What Are The 5 Levels of Financial Freedom?
Money is something that may come slowly but slips off your hand like sand. It is one of the major motives of hectic working hours. Everybody wants to earn well or at least more than his competitors. And why? Well, all for the sake of earning well and getting a stable status in the society.
If you’re one of those who is interested in financial matters, then you must know the value of having financial freedom and why doing an apt financial planning can give you a secured future forever.
For those, who just have started earning and doesn’t have the responsibilities of their families then maybe you would not take that much interest in this concept. But for others who wish to give their families a secured future fulfilled with all the financial requirements, getting done with financial planning is a must.
And in case, till now you haven’t thought about it ever, let’s initiate our first step towards giving our family a reliable life by understanding the 5 mandatory levels of financial freedom.
- Decide goals – Start with counting on your sources of earning and keep a record of how much you earn monthly. Your financial plans and stability completely depend on your earned money. Begin with a systematic financial plan such as- how much money you need for your house EMIs or for the grocery bills. At an initial stage, go for a monthly budget only then expand the time-bound, once you feel you can implement it well.
- Think of your life protection – This is the best thing you could gift to your wife and kids. Get a life insurance so that your family gets financial security even after you leave them. Apart from your own, get insurance for your home, vehicle, health and start paying off all the income tax bills accordingly.
- Control expenses – Analyze where you’ve been making unnecessary expenses and try to cut off them as soon as you can. This not just brings back your finance on track but helps you lead a better lifestyle as well. Instead of spending your hard earned money on dining at lavish hotels, go for investing the same money in different assets or metals which may add a lot of value to your money with the pace of time.
- PACE protection – Keep your hawk eye on PACE protection. PACE (P for Precious metals, AC for agricultural commodities and E for energy) includes the number of assets you have collected or earned throughout your life. Securing them all with insurance covers can give you a better and secured life. Insurance money (if saved) can act as the biggest helping hand in your rainy days.
- Revenue expansion plans – At last look for ways through which you can expand your revenue. For instance, invest in Forex or any other stock exchange market. But make sure to go for a reliable and secured medium only.
The concept of financial freedom can only be attained if you have the right plan with you. For this, consulting a cash flow expert or even an accountant can help you get a better control over your expenses and revenue generation. Taking tiny measures from your end can lead you to easy financial freedom.