Without a solid foundation, your world can change quickly. By setting up a financial foundation, your future stays in tact no matter what happens.
Create A Budget
The Backbone of your Financial Freedom
Having a budget in your life is important. It prioritizes your life to make sure that what is most important to you is what you spend most of your time and efforts on.
The next points list what you should have in your budget to keep your foundation strong.
To start a family budget click HERE.
Insure Your Risk
Peace of Mind
You should have your world insured. Lenders require you to have insurance on your house or vehicles just in case something happens to them. But what would make the biggest impact on you and your family- being diagnosed with cancer, death, a car accident where you are harmed, a injury or illness that does not allow you to work? In the case that anything may happen, you should have protection to give yourself and your family peace of mind.
To find out what your risk is click HERE.
Have An Emergency Fund
Protecting your World for the Short Term Needs
Having an emergency fund is important. You should have at least three months of expenses of liquid cash available in the event that something unexpected happens. Examples of liquid cash include funds such as investments that are sold easily and cash in the bank. It does not mean a GIC that is inaccessible or RRSP's where you would take a big hit if you were to withdraw them. It should be something that is easily accessible and meant to be spent.