Are your finances as secure as you think they are?
Tell us something.
Your personal finances are what scares you the most about adulting, aren’t they?
The constant struggle against going broke. The everyday hustle to make sure those funds never decline even after all the ‘billings’ that come with living in a capitalist society today. The thought of it makes your heart beat really fast sometimes and you would instead not think about it, right?
That’s okay. We are with you. And we understand every single bit of how this might feel.
However, personal finance doesn’t have to be as complicated as many make it out to be. It is simply ‘the process of planning and managing personal financial activities such as income generation, spending, saving, investing and protection’.
Allocating that income efficiently amidst a vast sea of unlimited wants/expenses is something YPFG knows a thing or two about. Here, we leverage our understanding of economic data, trends and outlook to stretch your ‘limited’ resources as far as they can go.
To effectively manage your resources during these times of austerity, YPFG recommends that you ponder on the following questions every so often:
AM I LIVING WITHIN MY MEANS?
Is your standard of living below what your earnings can accommodate? As you advance in your career and gain more experience, your pay should increase. But rather than using this ‘income’ to buy excesses and live a more luxurious lifestyle, the best move is to put the money toward reducing debt or adding to savings. If the cost of your lifestyle lags behind your income growth, you will always have excess cash flow that can be put toward financial goals or an unexpected financial emergency. Make sure that you make use of your budget and stick with that budget as soon as possible.
AM I TAKING THE NEEDED RISKS TO ENSURE FINANCIAL SURVIVAL?
Taking calculated risks when you are young can be a prudent decision in the long run. You might make mistakes along the way, but when you are young, you have more time to recover from them.
Calculated risks that often turn out beneficial may include:
- Moving to a new city with more job opportunities
- Going back to school for additional training
- Taking a new job at a different company for less pay but more upside potential
- Investing in high-risk/high-return stocks
- Stay away from transactions that seem fraudulent.
As people get older, some may assume more responsibilities such as paying down a mortgage or saving for a child’s education. It’s easier to take risks when you have fewer responsibilities. You need to ensure that your finances are as secure as it should be at every stage of your finances.
IS THERE A RIGHT BALANCE BETWEEN MY PLANS FOR NOW AND THE FUTURE?
How do your plans today affect the ones you might need to make in future? It is very important to strike a proper balance between your life today and what you want it to look like in future.
Financially, we can’t live as if today is our last day. We must decide between what we spend today and what we spend in the future. For example, Would setting a short-term goal to save for a trip to a destination you’ve always wanted to see be a better option than using a credit card to finance it right on the spot? Finding the correct balance is an important step toward achieving financial security.
DO I NEED HELP ON THIS FINANCIAL JOURNEY?
Wealth preservation and growth can be confusing and a lot to take in for most people. You don’t have to navigate through all that murky landscape and get weary by yourself. There are experts at YPFG that can work you through the process swiftly. Yes, they come at a cost, but paying a little fee to get long-term beneficial returns sounds like a smart choice, no?
Do well to take the necessary steps to ensure that your finances as secure as they should be, join the right communities such as YPFG community today.