It’s 10:43 p.m. as I type this, and while I should be in bed sleeping, I just can’t. Not yet at least.
We arrived home from a lovely week’s vacation in Hawaii on Saturday, and so much has changed since then. A few days before we left concerns of the COVID-19 in the U.S. were growing, but we were still on vacation and everything was pretty chill on the Big Island.
Since coming home however schools have been cancelled, my hubby is working from home, stores are running out of toilet paper (among other things), we are practicing social distancing, and now all bars and restaurants in Minnesota are closed as well.
As a SAHM I’m pretty used to staying at home with my littles by ourselves. Sure we make it out to play dates and events but more times that not, especially with a baby who naps twice/day and the rampant amount of sickness that went around this winter, we hung around our home. It’s not the social isolation that bothers me or even the virus itself that worries me (not for my own family at least, but definitely for others that have immune compromised individuals and the elderly) but the financial stress of this event. I worry for those who are suddenly without income, or whose income will undoubtedly be affected by this event.
And who knows what this will mean for the economy as a whole. The stock market has obviously taken a hit and interest rates have been lowered yet again. There’s no saying what the short and long term implications of this virus will bring on our local communities, on our country and on the world as a whole. So what DO we focus on during this time?
Here 6 Tips for Times of Financial Unease:
1) Cash is king
If I were you, I’d keep as much cash on hand as possible right now. There’s no saying who may lose their jobs or to what extent this will affect our economy. I highly recommend being as prepared as possible for a reduction in income, even if you don’t think it will happen to you.
2) Invest if you want, but play the long game
My husband and I are set to max out our Roth IRAs before April 15th for 2019 contributions, but that’s something we normally do anyway. I haven’t looked at the effect the stock market crash has had on our portfolios, nor will I. We have a long enough time period to retirement that our balances will recover. If you play the short game (aka trying to buy when low and sell when high) it’s likely you’ll get caught up in the emotions of the game and end up losing more than if you just invested and kept your money in.
3) Take control
It can feel like a lot is out of our control right now, and that’s because it is. What we can control right now is what we spend our money on and keeping track of what’s coming in and out. If you don’t already have a good budget/tracking system set up, now is the time to get one. I highly recommend Mint for tracking your expenses and keeping tabs on your money.
4) Help others
There will undoubtedly be people who suffer during this time, not only from the illness itself, but also from the effects of lost income. Help when you can. Offer meals to those you know are out of work, check in with your loved ones, ask what you can do for others. A little goes a long way.
5) Remember “This too shall pass”
Although I’ve adopted this as my mantra for parenting, the same goes for any sort of financial event we find ourselves in. The market crash of 2008 changed people’s lives forever, but just like that time period, what goes down must come up. Jobs, homes and reputations were lost, but after the fall individuals were able to slowly make the climb back to the other side. Brighter times are ahead.
6) Focus on the positive
It’s easy during this time to get sucked into the panic, fear and overwhelm going on in the media. Before you get too bogged down by it all, focus on what this time is giving you: added time with your family, an opportunity to appreciate your health, the ability to enjoy the great outdoors, the money that you do have. Repeat what you’re grateful for several times a day.
This is uncharted territory we are in and it is my wish for you that you stay as abundant as possible during this time. If you need financial guidance or have a question, don’t hesitate to reach out. You can email me at info@katieoelker.com.
Stay healthy out there my friends.
Katie O
