Being financially stable and independent is supposedly a goal for each one of us. More often than not, we add it to the list of our resolutions at the beginning of each New Year, and it is likely to tell that this year is no different. However, things do not always go according to the plan on paper. One of the reasons for this is our money-handling mannerisms. Yes, you can only change your financial health if you get better with money. Now, here are a few simple tips that can help you fix this.

Can you really be financially independent? Thats often a debatable question both in finance classes and in these streets. Well, you can! In fact, it starts by acknowledging that it is not only possible to achieve financial independence but also live debt-free life.

However, this is only possible if you budget for your needs, and live within your means. In other words, spending a small fraction of what you are earning is one of the best ways to have financial stability and freedom. Personal budgeting doesnt need a lot in terms of financial skills. You can use personal budgeting apps and other tools to help you track your budget and cash flow.

Putting an extra coin in an income-generating plan is a sure-shot way of safeguarding the future. Its an insurance policy financially. Although investment plans will vary depending on such factors like age and financial ambitions, you ought to implement this personal finance advice to secure your future. Try to invest part of your income in a venture that makes you some money now and in the future. Its one solid way of securing an independent financial future.

In life, there are rainy days, and the only way to survive through them is by making hay while the sun shines. Yes, that may sound like a clich, but in the context of a safe financial future, it makes sense!

Different people have different earning patterns. Some wait until the end of the month for their accounts to chime. Others earn on a work basis and therefore the payments might be irregular. Still, there are those, like freelancers, who only earn when some paying job is thrown their way.

It doesnt matter what your earning pattern is. The fact remains that you need a savings plan that suits your future needs. Opening a savings account and setting a savings plan can help one navigate financial shocks of an uncertain future. This can be achieved by setting aside a certain percentage of your net earnings and depositing in a savings account, especially one that you can earn some interests and dividends from.

There are myriad motivations for saving, besides financial security. Your savings will help you settle a debt in future, or buy some property, or add to your investments etc. So, you should start saving as much as your earnings permit to improve your financial health.

Money brings with it burning passion. As the one earning it, you feel the need to spend it in satisfying not only your most necessary needs but also the insatiable wants. The defining gap between the two is usually too narrow to differentiate. Thats why you will buy ice cream when its sunny and still buy a bottle of water.

Whats important here is deciding what you cannot do without and spending on it, while keeping discipline to avoid spending on items you can conveniently do without. As such, it is important to cultivate a culture of budget spending on things that you need and completely avoiding impulse buying or unplanned spending.

Regardless of our financial strictness, there are times when taking a debt becomes a necessary part of financial growth and survival. For example, you can take a debt to expand on your business, settle for medical bills, accelerate a start-up, etc. Whats quite important in this case is to only take up necessary debt with a well laid out plan on how to repay the debt. This helps you to avoid debt traps which could disrupt your future financial plans.

In a nutshell, it is worth noting that financial stability is indeed a possibility! But your money handling mannerisms will dictate if you can achieve financial health. Start by learning how to budget for your needs, learn how to save and more importantly keep an eye on accruing unnecessary debt.

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Simple yet effective rules to improve your financial health - AZ Big Media