Advertising
Advertising

7 Smart Financial Moves to Make Right Now

7 Smart Financial Moves to Make Right Now

Life can be unpredictable and you have to be smart about your choices. Financial independence is something that you must aim to achieve as soon as possible. It is easy to get lost in your plans for the future, so much so that you can lose sight of your financial goals. However, it is possible to stay on track! Not only that but you can use these tips to bring yourself out of debt. The pointers below involve different aspects of your life that will ensure you are financially sound now and in the future.

Here are some things that you must do right now to live a financially stress-free life.

Advertising

1. Revise your budget.

Time has elapsed since you set your last budget. Revise your budget as your financial needs may be different now. It will also be a good opportunity to make your budget even more realistic. You will get an idea of expenses you need to cut down as well.

2. Don’t take the focus off your health.

Don’t let your health suffer because of money. Check different health insurance options that make the best of your health. Go visit a physician if you haven’t already. Ask your workplace about reimbursement or discounts on gym memberships. You will be surprised how easy it is to save money on health.

Advertising

3. Calculate and pay your taxes.

It is your responsibility to pay your taxes. It is a lot easier for you to pay them in quarterly installments. If you are a freelancer, you are obligated to file and pay your taxes in quarters. The I.R.S will not fine nor penalize you if you pay your second quarter taxes by June 15 of the tax year. Paying your taxes quarterly is more beneficial than paying them annually, as it is easier and more convenient to calculate as well as pay them.

4. Review your performance at work.

It is one of the most important yet the most ignored to-do chore. You don’t realize that the better you perform, the greater benefits you will get. You can ask for a raise, flexible hours or even an office. So review your performance against your workplace benchmarks and then set up a meeting to check in and negotiate with your boss.

Advertising

5. Involve your partner in setting a financial goal.

Your partner should be a part of all life-altering decisions. Involve them in making financial decisions as they will be affected by them too. You can both work together to form a financial plan. You can either maintain a single joint account, or decide to keep separate accounts. You could make either a short-term goal or a long term goal, such as saving for retirement, a house, kids’ college tuition or even a cruise holiday. Establish each others’ role and responsibilities that will discipline you into reaching that financial goal.

6. Save as much as possible.

Spend as little as you can and make as much as you can; that way you can save more. If you are enjoying retirement, spend carefully, but if you are in the peak of your youth save as much as possible. Create emergency funds so you can have a safety net to pull you through hard times.

Advertising

7. Pay in cash.

The rule is: “If you can’t afford it, don’t buy it”; measure your affordability in cash so you don’t have to opt for a credit card and enslave yourself to debt. The “pay in cash” rule should be followed no matter what stage of life you’re in. Make wise choices when spending your cash because you could have easily saved that amount for emergencies or future expenditure.

Featured photo credit: Ken Teegardin via flickr.com

More by this author

Tayyab Babar

Tayyab is a PR/Marketing consultant. He writes about work, productivity and tech tips at Lifehack.

Top 25 Books to Unleash Your Creative Potential 10 Traits of Sucessful Heroic Leaders 25 Signs That You’re A Mentally Strong Person 10 Astonishing Benefits of Marmite That Will Turn Your Hatred Into Love 5 Fun Ways to Make Money Online That You Should Try

Trending in Money

1 Life Insurance: A Secure Way To Protect Your Future. 2 How To Save Money On Groceries: 13 Quick Tips 3 10 Investment Tips For Beginners 4 Top 6 Hacks on How To Build Credit Fast 5 Want to Get Free Product Samples Like Bloggers and Beauty Gurus Do? Read This.

Read Next

Advertising
Advertising
Advertising

Last Updated on March 29, 2021

Life Insurance: A Secure Way To Protect Your Future.

Life Insurance: A Secure Way To Protect Your Future.

Life is a journey full of ups and downs. No one can actually predict what might happen the next moment; there are times where the happiest moments do not even take a second to turn into the gravest. Planning for your future can help you face such unwelcomed but irrepressible situations with much ease. We all want to make every memorable event of our life more special and to cherish all those moments happily and worry less, you must financially plan your future. But no one has control over life and death. Who would wish to see his family suffer in his absence? Insurance hands over the financial jeopardy of life’s happenings to an insurance company.

Importance of getting a life insurance

No one has control over life and death. Nobody would like to see their family suffering in an absence, and that’s why many people recommend life insurance. A life insurance plan is one of the best ways to secure the future of your family, even against those financial troubles after an untimely demise. These plans are safe and credible, and you could trust them for your family’s better future.

Advertising

On the other hand, a life insurance policy is a contract between a company (insurance provider) and policyholder in which the insurance provider ensures to pay a certain amount of money to the nominated beneficiary in case of the policyholder’s death during the term of the agreement. There are different types of insurance plans, and it is important for you to know the benefits of those plans such as a funeral, medical or some life expenses provided they are mentioned in the agreement.

Choosing the right insurance plan

If you’re about to select an insurance plan, you should consider some important factors:

Advertising

  • The time at which you start investing in a program and the number of family members you want to get insured. Obviously, a married man with two children has different needs compared to a single one. The number of persons who are dependent on an individual also varies from person to person.
  • The next thing you need to consider is you and your family needs. What are your child’s dream, your retirement plans, for how long would your dependents need financial support, any personal injury, etc. And do not forget those events or situations that will surely demand a huge sum of money.
  • The next thing one must consider is your current income. You should preferably choose a plan which you can afford.

Now you must be having a pretty clear idea of how to choose the best plan for you. Further, you should also compare various plans offered by different companies and numerous sites available online that help will you to compare them.

Differences between life insurance plans

Here’s a short brief of some plan categories you can choose according to your needs:

Advertising

  • Term Insurance Plan – You have to pay once, and your nominee gets the paid money under your misfortune demise. It ensures a person for a fixed time. If you survive the policy period, you do not get your premiums back.
  • Whole Life Policy – This plan continues for your lifetime. Under this, the policyholder has to pay regular premiums, until their death.
  • Endowment Policy –  In case the individual dies during the tenure, the beneficiary gets the amount assured. If the person survives the policy tenure, they gets back the premiums paid with other investment returns along with several other benefits.
  • Money Back Policy – In this a portion of the money invested is returned to the investor at regular intervals. If you survive the insurance term you get the entire amount back; else the beneficiary receives the entire sum assured.
  • ULIPs – These are the life insurance plans that offer you future security plus wealth creation options.

Many people do not opt for whole life policy and endowment policy because of the high amount of money you need to pay, while others may prefer to opt for these if they have a high life expectancy. Surely you will find the best one for you.

So what are you waiting for? Plan for your future and live a happier and carefree life today.

Advertising

Featured photo credit: aryehsampson.com via aryehsampson.com

Read Next