Coronavirus:  Secure Your Financial Future

Our values are tested during a crisis. We have learned that we need to make certain changes to our lives.

To better deal with the anxiety, focus on what you can control and be true to your long term values. Use this time to reflect on what is important to you and your family.

Stocks still remain a good place to invest given their higher growth profile over the long term. In comparison to stocks, money market securities and bonds are safer but will provide very modest returns.

1. Emergency Fund Is A Necessity

Yet we all have excuses as why we don’t need to set up an emergency fund account. You believe you have a stable job, your parents will help you out or you can always use your credit cards.

2. Make Savings A Habit

Coronavirus may help with consumer debt. Recently, government initiatives have allowed interim deferment or repayment of student debts, home loans, personal loans, car loans, and possibly credit cards.

3. How To Pay Off Debt

Generally, you should adopt a plan to keep your debt levels at manageable levels. I advocate reducing loans with the highest loan rates first.

Check These Resources For Help

With every crisis, financial scams increase. Phishing and investment scams rose during the 2008 financial crisis and coronavirus outbreak is no exception.

4. Stay Vigilant And Check Your Credit Reports

5. Continue Your Retirement Contributions Or 529 Savings Plan

Generally, save for retirement through tax advantaged employer-sponsored benefits. Separately open up an IRA (preferably a Roth IRA) for more retirement savings.

Does an economic downturn mean you should sell stocks? Not necessarily if you have a long term strategy. Financial markets go through corrections, bull and bear markets.

6. Investing During A Down Market

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