http://www.care2.com/greenliving/creating-financial-independence-in-your-life.html
Creating Financial Independence in Your Life
By Cheryl Saban, Intent
Recognition for the significance of your contributions and the validity of your participation in the overall economic stability of your life is an important factor in the development of your self-concept. Please consider the following basic tools to get you started on your path to financial freedom.
- Get a clear understanding of your financial status; calculate your net worth by adding up your cash assets, property, and personal belongings, and then subtract your debt, including home mortgage and credit cards. You’ll have an instant idea of your net worth. One general paradigm to use as a guide: a healthy net worth equals your age times 10 percent of your pretax income. What a wake-up call, eh?
- Manage and track your spending. You’ll soon see where you over-indulge.
- Start a savings account, and save as much as you can. You’ll need it, trust me.
- Reduce credit card spending. Duh.
- Ask for a raise. Duh.
- Be reasonable with yourself; if you can only save a little, then save a little. Remember the old adage that “if you put a little on a little, soon you will have a lot.”
- Protect yourself: maintain a marketable skill. Continue to learn – even when you must duck out of the job market periodically to have children, or attend to other family responsibilities, you want to be able to jump back in when you’re ready.
- Retain a financial advisor.
- Adhere to the basics of financial planning: spend less, save and invest more, and follow a plan.
- If you’re married, know what your personal financial liabilities are. If your husband or partner declares bankruptcy, you could be forced to claim bankruptcy too. What then?
- Make sure you have adequate insurance coverage.
- Help yourself. Take some responsibility for your own future. Open a retirement account, like a 401(k), or IRA, and invest as much as you can in it.
- Be honest and open about your feelings and expectations regarding financial arrangements.
- Communicate. Work out a harmonious budget that brings into balance all the contributions both of you make to your life together.
In my final posts, I will discuss one of the most important aspects of creating a sense of self-worth and that is to give back to your fellow women in ways both big and small Ready to asses your self-worth? Post your intent and blog about your journey, tagging your posts “self worth” We may feature your post in this series!
Intent.com provides content and community for who you aspire to be–personally, socially and globally.
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10 comments
add your comment »Thanks Robyn!
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Wow, great tips! thanks :)
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Don't forget being frugal on vacation. Live on vacation at the same standard as you do at home. Use one of the many Online Travel Guides to plan the trip.
People save all year, splurge on vacation and spend the whole year paying back.
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this is a fabulous article.
i might add that some people just need to get off their lazy backsides and take the initiative to get a job or second job, etc, whatever it takes, to bring stability to their lives.
i know a person that i tried to start several endeavors with over the last several years that is in his late 40s still living at home with the parents who continually enable his sponging behavior and it never went anywhere. this person and others like them continually mismanage money, have no solid structure in their lives and usually other vices that contribute to their financial as well as other woes in life.
there are many people just like that person who are allowed by friends, family members, etc, to get away with this behavior and it doesn't help the person in any way - it only continues to hurt the person as well as all others around them.
like suze orman says, help them - by saying NO.
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Three cheers for achieving one's own financial independence!(-:
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Good overall checklist for getting on top of the budget. Within each are numerous other areas to examine, however. Like several posts above, I decided to look at what was being spent on cleansers, cosmetics, and even gardening products. Not only am I saving money, but I am contributing to the well-being of the environment and am just as happy with the result of the home-made products.
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It is very useful for me. Thank you for the article.
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You can search for Socially Responsible Investment (SRI) financial advisors at http://www.claroconnect.com
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What it comes down to is, with few exceptions, each person must be responsible for his or her own financial well-being. According to the U.S. Census Bureau, 73% of women with children between the ages of eight and sixteen (no child under eight) are employed.
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This is something I wrote on saving money- For many people it may be useful
Dealing with the personal financial crisis -A couple of hints on money saving
Two big cost items are toilet”necessities” and cleaners
1Toilet stuff
Shampoo-
two egg yolks in warm water on hair 5 minutes and rinse off- takes care of shampoo and conditioner costs per week.
If like me you have nightmare hair which no amount of conditioner will fix,try honey and olive oil mixed and applied-work out what combo that works for you _I think mine is one to three or four honey to oil.
Soap
If you get the cheapest soap cut it up and boil it with about eight to three ratio olive oil to soap
and put it in old glasses from Vincent de Paul or upside down lemon squeeze things or bowls You can get the equivalent of Marseille soap (ie very expensive- 5-7 dollars per cake in health shops-) If your skin is dry add olive oil after washing- As early as Plato it has been noted that olive oil is good for you both inside and out.
Toothpaste-
mixing bicarbonate of soda with water makes an adequate tooth cleaner-Used to be all toothpaste was before they started putting plastics and bleach in it-both plastic and bleaches can be carcinogenic so bicarb may even be a health measure.
Body Oils
- olive oil + any “essences” eg lavender/violet -or lash out pure essences in New Wave type shops-a few drops to a bottle of olive oil makes something deliciously luxurious for t
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