The shutdowns that have accompanied the COVID-19 pandemic have wreaked havoc on the global economy. Millions of people are out of work, businesses are cratering, and the stock market has tanked. Whether you’ve been hard hit by these effects or are so far weathering the storm yet feel uncertain about your future, what financial moves should you be making right now? To get some insight, I brought back personal finance expert Ramit Sethi, author of the book I Will Teach You To Be Rich. Since the pandemic started, Ramit has been hosting “fireside chats” on his Instagram account where he covers a financial topic pertinent to the pandemic, as well as answers questions from his community of followers.
Today we discuss some of the ideas Ramit’s been hitting on during these chats as well as the common financial questions he’s been fielding. I begin our conversation by asking Ramit why he tells people they shouldn’t panic, but should overreact. We then dig into Ramit’s advice for people who fall into different categories as to how the pandemic has affected them, beginning with survival strategies for those who are out of a job altogether. Ramit then shares the money moves people who do still have income coming in should make and why he’s changed his tune on how much of an emergency fund you should have. We then discuss why now is a good time to find ways to earn more money and what investing should look like during an economic slump. We end our conversation with Ramit’s advice on how to look for a job during a pandemic and what small businesses can do to adapt to the current climate.
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- The common money questions Ramit is seeing right now
- The difference between panicking and over-reacting
- What does it mean to overreact?
- The money moves to make in order to survive being laid off or a big drop in income
- The CEO approach to surviving the downturn
- Why Ramit has changed his tune a little bit on how much to have in an emergency fund
- How much to really save, and then when to use your emergency funds
- Should you be helping your family financially?
- How to come out from this pandemic even better than before
- Starting a business right now — it may not be such a bad idea after all
- The business that Ramit’s mom started
- What to do if you made early mistakes with your stocks/investments
- Advice for finding a job
- Why job market ambiguity can help job seekers
Resources/People/Articles Mentioned in Podcast
- How to Achieve a Rich Life With Your Finances
- Harnessing Behavioral Psychology for a Rich Life
- Read These 5 Books to Get the Personal Finance Education You Never Had
- How Millenials Can Overcome Their 6 Biggest Financial Challenges
- How and Why to Start an Emergency Fund
- Beyond “Sissy” Resilience: On Becoming Antifragile
Connect With Ramit
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The post Podcast #605: The Money Moves You Should Make Right Now appeared first on The Art of Manliness.