Not sure how you are doing financially? Use these 10 indicators of financial stability to see where you stand.
10 signs you are have financial stability:
1.You are happy with your money situation.
2.You don’t fight with your spouse about money.
3.You don’t use credit cards often, or when you do they are paid in full quickly.
4. You have an emergency fund.
5. Losing your job would mean not being able to pay the bills.
6. Being generous and giving is a part of your financial keys to success.
7. Saving money happens often and has become a habit.
8. Paying the bills comes easy and doesn’t require a detailed plan to get them paid for.
9. You are thoughtful about every purchase.
10. Avoiding and eliminating debt is top priority for you.
If you are doing more than half of these, good for you! You are definitely on the right track. Keep it up! Check yourself against the 10 indicators of being financially unstable as well.
10 signs you are financially unstable:
1. You spend more than 40% of your total income on rent. (If you are spending more than 40% you should consider looking for something cheaper)
2. Large purchases ruin your finances.
3. The only way you have managed to pay off one credit card is with another.
4. Less than 10% goes into savings (If this is 0% it’s time to start saving!)
5. You don’t have a plan for unexpected events.
6. You pay the minimum balance of your credit card each month (This isn’t preferable, but at least you are paying your balance!)
7. You throw away your receipts because they are a reminder of what you have spent.
8. You withdraw cash frequently from ATM’s that aren’t affiliated with your bank (These ATM’s charge extra fee’s, make the trip to your own banks ATM’s and save)
9. You don’t have an emergency fund to pay the bills if you were to lose your job.
10. You live paycheck to paycheck.
Don’t feel great about your current finance situation? Read more of our blog for helpful tips and tricks on how to better manage your money.