COVID-19 Weekly Digest (December 09, 2020)
States that depend heavily on tourism have suffered dramatically during the pandemic, and a few are taking creative steps to diversify their economies by attracting new remote workers. For example, Hawaii’s unique “Movers and Shakas” program offers free roundtrip airfare to remote workers willing to spend at least 30 days working in that state and to contribute in some way to the local community. Tulsa offers grants of $10,000 plus membership at a co-working space to new residents, while two counties in northwest Arkansas are offering $10,000 plus a bicycle.
As the virus spreads across the country, we hope you are continuing to stay safe and healthy!
CARES ACT UPDATES
Another stimulus bill?
After months of uncertainty, lawmakers finally reached a compromise on Sunday, December 6, for a new relief package. The deal includes an additional $300 per week of unemployment benefits and an extension of the moratorium on evictions. However, it does not include the second round of $1,200 checks, which may happen after President-elect Biden’s inauguration. Another round of support for small businesses with the Paycheck Protection Program is also included. Nothing is set yet so don’t hold your breath...
Tax Issues
Even if you aren’t itemizing your deductions for 2020, the CARES Act will allow you to deduct $300 of cash contributions to charities when you file your tax return in 2021. To get this deduction, your contribution must be made in cash to a qualifying charity by December 31, 2020. Be sure to keep records of your donations, which may be in the form of a canceled check, bank records, or an acknowledgment from the charity. If you’re not sure where you would like to donate, and you are not currently being inundated with requests, which happens every December, then check out Charity Navigator, which will help you choose charities by country, or GuideStar, which is a directory of charities and non-profit organizations.
Help for small business
If you have started a business that has failed in the past, don’t feel too bad. You’re in good company. You can always think about a new approach, which is what the startup community does. They use the “fail fast” approach to assess whether an idea is viable or not quickly. If a change is successful, it’s retained. Otherwise, a new path is charted based on data collected from the failed idea. This article in the New York Times describes how three very different businesses used that notion to succeed during the pandemic. A center that offered psychotherapy and drop-in classes switched to an online cohort class model. A bagel bakery pivoted to online sales and found ways to ship bagels nationwide. A business that offered photo booths and selfie stations for events switched to selling gift boxes of items particular to different towns.
Fraud Alert
Sadly, one thing this pandemic has brought about is an inordinate number of people committing fraud. Older Americans have been especially vulnerable to fraud during the pandemic as essential services moved online. Fraudsters find them attractive because they tend to have more money in savings, and they may not be digitally astute. These scams can range from fake messages from grandchildren in need of cash to get out of a dire situation to pet adoption scams to notifications about a new stimulus program. According to the AARP, seniors have already lost nearly $183 million through these scams, with an average loss of about $320. Simple steps such as being wary of downloading documents from strangers and using unique passwords can ward off many of these attacks.
To stay safe during online holiday shopping, make sure you follow these five practices:
Manage your passwords
Use multi-factor authentication
Beware of phishing
Educate your children
Be diligent
These simple habits will thwart most scams and will help keep more of your money where it belongs.
LIVING WITH AND AFTER THE PANDEMIC
Work in the post-pandemic world
Leadership tactics that helped teams make it this far during the pandemic won’t work well as we face an uncertain and indefinite future. Too much agility leads to chaos while making a few firm commitments for how long remote work will continue gives teams a bit of certainty for the future. Acting firmly and decisively may be tempting, but we are entering uncharted waters, so gathering input and striving for a common understanding is crucial for moving forward. Annual rituals such as the holiday party should be retained, even if in an online format. Showing vulnerability instead of steadfast decisiveness builds trust in teams, which leads to higher levels of engagement and energy and lower stress levels.
What are your holiday travel plans for next year? We have one fun suggestion….
While it still might not be a good time to take decisive action in an unstable economy in uncertain times, it certainly doesn’t hurt to make some goals about what you would like to do and where you would like to go once this pandemic ends, or at least is controlled.
One fun exercise is to pick a place you might want to go to next year during the holidays. Why not think out of the box? For example, did you know that you could go to Lapland for the Holidays? And if you’re asking, where exactly is Lapland, well technically, it is in Northern Finland. What? You want to go to Sweden instead? Well, you’re in luck because they have their own holiday experiences for tourists in Swedish Lapland! If you would rather celebrate in Norway, that’s fine because you can head to Norwegian Lapland. While it might be a bit pricey flying from the states, can you imagine your kids or grandkids playing with reindeer, yes real ones, and playing in Santa’s Village? Maybe you just might want to treat yourself; after all, finding your inner child is a great gift that can keep you fresh and creative so you can stay motivated and approach your business or job with new-found enthusiasm. Most importantly, you just spent a week hanging out with real live reindeer. How many people can say that?
