What Impact Is COVID-19 Having On The Finances Of Floridians?

Around two-thirds of Floridians are worried about the economic impact that COVID-19 is having on their families, as stated by Florida’s Chief Financial Officer, Jimmy Patronis. Patronis, who is working alongside a host of financial, insurance and consumer organizations to launch MoneyWise Florida (a financial education initiative), feels that financial literacy is a key way to minimize the devastating effects of the pandemic. As such, he is supporting MoneyWise Florida – a statewide financial education program that aims to boost financial literacy in order to help people withstand the effects of the pandemic. As it stands, around 77% of people in Florida have reported that the health crisis has stressed their finances more, with around 43% stating that it has caused ‘significantly more’ money worries.

What Financial Aspects Are Causing The Most Concern?

One in six American workers has lost their job since COVID-19 struck, with over 500,000 people filing for unemployment compensation as early as mid-April in Florida, where unemployment aid is capped at $275 a week. Such is the financial stress faced by workers that 13% fewer people are able to set aside money for savings. Around 70% of Floridians cannot live on savings alone for more than six months (the percentage is even higher for young people and minorities).

What Are The Solutions?

Financial literacy is an important way to secure Floridians’ future to the greatest extent possible. Those who are struggling financially should be savvy about the different options available – including loans, interest rates, second mortgages and the like. Those who are already in debt and who wish to source funds for prospective projects can look into different bad credit loans at Crediful to compare aspects such as payment terms, APRs, and maximum amounts loaned. They can also look into how to reduce their debt so as to boost their credit score. Strategies can include prioritizing high-interest payments, setting a strict repayment schedule for debts, and analyzing their expenses via apps such as Mint and PocketGuard.

Important Issues To Face

Financial literacy also involves creating a budget for potential expenses related to the pandemic – including insurance and costs of medical emergencies. Floridians can take steps to build a savings nest that may have been unavailable to them in the past through sound management and by cutting out extraneous expenses. In the U.S., over 20% of people currently do not have anyone to turn to for trusted financial advice, and over 30% do not have a written financial plan. Now more than ever, it is important to crunch numbers and plan one’s financial future; being secure economically can help Floridians weather the sometimes devastating emotional and mental effects of the pandemic.

Floridians who are worried about the financial impact of COVID-19 should check out MoneyWise Florida, set up to help them find answers to some of the questions they need answers for. At this point in time, budgeting and a sound financial plan are key, as these give residents a clearer picture of important financial changes they need to make. These may include jiggling investments, cutting down on monthly expenses, or taking out better insurance. In the current climate, financial security is tantamount to better quality of life and greater peace of mind.