by Katarzyna Radzka

Created on: June 04, 2009

The cost of living is rising but so is unemployment. Where are people to get money? One week there's plenty to cover the groceries, rent, and have a bit of fun, the next your struggling to make ends meet. This type of instability is unhealthy for your life and your wallet. Wealthy people appear to have financial stability but this may not be entirely true, just because someone appears to be wealthy doesn't mean they are, in fact they could be drowning in debt, while the guy driving a ten year old Toyota is living his life to the fullest because he has his finances in order.

Financial stability is important to maintain a quality level of life, to reduce stress and enjoy what life has to offer. Achieving financial stability doesn't have to be difficult. With the right tools on hand, even the debt ridden individual can achieve financial stability immediately.

Automate your savings

It doesn't matter whether you're saving 10% of your monthly income or $10 if that's all you are capable of, it's better than a big fat 0 that isn't going to get you anywhere. If you immediately spend everything that enters your hands or bank account, automate your savings. Set up your account so that as soon as your income hits your account, a certain amount, decided by you, is immediately swept away to a savings account that you can not withdraw from. Even $10 a week will amount to $520 per year plus interest.

Avoid unnecessary spending

Do you go to the shop and buy what ever catches your eye? Unfortunately many people are guilty of this, and than they wonder where their money has disappeared to. Shop with a list, only take as much money as you think you will need to avoid buying unnecessary items you haven't budgeted for.

Don't carry money or cards

You shouldn't go completely without but is it really necessary to carry more than $10 or $20 in your wallet at one time. The credit and debit cards can go too, they are only there to tempt you to spend. By not having too much cash or credit on you, you won't be able to impulse buy, and this is where a lot of financial instability lies.

Get insurance

Sadly we never know when something terrible is going to happen and we may be retrenched, in an accident or sick. Insurance keeps you and your family protected against these things. Of course it doesn't prevent them, but it does help you feel more secure and at ease when life goes haywire. Having a full insurance package - work, health, house, car, life - will make you prepared for the

• 1
• 2
• Next Page >>