Defining (and Reaching) Financial Security
Most of us have at least a vague goal of reaching “financial security” at some stage of our lives. But what is financial security, exactly?
We have to know that before we can get there. In fact, defining it is part of the process of becoming financially secure.
Start by thinking about what a financially secure future would look like for you. What would that future include?
It might include things like:
- Having a paid-for house
- Having adequate insurance
- Having a well-funded emergency fund
- Being out of debt
- Having a steady income
- Being worry-free when it comes to money
Once you have things clearly defined, it’s easier to prioritize each aspect of financial security. You can then break them down further into the step-by-step actions you’ll need to become financially secure.
Big goals are most easily achievable when they’re taken in small, day-to-day steps.