Adjusting to the new norm that COVID-19 has shaped for us has been a rollercoaster ride. As the global pandemic continues to stretch far past immediate medical concerns, there are many fears that arise. With the uncertainty of how long the virus will last, it is clear that the financial shockwaves will be felt much longer. The impact is not only being felt by business owners, but the employees and staff of these businesses too.

If you’re currently out of work, or facing serious financial stress right now, you’re not alone. Millions of Americans are facing unemployment and difficult economic times due to the coronavirus outbreak. Along with our physical and mental health, we must also take care of our financial health. Fortunately, there are many things you can do to address your financial situation.

Here are a few helpful tips to keep your finances above the water:

Call your creditors

If you’re unable to make your payments on-time, try contacting as many lenders as soon as possible. In many cases, lenders such as small business suppliers, vendors, mortgage companies, credit card companies and more can offer financial assistance to defer, reduce or forgive payments.

Credit cards: If you’re finding it difficult to manage credit card payments and debt during this global pandemic, call your creditors for help. In response to the coronavirus, major credit card issuers like Amex and Capital One are offering financial assistance such as waiving interest or late fees, and more.

Student loans: The feds, states, and even private lenders are offering relief for student loan borrowers. The federal government is offering options for borrowers who need assistance with their student loans. The following measures last until September 30 and are retroactive to March 13:

• Automatic forbearance to all federal loan borrowers
• Automatic waiving interest on federally held student loans
• Stopping all collection activities on federal student loans in default

Car payments: Many lenders have created special programs or are being more flexible when working with borrowers. It is important to talk to your lender before you miss a payment. Most auto insurances are offering discounts and rebates during COVID-19 as well.

File for unemployment/Apply for financing

Filing for unemployment is definitely not ideal, and there is no reason to feel ashamed. Nearly 33 million people have reportedly filed for unemployment in the last seven weeks. If you have not done so already, filing for unemployment can help you regain some control in a situation that can feel pretty helpless. You do not have to be actively looking for work in order to receive unemployment benefits; the government has changed the requirements due to the circumstances of the pandemic.

Take advantage of tax provisions and the CARES Act. This program provides business loans, debt forgiveness, and emergency grants to help small businesses. The CARES Act also has provisions providing for expanded unemployment benefits of up to $600 per week of additional payment for a period of up to four months.

Treat long-term investments as you usually would

Avoid withdrawing from your retirement accounts. This should be a “last resort” move. That said, it is okay to hold off on adding to your savings or investment accounts or decreasing your amount. It is important to focus on making your budget work now and then focus getting back on track with your goals when you are able to.

Prioritize your payments

Make a list of your monthly bills: rent/mortgage, car payment, utilities, student loans, medical bills, and anything else. Include how much you will need for food, medicine, and other necessities. If you still cannot pay everything on-time, look at what would happen if you couldn’t pay each bill and decide which to pay first.

• Skip takeout and stick with home meals
• Cancel any subscriptions you do not need
• Freeze your memberships

Arias, Arias & Jasko Financial has been serving Florida and operating out of Fort Lauderdale since 2012. Arias, Arias & Jasko Financial takes pride in working with the owners and partners of small to medium-sized businesses to achieve their vision.

We have accounting and business consultant professionals on staff to serve you for all your accounting, bookkeeping, and business consulting needs.

The articles we share are items of interest and related to some questions we have answered in the past. If you have a question or would like to schedule an appointment please contact us at 954-650-1825.

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