Rocky Speight: Financial impact, smart moves to navigate shutdown

Now that the federal government has shuttered many doors, millions of Americans are wondering how this disruption will affect their finances. The answer lies in your personal situation. Here's what to know — and what steps to consider.

People relying on safety net programs: There's good news if you depend on Social Security, Medicare or Medicaid: payments from these programs will continue. The post office remains open during the shutdown, but note that (unrelated to the shutdown) as of Sept. 30, Social Security payments are no longer mailed. If you haven't already, set up direct deposit or a prepaid debit card to avoid or minimize payment delays. Contact the Social Security Administration for help — though expect longer wait times due to the shutdown. And if you're waiting on an IRS refund to help pay for day-to-day expenses, it could be delayed.

Federal employees: For furloughed workers and those working without pay, you are guaranteed backpay once the government reopens, but the delay can strain household budgets. You may be eligible for support through the Federal Employee Education and Assistance Fund. And unlike in prior shutdowns, there is the threat of additional workforce reductions.

Government contractors: Unlike federal employees, contractors typically don't receive retroactive pay. Missed workdays may result in permanent income loss, and delays in contracts and permits are likely.

Small business owners: Businesses that rely on federal contracts or serve government facilities — such as cafés, maintenance crews and transportation providers — may see a sudden drop in revenue. Additionally, the Small Business Administration is affected and won't issue new loans during the shutdown.

Veterans: You can largely expect business as usual. The VA will continue processing compensation, pensions, and education and housing benefits. And for health care, medical centers and outpatient clinics remain open.

Investors: If you are invested in Treasury securities, you will still receive interest payments. The stock market may see some volatility triggered by the government shutdown — which for those with available cash may be a compelling buying opportunity.

How long will it last? Shutdowns are unpredictable but typically short-lived according to Bloomberg. Since 1976, there have been 20 shutdowns lasting at least a day. The longest — in December 2018 — lasted 35 days, according to the Congressional Research Service.

What you can do now: In uncertain times, focus on what you can control. If you're directly affected, review your finances and build a lean budget that prioritizes essentials like housing, food and transportation. If you have emergency savings, this might be the time to use it. For a longer shutdown, you can ask about financial assistance for many of your bills (for example, mortgage, utilities, credit cards, car loans, student loans). Just be sure to understand the terms and conditions.

While a government shutdown can be unsettling, taking proactive steps and acting early can help you stay financially grounded. Shutdowns are disruptive, but they are also temporary — and having a clear plan can help you weather the storm and protect your financial well-being.