Have you experienced a loss of income as a result of coronavirus? Here are a few steps to lessen the financial burden and position yourself to bounce back as the economy recovers.
WHAT TO DO IF YOU EXPERIENCE A LOSS OF INCOME
1. Review your budget
If your household’s income is about to change because of coronavirus, it’s time to review your budget.
Calculate your monltly expenses to determine if your reduced income still allows you to afford all of your basic needs. Or if you need to find additional savings — or an additional source of income, if possible.
2. Eliminate what you can
Part of reviewing your budget should include identifying what unnecessary costs you could reduce or get rid of entirely. Social distancing is preventing most of us from spending money on social activities, gym memberships, and transportation, for example.
3. Talk to your lenders
Get in touch with your lenders for any debt repayment (Credit card debt, a car loan, or a mortgage). As you may be eligable for their financial hardship schemes.
4. Make sure you’re not missing out
The government is responding to coronovirus challenges with benefits and relief options to support Australian households. So make sure to check out the government website for updates and more information on relief packages.
5. Don’t be so hard on yourself
Review all options available to you before jumping into anything that could have a long-term impact, like taking out or taking money out of your retirement savings. When making decisions about your finances, remember to keep in mind things when we go back to normal. Don’t forget to look after yourself and your mental health during this challenging period. Remeber that we’re all in this together.
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