How to Manage Your Finances PDF

HOW TO MANAGE YOUR FINANCES created by Dani Martinez TODAY'S HIGHLIGHT 1 Cash Flow 2 Protection 3 Investment Step 1 To record cash flow accurately, CASH FLOW it's essential to start by allocating expenses based on percentages. 1 50 % fro...

HOW TO MANAGE YOUR FINANCES created by Dani Martinez TODAY'S HIGHLIGHT 1 Cash Flow 2 Protection 3 Investment Step 1 To record cash flow accurately, CASH FLOW it's essential to start by allocating expenses based on percentages. 1 50 % from Income = Needs 2 30 % from income = Wish 3 20 % from income = Savings  NEEDS Separate 50% of income for all primary needs. These needs include food, clothing, and shelter. Make sure the primary needs do not exceed 50%.  WISH The next 30% we can allocate for our wishes. For example buying the things we want but should not exceed 30%. If not used, the funds can be allocated for savings.  SAVINGS Before allocating funds for needs and wish, first separate 20% for savings. Try not to use savings funds, savings funds will be used for the next step.  Step 2 PROTECTION The next step is the allocation of funds for protection. The protection fund is obtained from 20% of the savings that we set aside each month. If the savings fund has reached 6x of salary, we can enter step 2. VARIOUS INSURANCE FUND KINDS OF List of health insurance PROTECTION and life insurance. EMERGENCY FUND Emergency funds that must be available to be safe at least 3x our income each month. Step 3 After step 2 is fulfilled, we can go to step 3. Step 3 is allocating INVESTMENT funds for investment. For income that is not so big we can choose the following investments: 1 Invest in something that creates income 2 Invest in financial instruments THANK YOU! EMAIL [email protected] ADDRESS 123 Anywhere St., Any City, ST 12345 PHONE +123-456-7890 WEBSITE reallygreatsite.com