Ways to be Financially Stable in Life
Being Financially stable often means spending less and earning more for most of the people as that is the simplest way to accumulate wealth and that used to work for the longest if terms but nowadays it has started to change. Previously people used to earn more and spend less and later down the road they were taken care of by their children's but nowadays we have the Financially Independent theme running around so now everyone wants to hold onto a Corpus at their time if Retirement.
And holding a Retirement Corpus even though sounds hard but can be done by the simple process of Saving and Investing Consistently with the important part is being Consistent. Even though times are changing but still a lot of us don't actually have a Retirement Corpus in place or even try to make a Retirement Corpus. So let's point out some points that can help us make progress towards making our Retirement Corpus a Reality.
Stop the I Deserve This Attitude
Yes you earn your own money and you deserve it but that doesn't want you earn 1000 USD and you spend the entire amount on having experiences then you are definitely not going towards the direction of Financial Independence.
Avoid Budgeting
Yes I agree that Budgeting is important but only if you are having a month where your finances are dire then it's ok to Budget your expenses and everything but only for those months when you are in bad shape but making that a habit leads to you always having a mind that works for a budget. So there is not a lot of room for Investing.
Have an Emergency Fund
I have always stressed how important it is to have an Emergency Fund where you park almost 3-6 months of your monthly expenses as life is unpredictable and you could use this fund incase of a Job Slump or any Natural Disaster.
Use Multiple Bank Accounts
The reasoning behind using multiple accounts is simple, whenever you are paid your salary simply transfer a set amount to your other bank account which will be your Investment Account and you invest regularly from that Account. Any other transaction you do it from your man acount nnd you never touch the other Account as it is strictly for Investment purposes.
These are some things that I like to make sure is taken care of in my own journey towards Financial Stability.
Posted Using InLeo Alpha