Be A Financial Conservative

Michael Lodge

by Michael Lodge

The economy is not as strong as the Government wants to make you think.  For 2016 is have already had a big number of corporations filing for bankruptcy protection.  Many of them in retail.  Today’s numbers on retail shows that Americans have stopped the impulse buying and spending in retail stores.  They have gone online to find the bargains. Actual stores are having a problem.  So with corporate bankruptcies on the rise for the first half of the year (2016) that means that jobs will be eliminated or in some food chains because of the new $15 an hour minimum wage laws they are starting to automate their order taking – which means more reduction in staff.

So what is my point in going over the economics of the nation?  The point is to be very conservative with your finances and begin to save or invest.  Instead of spending money on high end items for yourself – put it in an IRA or other retirement account.  Do something positive with your money instead of spending it because it makes you feel good.  Feel good buying drains your bank account for the time you will really need it.

  1. Set Up A Plan – every single day if you are spending money you are worried about money.  That is how it works.  A financially conservative person is looking to the future and preparing for the unknown.  Build up a reserve of cash that you can have access during an emergency.  Being laid off is an emergency and you never know when it could happen to you.  Or other types of emergencies.  Be prepared – set up a plan.
  2. So You Want To Get the Things You Want? – You as a financial conservative can still buy the things you want – but take your time.  Find the right deals.  Get out of your mind that you feel so good when you buy something – feel better that you got it a great deal and you saved to support your plan.  Remember the plan?  We talked about it in step 1 above.  Financially conservative people have a set of rules they follow regarding buying things, asking the question whether or not to buy a new or used item.  They start thinking differently because they have a plan for the future.
  3. Finding a Happy Medium in Being A Financial Conservative – Everyone can find ways to cut back on their spending.  You have to find the ways that you are comfortable with and that meets your plan objectives.  You can look at conservative investments that do not present such a high risk and will fit within your plan.  Seek out a financial adviser that can help you along the way.  Be more conservative in setting up a budget and solid goals that will help you find the way to be conservative with your finances.

Just remember, that the better planning you do for your future the better you are planned to handle a crises.  Crises management means – having a plan.  Being a financial conservative means you have a plan, a budget, an investment strategy, and money in the bank.  It is better to be a financial conservative then standing before a bankruptcy judge because you were not financially sound.  You still have time to get your act together.  Get your yellow legal pad out and start writing out what your objectives are – develop a financial conservative plan.

For questions please write us at:  tax@icontaxgroup.com