Updated: June 1, 2023
It’s a good feeling to be financially secure. That is to be in a place where you’re not worried about money because you have stable sources of income and you’re optimistic about reaching your goals in life.
In my career as a financial planner, I’ve met a lot of financially secure individuals from various walks of life. And I’ve interestingly noticed a few things that are common among them.
Today, I’m sharing with you the five traits that I’ve observed in people who are doing financially well. How many of these qualities do you have?
1. They spend less than what they earn.
It’s a no-brainer to expect that they live within their means. Being a saver is, after all, necessary to building wealth.
What’s interesting, though, is that not all of them are meticulous at monitoring their spending. There are a few who don’t even follow a budget and simply make sure that they don’t spend more than a certain amount every month.
For instance, one guy restricts himself from spending more than P500 every day. For him, this spending strategy works because he claims that there’s always some money left in his salary account at the end of the month, which he then transfers to his savings and investment fund.
2. They have a huge emergency fund.
Having an emergency fund is important, and they certainly know that.
At least six months’ worth of expenses is the recommended size for a buffer fund. But most of those I’ve met have at least a year’s worth of cash tucked away in a time deposit or low-risk fund.
3. They are boring investors.
Financially secure individuals tend to ignore hot stocks and trendy investments. They gravitate more towards boring ones such as blue-chip stocks and mutual funds.
They do get curious and would learn more about them. They’d try to understand why people are putting money into these popular investments.
But nonetheless, they don’t easily succumb to the fear of missing out and jumping on the bandwagon.
4. They like working.
They are dedicated to advancing their career or growing their business. They like doing side hustles and finding ways to earn extra income.
I also noticed that they’re always skeptical when they hear about an income or investment opportunity for the first time. They believe that if it’s too good to be true, then it probably is.
In fact, they prefer pursuing creative projects that have the potential to turn into something profitable rather than seeking fast and easy ways to make money or get-rich-quick schemes.
5. They have a growth mindset.
Lastly, they value productivity and self-improvement.
Most of them like to read, and they don’t mind going to seminars, enrolling in workshops, or taking short learning courses. They’re curious about things that are not necessarily related to their work, which can benefit them in ways they’d never expect.
For example, I’ve talked to a food entrepreneur who met his current business partners in a hobby photography class he enrolled in before.
At the end of the day, the dream is to eventually become financially free. And that’s why they continue to learn and build new skills because that’s how you prepare for tomorrow’s challenges.
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