We live in a time where money is something that is hard to earn but easily taken away due to the high cost of living. Being able to live financially secure dictates that you have a financial plan, at the very least, some sort of system that ensures you survive if — god forbid — you were to lose your means of making an income. These 5 financial tips for the future will help you stay afloat and be able to deal with any unforeseeable situations that could occur.
Have A Kids Future Fund
I decided not so long ago to start a separate account dedicated for the kids of my future. A lot of people wait till they actually plan on having a kid but by then you have all these new expenses to take care off and end up cutting back on saving enough for your retirement and vacation fund, let alone a kids future fund. Start early; it could be even 50 bucks a month for now. It’s a great way to ensure your kids have some tertiary education funds available.
Don’t Take More Than 1 Credit Card With You When Shopping
Shopping is one activity that can easily throw you into debt, especially when you make frequent visits to the mall. The best thing to do is leave your credit cards at home and carry a designated allowance amount with you to ensure you don’t over spend. Credit money is not money you own, it’s money you will owe! Remember the difference.
Plan For Your Mortgage
You may have dreams of owning an apartment or a house someday so it’s wise you work your income to accommodate the possibility of taking out a mortgage. Go through house catalog and choose something you like, inflate the price by 10 percent, and work out what you would need for an entire year worth of mortgage payments. You could use a free app to do this or manually work out a mortgage plan. Afterwards, figure out how much you can afford to put away into savings for a mortgage. Reason being, by the time you take one out, surely you’ll be paying it with your salary. But if you were to hit a bump in the road, you have this savings to buy you enough time to get back on your feet.
Believe it or not, foreign exchange trading can be profitable if you actually have the chance to invest. There’s many potential countries that have a low currency now but are on the road to growing economically. If you invest small amounts of cash every month or 3 months, in a few years you can trade and sell your invested currencies to make a substantial profit. There are many seminars and blogs that deal with forex specifically – if anything it makes for an interesting read.
Learn About Frugal Living
To be financially stable is being able to live smarter and wiser. The way you manage your money now can really impact your future which is why going frugal is the way to be. It’s not exactly convenient but a great way of surviving in harsh times. Opt for cheaper over branded stuff at times.
I read a very interesting quote: “Rich people invest their money whilst poor people spend it.” That’s really something to think about. If you take the first steps as listed above, your future will be a lot more financial stable and secure. Try to implement at least one of these tips into your life as of now and you’ll be doing a great deed for yourself in the future.
Additional : Download Free Mortgage Calculator App