A worker or trader, even a student, is expected to use resources to make better financial decisions to ensure a better financial future. Whatever you do with your time and money will affect you and your dependents now or in the future.
It is important to save and invest to guaranty a healthy future without cares and worries about where the next meal will come from.
For workers and traders gainfully employed, it is also important to watch out for financial distress signals to stave off plunging into a deep financial crisis.
Below are a set of quick responses you may apply to nip in the bud any financial distress signal.
• If increasing percentage of your income goes into paying off debts, quickly work out a plan to liquidate the debts to maintain a debt free living with a savings plan to invest and create wealth for the future.
• Are you living on credit lines? Plug the hole by gradual reduction of exposure to debts.
• Do you worry about low pay and income? Quit the job or business and switch to something more worthwhile.
• Are your savings inadequate or non existent, and tapping into little savings to pay bills? Shun consumption of certain utilities.
• Do you put off medical or dental visits because you cannot afford them? Health is wealth. Plough the much you can to ensure good health and fitness.
• Do you work overtime to make ends meet? It is welcome to put in extra time if that is required to keep you in good stead. But watch your health.
• Is your car off road? Are you unsure of how much you owe your mechanic and other creditors? Much as the car can remain off road, determine how much your debt is and work out a plan to pay up.
Selling off the car is not a bad idea if it is depreciating and siphons off your finances. Release the car and plough the proceeds into income yielding ventures and not to service debt.