Hello everyone, hope your doing fine,and your day is going well.
l will be talking you on something very important to the society;
strategy on how to be financially stable.
Financial stability is defined as a state which individual, organisation or family has a secure financial circumstances,characterized by;
Here are five strategy for financial stability:
INVESTING FOR THE FUTURE:
Allocate a portion for your income to long-term investment, brokerage account consider partnering with a financial advisors have an investment strategy.
RISK SECURITY:
You have to protect yourself and loved ones from the financial risk, investing the insurance coverage e.g; renters insurance, homeowners disability insurance.
EDUCATE YOURSELF:
Learn about your personal financial by investing and Monday management,clear. your financial purpose, saving for a down payment on a house,create a plan to achieve them ,a big purchase, retirement.
BUILD EMERGENCY SOURCE:
You can actually save up to 2- 8 months of your living expenditures and ready to access your savings account,this will help you weather unexpected outlays job loss.
IMPROVE AND OVERSEE YOUR CREDIT GRADE:
Your credit report often ensure its accurate work on how to improve your score by making keeping credit utilization low,on- time payment.
KEY COMPONENT OF FINANCIAL STABILITY:
EMERGENCY SOURCE:
Having a safety net to your savings to fall down on, with an unexpected disbursement or shocks in your finance.
SMALL FINANCIAL EMPHASIS:
When you have a feeling of security and in control of one's financial situation,it helps minimize tension and nervousness.
PLIABILITY AND ADAPTABILITY:
Having the ability to adjust to changes in income, expenditure or financial affairs.
IMPORTANT OF FINANCIAL STABILITY:
- Limited financial tension and nervousness.
- Increased sense of security and well- being
- Enhanced solidity to achieve long-term targets.
- Improved pliability and adaptability.
- Better management of debt and bills.
- Increased savings and wealth accumulation.
BENCHMARKS OF FINANCIAL STABILITY:
- Debt-to-income ratio below 36%.
- Emergency sources covering 3-6 months of bills.
- Retirement assets on track to meet targets.
- Stable and predictable earnings.
- Low financial distress and worry.
Financial stability is something important that should taken into consideration by every individual and home.
I invite @somuchgrace, @hively and @sirdami to join this initiative.
https://ecency.com/hive-178437/@hive-reachout/hivereachout-weekly-prompt-30strategies-for-maintaining-financial-stability-6jt?referral=somuchgrace
Posted Using INLEO