SWM can help prepare your financial plan for a pandemicMarch 17, 2020
Don’t scrap your financial plan out of fear. Pandemic or not, you will continue to have financial goals that you will want to progressively strive toward. Likewise, don’t scrap your investment strategy by trying to time the market. We all know the phrase ‘a bird in the hand is worth two in the bush.’ Meaning, it’s better to hold onto something one already has rather than risk losing it by trying to attain something better. We agree money is emotional but stay the course with your investment strategy. This is not the first time the market has gone down, and it sure won’t be the last.
Stay the course
Similar to staying the course with your current financial plan and investment strategy, you may wish to fortify your financial situation. If you are saving money by not commuting and eating out or you’re expecting a bonus from work, now is the time to put that extra cash into an emergency fund.
Lastly, a much needed but not always pleasant way to prepare your financial plan for a pandemic is to have copies of your medical records, health care directive, power of attorney, will and estate plan handy. Let someone near to you know where to find this information in case they need it.
With your sound financial plan in place, you can focus on staying healthy by getting rest, drinking water and exercise. It is easy to feel isolated while we practice social distancing, so remember to reach out to friends and family, and be kind to those who are alone.
Financial planning uses the known to combat the unknown
From our homes, while we weather this pandemic, let’s stay the course with our financial plans and avoid the temptation to give into the fear of the unknown. Let’s remember the words of Mary Louise Alcott who said, “I’m not afraid of storms, for I’m learning how to sail my ship.” Today, I feel like we are all captains of our ships. Right now, a solid financial plan is one of the most effective ways to work toward our financial goals. So, Let’s do it!