Emergency Fund

What’s in your wallet? Do you have enough money saved up to help out during the rainy days. If you don’t learn the first step of creating an emergency fund.

I read about many personal finance mentors such as Dave Ramsey, Suze Orman, Larry Burkett to name a few, they all advise to have a emergency fund. There are many several ways to create a budget for yourself by setting aside a small amount weekly, monthly depending on your cash flow.

What’s In Your Wallet

money in my wallet

The best ways to create an emergency fund if you don’t have a hugh amount to set aside. First figure out what is your target amount. Estimate your expenses, such as Debt, Personal expenses, Food, Housing, Utilities, Transportation .

If you feel you need to save more , it’s not a good idea to save 3-6 months, because your emergency can become more in depth, so having the extra amount saved up will tremendously help out. So try to expand your emergency savings to include :

  • If your income is not steady
  • Common layoffs with a high-risk industry
  • If retired, your money may be in a bond investments or voliate

Let’s Do It

Are you ready

You can save enough money, Don’t worry, build it up over time on a regular basis every week or whenever you get paid. Overtime you will reach your goal. The importance is making the first baby steps. For example , if you can save $20.00 dollars a week in 2 years you saved $2,080.00 you can add more to it as time goes by and reach your target. Just image you increase your amount to $40.00 you saved $4,160.00. So investing in yourself helps and changing your outcome gives you something to look for in the time of need.

Cashflow Personal Plan

The Cashflow Personal Plan is detailed to how you apply discretionary cashflow to your personal finances each month, weekly, day-to day expenses.  An executed plan is more better than no plan at all.  Provide yourself with the necessary tools to take action and change your mindset and stop the stinking thinking. In return it give you extra cashflow to begin and empower your life. Begin to scratch away your debt by reading the steps below.

Step 1:  Get as much cash as possible each month, whether its Business income, less taxes or W4 adjustment, eliminate debt, less expenses, and apply it.

Step 2: Begin an emergency fund, you choose your range of emergency fund   for yourself, for example 3,000.00 , you can put it into  a money market , municipal bond fund instead of your regular checking/savings account.        emerency fund You can make a periodic deposit until you get to $5,000.00 , move it to your emergency fund account, and separate  it from your other accounts.  WAIT on step 3  until step 2  is complete.

Step 3: Invest in a retirement account such as 403B, 401k, Roth IRA, IRA, Simple SEP IRA. IRA, Annuity and on a monthly basis put away 5% of your income, WAIT on step 4 until step 3 is complete.

Step 4: Take your after living expenses and set up the Debt Elimination Plan.  Start paying off your consumer debt.  WAIT on  step 5 until step 4 is complete.

Step 5:  If your not using your retirement investments, raise your payments (step 3) WAIT on step 6 until step 5 is complete.

Step 6: Take your available monthly cashflow and build your emergency fund, will be built in three-six months living expenses should happen quickly by less, taxes, debt, expenses, business income.  Wait on Step 7 until you complete step 6 is complete.

Step 7A:  Buy a home, if you are a renting, and proceed to 7B.  If you buy your home go to  step 7B.

Step 8:  Begin an investment portfolio and increase the amount over your retirement accounts, endless options are available such as Mutual funds, ETS’s, annuities, Real Estate, Bonds, Stocks, and by the time you receive extra cash you should be at this step and increased your financial literacy.

If you use step 2 or step 6 replace it before you go the next plan , recommend to pay off your mortgage before going onto step 8, it’s less risky , if you want to invest go to step 8.

Note: This Cashflow plan is only to address a cash flow system that helps you in a financial situation.  If you have any additional need it is wise to seek a financial advisor.

 

 

 

 

It’s Your Choice To Be Debt Free

It really is a choice,  What are you going to do about it.?    If you have not  experience the feeling of working less, retiring young, establish a real savings account, and becoming a smarter spender.  Think about your choices and start by investing in yourself and make your money work for you.

