Financial preparedness plan for COVID affected families

The COVID virus has had a devastating impact on the lives of many families. Some people are left with no income and little savings, while others are grappling to figure out how to care for their family members who have been diagnosed with COVID. This can be a very stressful time, which is why it’s important that you take steps now to prepare yourself for life without your full-time job. The following tips will help ensure that you’ll be financially prepared in case the worst happens!

Track your income

Keep a spreadsheet with your income, as well as what you spend each month. This will help ensure that you’re able to track how much money is coming in and going out of the household budget on a weekly basis.

Create a budget and stick to it

After tracking your monthly expenditures for a few months, you’ll be able to create a budget that is realistic. Stick with it, and try not to make any unnecessary purchases!

Emergency fund

Take time each month to put aside some money for your emergency fund. It’s important to have at least three months of living expenses saved up in case something happens to your income or the COVID virus.

Pay down your debt

If you have any outstanding debt, it’s important to make a plan for paying that down before the virus hits your family. The last thing you want is more stress in addition to COVID!

Know who to call 

Be sure each member of the household knows who to call and what they need to do in the event of an emergency. It’s also important that you create a plan for how each family member can access funds should they need them while caring for your loved one with COVID

Get covered

If you’re not already covered, now is the time to consider getting life insurance and updating your beneficiary information.

Talk to the kids

It’s important for kids to understand what COVID is, and how it will affect their families. Make sure you have a plan in place that includes not only where they’ll be staying if there’s an emergency at home but also who they should call! Remember, the less confusion your children have during this time, the less likely they are to act out.

Stay positive

It’s important not to allow stress and fear to take over, as that will only worsen your COVID symptoms. Keep busy by taking time for yourself or doing something you love each day!

Australian households are always looking for ways to save money. But