Have you ever searched for books about financial matters on Amazon? Or gone into a bookstore and browsed the financial section? It is mind-boggling how many books have been written on the subject. An internet search leads to countless other articles on the topic of finance. We are a society greatly concerned with our finances. How much financial control do you feel you have?
The Gallup Global Financial Health Study Gallup defines three levels of financial control:
- SECURE – 33%
Respondents are considered to be financially secure if BOTH of these situations apply to them:
- They could cover ALL of their basic needs, like food, housing, and transportation, for more than six months if they lost their income and had to survive only on their savings or things they could sell.
- Making payments to pay back the money they owe does not make it difficult for them to pay for the other things they need.
- STRETCHED – 39%
Neither secure nor insecure
- INSECURE – 29%
Respondents are considered to be financially insecure if EITHER of these situations applies to them:
- They would be able to cover ALL of their basic needs, like food, housing, and transportation, for less than one month if they lost their income and had to survive only on their savings or things they could sell.
- Making payments to pay back the money they owe makes it “very difficult” for them to pay for the other things they need.
According to Gallup and their partner MetLife Foundation “The study interviewed more than 15,000 people in 10 very different countries to help leaders, organizations and countries worldwide make more informed, evidence-based decisions about how to help people lead financially healthy and secure lives.” But what about you? How can you take this information meant for “leaders, organizations, and countries worldwide” and make your own informed decisions about making financially healthy and secure lives?
Read over those three categories again – secure, stretched, insecure. Where do you fall in these three categories? Be honest – not where would you like to be but where are you right now?
How would you answer Gallup’s two questions: first, how long respondents could cover their basic needs (through savings or by selling assets) if they lost their income; and second, whether making repayments against debts does or does not make it difficult for them to pay for other things they need?
Are you in control of and can influence your financial situation? Are you using formal financial services? Is your employment secure? Have you saved enough for retirement? Do you have the ability to pursue your financial dreams?
My long time business mentor and friend, Latham, has inspired me how he has used his #Learner strength to increase his prices and profitability in his Ghostwriting business, be completely debt free, save reserves for emergency and retirement, as well as live the life of his dreams traveling with a minimalist lifestyle.
My business tag line, “Grow Stronger – Work Smarter – Live Richer” is partly about getting control of your money with your #CliftonStrengths themes.
You can grow from insecure or stretched to secure in your financial well-being. Are you ready to think strategically, execute plans and accomplish your goals for your finances? Then let’s talk about how to help you live richer.
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