The COVID-19 pandemic has shaken up many aspects of our lives, including our finances.
People who had stable sources of income just a couple of months ago are now wondering how they’re going to pay their bills, even with help from unemployment and a government stimulus check.
This has forced people to adapt by adjusting their spending and paying more attention to where their dollars are going. But these habits aren’t just useful in bad times.
Here are three budgeting changes you may have made recently and recommended to continue after the pandemic ends.
1. Spending Less On Non-Essentials
The pandemic has forced us to slash our spending on non-essentials because so many of our normal entertainment activities, like dining out or going to the movies, are not options right now. Individuals who have lost their jobs due to COVID-19 have had to take a hard look at their monthly expenditures and make choices about what is essential and what isn’t. For example, a streaming service that seemed like an essential entertainment source during pre-pandemic times might not seem as important now.
When life goes back to normal, you may wish to resume your normal spending, but consider carrying on with some or all of your coronavirus budget instead. When you return to work, you will likely have more money coming in, and you can put that money right into savings to help you achieve your long-term goals, like buying a new car or making a down payment on a home.