Consumer Reports: Money Moves to Survive a Coronavirus Recession

[NurseJackie]

https://www.consumerreports.org/financial-planning/money-moves-to-make-in-a-coronavirus-recession/

Money Moves to Survive a Coronavirus Recession
For millions of Americans, the pandemic is not just a health crisis—it’s a financial one. Here's what to do.

By Penelope Wang
Last updated: March 19, 2020

As the coronavirus continues to spread, businesses all over the country are shutting down and laying off employees. That has many Americans worrying about how they’ll survive financially.

A recent survey from WalletHub found that 67 million Americans anticipate they will have trouble paying their bills because of the coronavirus pandemic.

Help for financially strapped Americans is on the way. President Donald Trump just signed a bill that expands unemployment benefits and provides paid sick leave, among other measures. The White House has also announced plans to provide relief to businesses, as well as individual households, including issuing direct payments to taxpayers.

Still, federal assistance may take time to arrive. The worry for many consumers is how to manage financially now and in weeks ahead. Many are working at home, if they have jobs at all, while trying to take care of kids or disabled family members.

“It’s stressful at the best of times to find ways to save, manage bills, or negotiate with creditors, and it’s even more difficult now,” says Marguerita Cheng, a certified financial planner in Gaithersburg, Md.

Fortunately, you do have options. We’ve come up with several steps you can take now to get control of your money.

Paying Your Bills

If you’ve recently been laid off, or if you’re worried that you may lose your job soon, it’s essential to act now to protect your finances. Follow these guidelines. [more at link]



File for Unemployment
[more at link]

Negotiate With Your Creditors
[more at link]

Look for Relief Programs
[more at link]

Taxpayers will also get a bit of leeway. The White House has announced that the IRS will postpone the April 15 tax deadline to July 15, giving most Americans an additional 90 days to file returns and send in their tax payments. If you are expecting a refund, however, file as soon as you can, Marshall says.
Cutting Your Expenses

You can free up more cash for your bills, as well as boost your emergency fund, by trimming your spending.

Start by scrutinizing your budget to identify places where you can cut back right away, as well as make more sizable reductions later, if it becomes necessary, McBride says. These tips can help.

Cancel Memberships
[more at link]

Cut Down on Takeout
[more at link]

Focus on Low-Cost Family Time
[more at link]

[Sherman A1]

1. Thanks for posting

[SharonClark]

2. Good information - thanks for sharing.

[magicarpet]

3. Thoughtful & helpful post. ThX

[Johnny2X2X]

4. Common sense stuff

If you have a 401K and can direct some investments in them and are fully vested, you should have been at a 60-40 mix going into this mess. I took advantage of a couple of bumps in the market to further sell equities (Stocks) and move into cash and bond investments. I'm at about a 40-60 mix right now.

Now everyone wants to time the market to get back in more, but no one really can. Do some research, talk to an adviser and do your best. I have a number in mind that when I see the S&P hit it I will move back into equities at 80%, but everyone has to do what they think is best.

Remember too, your 401K is a long term investment, you don't really lose any of that money until you retire and start spending it. The market will come back.