We know that COVID-19 has caused a lot of stress on people. Not only about their health but also when it comes to their money.
We have two ways to help:
A 3 point plan for your finances during COVID-19
Free consultation with our team
Check your emergency fund
Stick to Your Plan
If you are already invested in the market, stick to your plan. Our clients can use market volatility (prices going up and down) to their advantage by dollar-cost averaging. If you are not already investing, then possibly include dollar-cost averaging into your plan.
Dollar-cost averaging helps take the guesswork out of trying to figure out when to get in and get out of the market. It is a great strategy for long-term wealth building. You can commit to a fixed amount and buy at regular times, for a long time, regardless of price. In the end, you buy more when prices are low and less when prices are high.
Emergency Fund First
Our main priority is to remind our clients of the importance of having an emergency fund. First, it is critical to understand how secure you feel about your income. Second, whether you can contribute more to your emergency fund. If you are unsure how much to save, use our emergency fund calculator. We are committed to having these necessary conversations.
Secure Income Streams
Once you have your plan and emergency fund, the next focus is securing your income streams. In times like these, we recommend that our clients check on their income streams. If you work at a company, investigate how that company is performing. Speak with your manager and ask the tough questions to understand the financial stability of your employer.
For those who are self-employed, check on your key metrics (or KPIs, i.e. key performance indicators). The KPIs that we recommend tracking are:
Number of new leads, conversions to sales and new sales
Customer lifetime value and is that number value changing?
Examine customer acquisition costs and how acquisition channels are performing
If you have the time and interest, this can be a great time to start a business or consulting. We believe many have the ability to turn passions and interests into income streams. This is as good as any time to consider if starting a new income stream can work for you.