Financial Tips for 2014

"Be prepared, be worried, and be careful" – Jim Rodgers

In 2014, what ever resolution you have, make sure you get your financial house in order, meaning…

  1. Debt, pay down all high interest credit card debts. Only hold "Working debt" you can liquidate at the time of your choosing.
  2. Focus on Equity, seek means to improve your ownership or equity position. Buy life insurance, education insurance, medical insurance.
  3. Reduce your home costs, build or rent "sustainable" accommodation.
  4. Build Liquidity – From January, open a saving account, pay in via standing order 10% of your salary without fail.
  5. Try and accumulate a "rainy day" fund equal to 6 month of your salary. Fix it at a bank. Reinvesting the interest paid.
  6. Cash will be king.
  7. Build a Defense – Buy some commodity you can store for value e.g.Gold, Land with proper title.
  8. Write a will.

These are simple tips, don’t procrastinate, do them.

Do them NOW!

By Kalu Aja

PS: These are simply tips and you should seek a professional financial adviser for related counsel as deem necessary.
The author (or RDM) does not make any guarantees or provide any risk or financial assurances.

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