Changing our Spending Habits and Budgeting, Forever. Post COVID 19

It’s a good predictor of how easily we are going to meet our financial goals throughout our lives, particularly how life has changed, and we are adjusting post-COVID 19.

The way we handle our spending habits and our budgeting can tell others a lot about our personality.

We may recognize our budgeting type right away or you may fall in between a few different types.

Therefore, it is important to know what makes us tick.

Then, we can make a few adjustments so that you are able to our budget without causing too much stress in our life.

Penny Pincher and Meticulously Tracking…

Does this resonate with you? If you are this budgeting type, your budget is one of the things you worry about every day.

Great at setting limits on your budget, and tracking how much you have in the bank and each category and constantly tracking?

When unexpected expenses pop up, you can easily adjust and limit your overall spending for the month.

You are a budgeting superstar and keep your spending habits in check, poised to meet your financial goals each year.

Although we all want to be on track, you do need to be careful because you can burn out if you are too focused on your budget.

Try to watch that you do not become too stressed out about money and worrying too much about the changes happening during the pandemic.

This budgeting style means that you are likely organized and efficient in other areas of your life and spending habits.

Be sure that you set aside some money to enjoy yourself as you reach towards your goals.

It’ll All Work Out…

While you do not have a budget in place with this budget type, you do try to limit your spending.

Sometimes you worry that if you watch too closely, then things will not work out, and you will run short.

As long as you are careful, you know everything will somehow be covered.

With this budgeting style you may not be making any real progress on your goals.

You are leaving too much up to chance, and you will likely benefit from setting limits to your spending habits and leaving enough in the bank to cover the bills.

Discover additional areas you can reduce your spending habits and look at some apps and software to help you budget, particularly with the pandemic.

If you have this budgeting style then you likely do not have a clear plan.

Break down the steps you need in order to reach your financial goals and lean on some support and use software, apps and alerts to help you.

Having a laid-back, easy-going attitude can be a good thing.  You seem to not stress as much over your spending habits and budget but there is plenty of help.

I Know I Should Be Curbing My Spending Habits.

This budgeting style and spending habits, you know you should be budgeting and curbing your spending habits.

You realize that it will help you, but somehow you never quite find the motivation to do it.

Do you feel get lost along the way and overwhelm?

Feeling like you are too busy or poor to budget or that you don’t have the time to budget.

Looking at you’re spending habits and budget can feel too scary, too much work or that it is just too confusing to try.

If you feel like you need help with your first budget, consider signing up for a class or asking a friend for help.  There are many online learning post COVID19 which is the new normal now.

It’s time to overcome your fears and to take control of your future.

If you are this budgeting style, you may be looking for excuses to explain away the reasons that you do not reach your goals.

Take the steps now to make the things you want to happen in your life, actually happen.

What’s a Budget?…

If you are this budgeting and spending type, it means that you do not even consider writing down a budget.

Have not thought that far ahead. You are only glad that you can pay most of your bills on time.

May always be looking forward to your next payday so that you can buy groceries with cash instead of on a credit card.

Your lack of organization can stop you from ever reaching your financial goals.

Setting up and following a budget can help to alleviate a lot of financial stress.

It can also help you to stop relying on credit cards or from struggling between pay check to pay check particularly with the way everything has changed post COVID19.

This budget style means that you take life as it comes.

You may not have a career plan in place or a real direction.

Also you may be able to focus intensely on just one thing at a time, which can be both a good and a bad thing.

You may want to consider some reasons to start budgeting.

Hey, I Write My Budget Down…

If you have this budgeting style, you start out with good intentions.

Writing down your budget each month, and you make a spending plan, but you are not great on the follow through.

If you have a hard time sticking to your limits or keeping track of what you have spent you may end up blowing your budget and spending habits on a regular basis.

Finding a budgeting system that works for you and a money tracker on your spending habits.

You may also have a hard time saying no to impulse purchases.

If you are married and budgeting as a couple, it may be a result of lack of communication between you and your partner.

To solve this issue, you need to find a better way to follow through on your plan.

If you have started the process, which is great, you need to see it through to the end.

If you have this budgeting style, you like to set goals and make plans, but your enthusiasm for a project may wane quickly.

Our Spending Habits and Budgeting Our Money, COVID 19

The way we are spending our money during self-isolation has changed.

Business owners need to be particularly aware of their spending habits.

More people have elected to work from home or had to make arrangements to do so.

There are many opportunities to save money.

Staying home and making homemade meals instead of eating out, catching transport into work, sporting events and attending conferences.

Here are 4 Essential Ideas to Curb our spending habits.

1.Revisit your utility, internet and mobile plans.

It takes time and effort to ring up different suppliers, if you’re working from home who cares if your put ‘on hold’.

Many sites today have live chat which is great as you can keep working while waiting and chat with them

There are many compare sites online as well and companies today are making it much easier for us to swap.

Remember to check your contract and if you are locked into one and for how long.

2. Interest Holidays.

So what is an “Interest holiday?  This usually means adjustments to mortgage repayments.

While the big four banks do have options for you to take a pause on you interest repayment while cash flow is tight.

Being, it’s not a holiday from paying your interest to remember

Make certain you fully understand what the terms and conditions are before you press the pause button.

3. Bank Shopping

Now is the perfect time to investigate what you are being charged in interest account fees and annual fees.

Compile what you are currently being charged, start ringing around or surf the net and compare.

Credit cards do offer some great deals to swap for interest free periods.

They offer to transfer your balance over giving the option to pay the balance off quickly but do remember to cancel the old card.

Once you have educated yourself, call your bank to have a discussion requesting they match or do better to what their competitors are offering.

4.Government Stimulus.

Jobseeker, Jobkeeper and Coronavirus lump sum payment federally and state by state are available.

It’s important that you research which ones apply to you personally and your business to assist your cash flow at this time.

Time to have a discussion with your accountant and any other business advisors in the lead up to the end of the financial year and pandemic times.