Jamila Hussain is a teacher by profession. She knows the importance of managing funds but her husband handled the finances at home. Jamila time and again urged her husband to pay the bills timely, open a savings account in the bank, and clear consumer debts regularly. But her husband was ignorant and when he got ill, they faced a huge loss during the ongoing financial crisis.
Jamila was aware that she needed to step in and manage the funds for herself as well as for the family. She approached a Financial Advisor who advised her to start with financial planning to create smaller goals for her husband who would be reluctant to bring about big changes.
To achieve financial goals and financial freedom, every one of us can benefit by adapting to the below-mentioned checklist provided by Jamila’s Financial Advisor.
Point #1: Clear Your Bills And Debts Regularly
For the success of financial planning, you need to understand the importance of paying your bills and clearing your debts regularly. You can save a lot of money if you clear your debts and don’t pay interest money. It lessens your burden and stress too.
Point #2: Create Emergency Fund
What Jamila learned from this experience was the importance of creating an emergency fund for financial emergencies. You can start by saving a small amount till you can save substantially. You should aim to save an amount equal to your six-month expense as an emergency fund.
Point #3: Make Achievable Budget
According to financial planners, creating a budget is the best way to manage your monthly expenses, pay bills and save money. Keep in mind to make an achievable budget as generally the budget fails when we try to aim higher than we are capable of monetarily.
Also, financial planning is easier to attain when everyone in the family adheres to the budget and puts an effort into achieving it.
Point #4: Save And Invest
Once you are accustomed to following your budget and paying your bills regularly, you should start saving for your future. It could be your retirement, house, bigger car, children’s education, international travel, etc. Simultaneously, on the other hand, Investment planners suggest that you should invest to increase your funds to achieve your financial freedom.
Point #5: Increase Source Of Income
The scariest thought is to lose the main source of income. All the budgets, savings, and investments can come to an end abruptly. It is always prudent to have more than one source of income for backup. It can accelerate your ability to achieve financial goals and attain financial freedom without stress. </p[>
Want financial freedom? Make sure to check all the checkboxes mentioned above!
Expert Financial Advisors, Fincart, emphasize the importance of keeping a regular tab on this checklist to attain financial freedom. You should not wait like Jamila to experience a crisis before taking action. Just like your financial goals, your financial freedom should also be a priority.