What Would You do Without Debt

“Without Debt” would be awesome, if you gathered up all your bills you pay each month, what would you do with the extra money; if you are not applying it to your expenses such as mortgage, car loans, or credit cards. Would you invest into your future or deposit it into a saving account.

There are several ways to take advantages of extra cash, owning your own business, seeking a financial adviser to help you invest and educate yourself. Its important to know that in the long run it pays off if you stay the course.

Financial Freedom

Freedom allows you to free yourself from worrying, you are able to work whenever you want, anywhere or anytime. happy couple debt free If you are working and don’t like it you can quit your job. Debt can be stressful at times it always there, it never goes away unless you make the money work for you. If you take the time to educate yourself it plays a major role in your life financially. It shapes your situations gives you a realistic goals not to give up.

If you want it brand it yourself, make changes, start investing, exchange time for money, say no, focus on your goals and success, network like crazy. Imaging waking up every morning knowing you can spend the day to do whatever you want. I would travel more go visit family and show people that it’s possible. If we can support small or big business why can’t we have a piece of the pie.

What Is Your Action Plan

What are the necessary steps are you going to take and change your life style. It can be overwhelming where to start is first with yourself, Are you going to take on the challenge ? Or you going to wait for time to pass you by. If you decide to take an action these are the goals you should work on.

The seven steps is a huge life change for you so make it work  for you and follow the steps below:

  1.       Change your mind the way you look at situation
  2.       Create an emergency fund
  3.       Prioritize
  4.       Budget
  5.       Reduce your spending
  6.       Invest in your future

Share your valuable lessons and educate your family and leave a legacy.

Financial Success

After you have accomplished your goals, What are you going to do different? Hopefully, you stay on track and don’t repeat the cycle. Identifying a clear objective, it’s very critical to anyone’s finance. A financial goal is setting and determine the amount of cash you put away for a specific purpose. When you reach the amount track your progress.

There are three types of goals: Short range, Mid range, Long range. A Short range is less than twelve months, Mid range is one to five years, Long range is more than one year. For example: Short range goals is something you desire such as vacations, electronics or what you determine is a short goal. Mid range goals can be a down payment on a house or sailing boat. Long range goals is when you are investing in a child higher education when they get older, or saving for retirement, owning your own business.

Use a Financial Chart to help you determine your goals and how much to put aside each week, month. Use Step 3 and 4 can determine your realistic goals. Look at your expenses whether or not you can increase or decrease your expenses and adjust accordingly.

Your priorities is essential you must develop it. If you decide to share your finance with someone discusses your priorities together. Communicating with each other to determine the best approach. It’s wise to know where your cash flow is going each month. If not you are not by yourself, have an accurate figure you want to track your spending daily. Use the weekly and monthly worksheet  this is a very helpful tool and you can fill in your description.

If you want to be happy set a goal that commands your thoughts, liberates your energy and inspires your hopes, words by Andrew Carnegie.

 

 

Home Based Business

we work at home

If you are reading this article you came to the right place, either you have a  business or looking for one.  I know if you have a business it can be very rewarding, keeping good records is very important.

Whether you decide to have a  home-based business or not there are personal tools you can for personal growth.  I use  a cash flow app called cash flow manager  I can download it on my phone its allows you to take a picture of your receipt and enter your invoice in the palm of your hand, you can even upload it to your file.  It has a unique tool for GPS mileage, expense, income tracking system at your fingertips.  It’s very user friendly and it allows me to stay organized so at the end of the year you have no worries.  .

If you have business whether online or not one of your expenses may require you to travel, why not receive discounts flying or even going on a cruise business related or not. I love shopping and use a cash back mall places where I normally shop  I get discounts this definitely increases my cash flow and  saves  money and time.

Another great feature I used in the past is a credit  repair system which allowed me to repair my own credit, monitor your credit and score.  I was able to apply for credit and to educate myself, why pay someone else.

There are so many other opportunities  available. When you have a business in general you can increase your income, work from home and change your life and family.   If you are interested in learning more about this great  opportunity view the products they offer.