5 Steps to getting your finances under control these next few months
Everybody today is going to struggle, we are all in lockdown and are worried about whether or not we are going to be able to cope with the coming months financially. These are trying times and the best we can do is reduce our costs as much as possible to ensure we can last until things slowly start to get back to normal.
We have compiled a budget spreadsheet so that you are able to manage your finances and properly plan out your budget until you can get back to work.
So follow along in the budget spreadsheet with each step and add in everything that applies to you.
Step 1: Fixed costs
Everyone should know what their debit orders are every month. We all know that being able to meet these obligations is extremely important. So you should plug these values into the spreadsheet.
Step 2: Contact all your fixed cost entities
Contact them in advance before the debit orders go off is important and ask them if they are willing to give a reduced fee over the next 3-5 months or even postpone the debit orders until lock down is over.
Then if any of them agree to reduced terms or postponement then add the new amount into the spreadsheet.
Step 3: Variable costs
Work out all your normal variable costs and add it into the spreadsheet. This includes weekly coffee shop visits etc.
Step 4: Determining what is need
Now you must decide which variable costs are the most important in the next few months. This means food, petrol, water and electricity take preference over grabbing a coffee at Woolies.
Step 5: Your estimated budget:
Once you’ve filled everything in then you should see your estimated monthly budget over a 5 month period. This is to just help ensure you do not overspend and that in a worst case scenario you have available cash to still meet your monthly obligations and still be able to save.
Managing your money in lockdown and after is crucial and we hope this helps you do just that.