As a wealth advisor with Cogent Strategic Wealth, I want to talk about a topic that is important, not only in the current environment that we're living in with this pandemic, but it's important all year round. When we're living in uncertain and stressful times, I think it's really critical to focus on the things that truly matter, and also the things that we actually can control.
One of those things is your family finances. If you're like most households, there's probably one spouse or partner that handles the family finances. Because we don't necessarily know what tomorrow holds, I would highly encourage you to spend some time and sit down with your spouse or partner, and talk about your current financial situation.
- Do you have enough cash on hand in case either of you were to lose your current source of income? With unemployment skyrocketing, you want to make sure you're planning in advance for the potential of losing some income.
- Double-check your savings accounts to make sure you have enough cash set aside to withstand any potential financial emergency that you may face.
- If you feel that your savings is lacking a bit, review your expenses to see what can be cut back right now. With many people stuck at home and not able to go anywhere, it's a good chance that you may be able to pull some stuff out of your budget.
- Once you've reviewed your expenses, the final step would be to discuss how each of you can easily access all of your financial accounts and documents. With one person in the household typically overseeing all of that information, it's really important that the other knows how to easily log in and access any financial accounts, and also how to find any important documents, such as powers of attorney for healthcare, and living wills.
Uncertainty can lead to more stress, so we encourage you to take these steps today, to better understand your own personal financial situation, and make sure that you are taking the necessary steps to prepare for any potential emergency. If you have any additional questions, please reach out to us.
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