multiple sources of income is the key to maintain mental and physical well-being.
This way, one can promote himself parallel to his/her job. Examples could be:
- Long-term goal setting
- Ethical part-time income options
- Building yourself with a diverse skill-set
- Finding business opportunities in your expertise
- Investing your money the right way
One or more of these will make you future ready. We’ll see one by one.
1. Set Long Term Goals
Set your finances on the radar and track where you’re heading.
Are the salary savings enough for your survival if you immediately lose your job? What financial milestones do you want to achieve in the coming years? What are the things you are good at?
Write down everything that comes to your mind, including what best you can do, how best you can do, how that potentially links to a source of income, and so on. Notice how many such verticals you can identify for your skills.
Once done, decide the things that suit you the most and accordingly create your own roadmap and timelines. Challenge your confidence level and prepare a step-by-step action plan to achieve these goals.
Becoming self-dependent (at least) is a must aspect today. Write down the implementation strategy for the laid action plan. Start implementation and track the progress on micro-level.
Believe me, this process is time-tested and definitely has the potential to dig out the brain ideas. Not specifically but in general, this process is helpful for anyone thinking to achieve long-term goals including finances.
Remember to make up your time for these things parallel to your current occupation. Such strategies take longer to reward, though the rewards will be surprising and increase exponentially in the long run.
2. Try Part-Time Income
If #1 is not your cup of tea then you can start looking for other sources that can generate part-time income. The title itself suggests that you don’t need any exceptional skills to do this.
Understand! To get a part-time, you’ve to invest part-time. Learn to balance this without hampering the quality of primary work at hand.
One of the major advantages of this option is that you immediately start getting money. Also, the major disadvantage of this option, you end up with a lack of future security and limited growth. Nonetheless, one can at-least raise the bar.
3. Build Diverse Skills
Today, technology has a major chunk in almost every business sector resulting in huge competition.
If you are on an old working pattern, the risk that you’ll stay behind is high. Hence, prepare and calibrate your mindset to update constantly with these changing times to conquer the challenges.
Switch to the different types of job roles to build diverse skills. In the low times, this will surely help you in grabbing different opportunities.
With this option, you’ll become more conversant to visualize the big picture and see where you fit in. Ultimately making you eligible for management positions.
4. Do Business With Your Expertise
Some people are best in the job at hand, yet are less concerned about their financial goals. This option is suitable for those pursuing excellence in their job and has some plans with the gained skill-set.
Find your expertise first. Getting expertise easily helps you to seize the potential downfalls in your proposed business. Probably, you are an expert at what you’re doing for others. But now, consider hiring people to do what you’re good at.
Map the challenges you face during your job and turn them down into opportunities for your business. You can even start a business that will support your current organization. These businesses fall under vendor pipelines.
This improves the likelihood of success, continued business, and recurring income because of already developed stakeholder relationships. Before entering into this option, you need to define clear timelines and necessary foundation work.
5. Manage Your Wealth Smartly
Investments and subsequent rewards as a source of income are a good option if they perform recurring. It completely depends on your risk appetite.
Various investment options are available in the financial market based on your risk appetite.
- Low: They can start investing in Bank Recurring Deposits (RD), Fixed Deposits (FD), Provident Funds, Pension Schemes, and different saving plans provided by Post Office.
- Moderate: You can well understand and go for different mutual fund schemes, government, and corporate bonds, etc.
- High: You can go for learning and investing in the stock market and share trading.
Remember! Lower the risk, the lower will be the benefits and vice-versa.
Apart from the above plans, one can invest in properties potential to generate income in the future.
These are the most reliable ways for financial security and building a solid foundation for upcoming challenges, as this recent pandemic financial crisis.
Following and implementing one or more of these approaches, you may easily become financially sound and technically strong.
What do you think of these? How do you make some extra bucks for yourself? Comment below.