Secure Your Present: 5 Core Financial Tips for Individuals

As someone who knows finance both at work and in everyday life, I want to share the principles that have helped me to build financial security and literacy. They are based on university theory, practical work experience, a mix of finance and psychology books, and of course, my personal experience.

1. First and foremost, be mindful of your income and expenses. Define the following:

• income sources: to know how much you can manage each month.

• life goals and direction: to understand your needs in this stage of life.
• basic expenses that are aligned with your life goals, not impulse purchases.?

Income >>>? Life goals? >>>? Budget?        

I recommend creating two budget versions: one is for your current state and one - for your ideal future plan. Simply by mapping out your budget, you will be able to answer many questions about your finances.

2. Next, create a financial cushion to deal with unexpected situations and for your stable inner state. As the saying goes, money attracts money. In the next article, I will share how to build this cushion without stress.

3. The first two points are the base. Once you have those in place, you can proceed to establish passive income channels. Some options include investing in stocks, setting up a savings account, or exploring riskier avenues like business investments and venture capital.

4. Create an additional source of income based on your specialization or hobbies. For bloggers, for example, this could mean branching out to new platforms like Pinterest or offline advertising. Experienced professionals might start sharing their knowledge through consultations. There are plenty of options available; find the ones that suit you best.

5. Maintain an easygoing attitude. Money thrives on ease and playfulness. While it’s great to have a plan and be disciplined in its execution, aim to do so without stress.

Create a relaxed budget that feels comfortable and allows you to reach goals, as well as have some fun, and spontaneous spending.

These may seem like straightforward points, but life is often simple, isn’t it? :)

If you are able to implement them - fantastic! If you are looking for support or guidance, feel free to reach out. Together, we can create your personal financial plan.