Money is a need for every one of us. But the reality is, you need it more in the future than in the present. Because in present, you know what you need. But the future is unpredictable. So here comes the concept of Financial Security.
Finance security is about managing money well, in such a manner that you can handle future expenses, also to save yourself from bank loans.
Not Focusing on current spending & earning, is the reason we have larger debts.Here are other things we need to keep in mind, that ensure our future is financially secure.
Understand for your Earning Resources
Take a look at the present, from where you get the money. Find out the source, which brings finance for you. Also, look for the future market of the present source as well. Count on how much increment there will be in finance source in the future. That will give you a clear idea, and also create another’s ways for money to come in your pockets. Don’t rely on the single income, Just don’t.
Mind your Buying Habits
May you have that good earning that so you can buy all the things you want. But remember the prices of thing increases faster than the incomes. So instead of keep buying the latest things for stay updated, keep your habits under control. Think about Do you really need that updated mobile phones, or that branded new stuff now?
It’s your recent purchase habit that impacts on financial security. So mind your habits well, because it is the reason why you will not have to see a Price tag in the future.
Nature of Saving or valuing the Money
Saving money is the sign that you value the money. Your purchase habit can dig a hole in your pocket, so instead buying the things not useful, make sure to save that money for future. Every Month, make some portion of your income as saving purpose. And follow that as well. You can skip that plan for a movie or dinner with friends and save money. All you need yo do is seriously think about spending money and that’s how you can think positive and be happy about your future.
Investing is a thing you need
Saving a money sole will not give you financial security in the future. When you save & manage money, the size of the finance remains the same, or it increase like nothing at all. So it’s better to invest more than a save. Saving can give you a short term financial planning, But Investing your money generate the sources of income for you.
Look for personal & family Health
Life is unpredictable. So it’s a must for everyone to take personal life insurance ,over an uncertain future. You also need to ensure your family against that. Make sure you covered your family & yourself prepared for the health issue before it happen. Think in advance, because life is precious & uncertain. So Be prepared for that.
Figure out what is Need & Desire
When we understand the difference between Need & Desire, we save our self from financial insecurity. Actually, we spend most of our money on the things which we don’t need. We need to ask a question before making big buy, Is it my need which I’m fulfilling or my desires? Need have to fulfill as it occur, But we can postpone our desire.
Mind your monthly Budget
Make a habit to set the predetermined budget of yours. No matter how much money you make, but a budget is a requirement for everyone. Having a budget will be the reason for your financial security. Your budget give you an idea about what is needed and control your unnecessary spending so that you know where your money gone.
Think in advance: Retirements
In order to attain financial security, you have to think in advance. Think about your retirement from now, even if you have just started your career. The earlier you follow, the better is for you. Think about your retirement plan and life after retiring from work. Start funding for your retirement at the early ages, so you don’t have to worry later on. Manage your money by think about the future needs. Don’t place yourself in situation like- things i wish i knew it earlier , so better start work on it now.
Try not to incur more Debts
Before applying for the credit card, ask yourself: Do you really need this? Remember having a credit card may seem a luxury to you, but it’s an investment for your banks, an investments which give a good return. Control your purchase habits, or if possible then make a habit to do the payment on a cash only. This way your money will not be wasted unnecessarily. Not now but, this definitely one factor for financial security. Because when you pay in cash, you tend to spend it more wisely, than to pay via cards.
Money leaves them, who don’t know what to Buy,
Stays with those, who know how to save,
And secure them, who know how & Where to Manage.
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