To create a plan, make a list of your monthly expenses before and after the impact of COVID-19. You can shift some of the money that you’re currently saving on leisure activities like dining out or travel toward monthly investments instead. Once the pandemic ends and life as normal resumes, you can continue to enjoy these activities — you’ll just be doing so within your new budget.
Once you have a plan in place, it’s a straightforward and easy process. The same way that you can set up a bill to be paid each and every month, you can have money directed monthly to your investment accounts. After the money arrives, you can set up automatic orders to buy your favorite stocks, ETFs, or mutual funds.
Once you create these habits, you’ll improve them over time. When you receive pay raises, you can put a portion of them toward investing, rather than entirely increasing your expenses that are within your control. You can also continue to reduce discretionary expenses so that you can save and invest more.
Uncertainty and turmoil in the world has upended our lives and made everything more difficult, but as Albert Einstein said, “In the middle of difficulty lies opportunity.” Finding and benefiting from these opportunities will help you reach your long-term goals. And taking these few steps now with your disposable income while you have the ability to do so will create long-lasting saving and investing habits that will stay with you long after this pandemic is done.