Pandemic financial strains start smart money flows
JONESBORO, Ark. (KAIT) – The importance of saving took on a different meaning after the financial situation changed due to the pandemic.
The unemployment rate recently fell to just over 5%.
This follows a sharp drop in July.
Living from paycheck to paycheck was normal for some Americans. As jobs were lost and working hours reduced, it became a reality for more people.
Now the jobs are slowly filling up, but some of the people in those jobs are always behind on their bills or trying to find a financially comfortable place.
Lori Norris, a financial advisor and certified financial planner, said budgeting is the advice she gives to anyone trying to regroup after the financial strains caused by the pandemic.
“Sometimes it’s a really good visual tool. Put it all on paper, see where you are now, ”Norris said. “See where you need to be, even see what kind of pay you need, even if you might not get it. But, I’m just thinking about budgeting. There are so many tools online.
She said it’s common for people to try to get their finances back to a point they remember before something like the pandemic.
Norris said finances are a journey, so making a plan helps, but sometimes emergencies happen that we can’t plan for.
“Now, yes, the pandemic has been a lot worse than many of us expected, and when you are planning your life,” Norris said. “You try to plan for these little emergencies. No one could have predicted a pandemic. “
According to the Bureau of Economic Analysis, personal income increased by about 0.2% in August 2021.
It has helped increase the disposable income and savings of many people.
Norris recently said that more and more of his clients have become more aware of the idea of saving money. They separate what is needed and what items they can keep until they have more money to spend.
More and more people are returning to the labor market.
Norris said she was happy to see people take the initiative and save some of their money.
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