5 Habits For Achieving Financial Independence Expert Weighs In

Most people live in a misconception that financial independence is all about earning money. But money tends to flow and it should flow to give you the benefits. Blandly earning money won’t guarantee financial independence in today’s world, where job security is equal to none. Going forward here are the expert tips shared by CA Mahima Vachhrajani, a finance content creator on Instagram which can be your finance guide.

Budgeting

Every household has a certain budget which is planned as per the earning members and expenses. While we do have a budget, we fail to track it. Tracking the income and expenses helps in understanding and managing the finances effectively.

Save Consistently

Having a separate savings account is important apart from the salary account. Set aside a portion of your salary and put it in the savings account which you can later use in case of emergency.

Emergency Fund

These days everyone is employed in the private sector which means job security is equal to none. So, it is important to put a sum of money in an emergency fund which is different from your savings. You can invest in health emergency funds (health insurance for mothers) for such unexpected causes.

Invest Wisely

Investment is important to ensure that your money is flowing. However, choosing the right investment plan is equally important. There are a variety of investment plans available, from mutual funds to life insurance. You should consult a financial (finance question couples should ask beforfe marriage) advisor and make investments as per your future goals and liabilities.

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Set Financial Goals

We all have goals in our lives. So, to fulfill them we need funds. Thus it is important to set short and long-term financial goals. These goals will help you make the right investment decisions and make investment strategies.

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Follow these financial expert tips to achieve financial independence and fulfil your goals.

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