Individuals and families are faced with the challenges of an economic crisis, while trying to maintain or achieve financial stability. Majority of people in the United States are either low and middle class, while 1% includes the upper class that makes up 40% of the nation’s wealth. In addition, almost 80% of families live paycheck to paycheck and are unable to maintain financial stability in the event of an emergency. For many this means receiving financial aid from federal, state or private funded programs.
One common goal for many individuals and families is to obtain financial stability; but, how can you achieve this goal, when you consistently face economic challenges? Many families are faced with limited income due to the lack of personal savings. No one’s situation is the same; however, many are faced with similar circumstances. Financial stability can also affect businesses.
What does this mean? This means that everyone is trying to survive economic loss without compromising their lifestyle. There will always be economical challenges, however individuals and families need to better prepare financially in the event of an emergency.
Financial Stability is being able to still pay your debts, bills, personal savings, financial goals and savings in the event of an emergency. One way to achieve this goal, is by implementing the following steps below:
• Make your finances personal
• Understand that the most important investment is yourself
• Earn income by doing something you enjoy
• Start a budget
• Live below your means
• Create an emergency fund
• Pay off your debt
• Invest for retirement
• Make sure you have some fun
• Stick with it!
Take charge of your personal finances to live life on your terms without living paycheck to paycheck. This seems like an unreachable dream, but it is very much within your reach. While I won’t make specific recommendations here, your local library has books that can help you reach your financial goals and add some financial stability to your household. Use the resources available to you to lighten the burden during economically hard times.