As the first two weeks of lockdown passes, the impact of COVID-19 on the New Zealand economy is setting in. Many businesses have gone into a standstill. The reality of job losses and/or reduction in work hours are starting to affect employees across many industries.
It has been reported that more than 870,000 employees are now part of the government's wage subsidy scheme, where more than $5 billion has been paid out to support individuals and their families in New Zealand. If your business has been affected, even self-employed contractors, and you have not applied for the wage subsidy, you can find out more information by visiting Work and Income NZ.
As financial uncertainty sets in, many of us will be thinking of ways to set budgets and to look at expenses that can be reduced to help manage our finances through this time. With the lockdown in place, it should be easier to reduce discretionary spending such as eating out, entertainment and even shopping. This is a good start. To help you get on top of your finances, here are a couple of simple tools that can help:
To create a budget, check out Sorted.
To get a good view of all your insurance and premiums, check out Quashed.
If you decide that you cannot keep up with your insurance payments, have a chat with your insurance company to see how they can help. It is important to consider keeping in place some insurance to keep you, your loved ones and valuables protected.
Many insurance companies have announced some form of help to their customers that are facing financial hardship. Whether it is a pause on your policy, to lower the cost by increasing your Excess or readjusting the amount of cover you have... Find out how your insurance provider is offering to help you during this time.
Insurance companies financial help information: