Five essential financial tips for surviving COVID-19

Ryan Watson Jason Kloszynski

How our lives have changed in just a few weeks. We hope you’re doing OK.

We know this is an incredibly challenging time and have had many heartfelt discussions with our clients. We’re humbled to hear your stories.

But what we’re also finding is an amazing resilience, and a willingness to push through and make the most out of an extremely difficult time. And we’re with you 100%.

So we thought we’d take a look at some positive ways you can make a real difference to your financial wellbeing now, and well beyond this crisis. To do this we sat down with our CEO Ryan Watson to ask him his five top tips for protecting and strengthening your financial position.

Less is more

What we’ve seen from our clients is that they’re actually spending less by being at home more. This is great as it’s an opportunity for people to build up that rainy day fund, given the fact that they’re being more conservative with their spending. It clearly shows you can comfortably decrease your spending by 10 to 20 per cent – making a massive difference to your debt reduction and savings.

One thing to watch out for while at home, however, is online shopping. There’s a fine line between needs vs wants. Focusing on wants can be a trap, especially given the amount of Dopamine (excitement) that’s released in the brain with the act of shopping. The best rule of thumb is to stick to essentials and avoid trivial or luxury purchases.

Revisit your mortgage

At Tribeca we’re always pushing to regularly review big expenses like your mortgage. Well there’s never been a better time than now. The banks are currently offering substantial principal and interest payment relief, which means you can literally save thousands of dollars a year on the interest you pay on your home loan. So go grab your latest loan statements and reach out to your trusted mortgage broker to do the legwork for you. Our Mortgage Broking wiz (and nice guy too) Jason Kloszynski is ready to help. You can contact Jason by clicking here.

Have the will

Traditionally we know people don’t like talking about their own mortality. But what we do know as professionals is that each adult has a responsibility to have a current will and power of attorney. I simply can’t stress this enough. It’s irresponsible to leave loved ones grieving and not to have a will in place. If anything this terrible pandemic has taught us is we must be prepared for the worst of situations, and to have those sensitive conversations about our estate. You owe it to yourself and the ones you love.

Clear the clutter

Everyone complains about never having enough time – or the right time – to clear the house of clutter. Well, you’ve got no excuses now and it’s a great opportunity to make a little extra cash! Sites such as Gumtree, eBay and Facebook Marketplace are still very active during this crisis, and you can easily sell your goods while still practicing responsible social distancing. So clean out that cup-board or shed, and give it a go.

Slash those bills

Again, now’s the perfect time to look at your expenses and create better financial habits. I know it’s not fun for most people to do, but I guarantee you’ll be laughing when you see what savings you can make. Take out your last three months of bank statements and review your household bills, gas, electricity, mobile, Foxtel; and then look at negotiating with your current providers by doing research around pricing deals and offers. Yes, it takes a bit of work, but you can literally save thousands of dollars a year by challenging your providers and blocking the leakage in your expenditure, especially direct debits. Your monthly budget will never look better.

We know what a difficult time this is for everyone. Please remember you’re not alone, and we’re ready to roll up our sleeves and help you not only come through COVID-19 in a financially sound position, but to also feel empowered to make some real positive changes for the future.

As part of our promise to you, we’re offering free of charge, 45-minute financial consultations (via phone or video conference) to those who are affected by this crisis, for example people who have lost their jobs, have reduced work hours, have been stood down and/or are under financial stress. Simply contact us on 1300 388 285 or tell us about your situation here and we will arrange your appointment.

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