We are living in unprecedented times where a good number of people have been forced to stay at home in the quest to curb the spread of Covid-19, an act that has hit many sectors related to the economy across the globe.
How to effectively manage your salary during this Coronavirus pandemic [Explainer]
More than 1.2 million Kenyans have lost their Jobs since COVID-19 pandemic hit the country
According to the Government of Kenya, over 1.2 million people have lost jobs in the last two months and those lucky enough have been subjected to pay cuts, or unpaid leave to help companies survive this tough time.
With countries now on lockdown, it is safe to say that the novel Coronavirus has adversely affected the global supply chain, causing most manufacturing and retailers to suspend operations.
In order to survive this period, one would have to adjust their budget either downwards or upwards depending on the money streaming in at the End of the month.
To give you an opportunity to manage your finances better during this period, Pulse Live has chosen to discuss the impact of the virus in the pockets of many Kenyans who are only hoping for a better tomorrow despite the rising numbers of those infected by the deadly virus.
It's normal to feel uncertain about many aspects during this period. Your health is obviously the number one priority, but maintaining a healthy financial lifestyle amidst this pandemic is also important.
Here are tricks you can employ;
In this case, you should make a budget where at least 50% of your salary is directed towards things you need, what we call essentials; such as Food, Rent, education and medical.
During this time the curfew has greatly limited our ability to go out of the house to spend money on wants and therefore we can channel those resources on what you really need in the house.
Trim Down on expenditure
A lot of people are experiencing dry pockets due to the financial effects of Covid-19 and its advisable to trim down your budget in order to survive. If you haven’t examined your budget closely in a while, now is a good time to look for any waste and opportunities to save money.
If you’re not budgeting, it’s time to get started, unsubscribe from unnecessary subscriptions that you know very well you can survive without.
Set up an Emergency Fund
If you’re lucky enough to be able to continue working from home, then consider boosting your emergency fund. You can channel your entertainment budget here.
Boost your savings
Now that you are staying or working from Home, this means that you would likely be able to save money that would have been spent on things like travelling and eating out. This means that now you can be up to save a few more coins just in case you lose your job or your employer doesn’t offer paid leaves.
Reach out to Your Landlord and Lenders
If the impacts of this virus have affected your income, then you may run into trouble keeping up with your bills.
In such a situation it's important v to reach out to your landlord and lenders so that you can agree on a plan that will be favorable for both sides.
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