14
|
r e d f c u.o r g
Budget Tips for Reduced Income
Do not email any account or personal identification information.
Due to the coronavirus fallout, my
company is instituting a salary cut
for everyone. Hopefully, it will be
temporary. In the meantime, how
do I create a budget that matches
my new take-home pay?
Everyone has felt the effects of the COVID-19 pandemic – unfortunately, some
more than others. With careful planning and by keeping a close watch on your
finances, you can survive these tough times.
Your first step in creating your budget is to find out what your new take-home pay is
and then figure out your shortfall. To cover that shortfall, you have to cut expenses,
find a side job to make up the difference, or rely on savings.
Let's focus on cutting expenses:
• List all your current expenses and prioritize them.
• What can you cut? Hint: Start with the nonpriority items. In other words, only
spend on the priority items.
• Immediately contact your creditors and ask about alternative payment plans,
such as extensions, skip payments or some other forbearance agreement. If no
help is available, make the minimum payments and protect your credit. Call
those creditors in a month and ask again.
• As a last resort, you may want to consider decreasing your contributions to your
retirement or college-funding accounts. You can make those up later when your
household can support them.
• Readjust your budget as needed.
YOU ASK – WE ANSWER!
Money Repair
For more help with your budget, call Redstone at 256-722-3796 or
email aspire@redfcu.org.
