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Money – Financial Independence

Financial Independence-Who Me?

You’re reading this so you must be part of the sandwiched generation, a sandwiched matriarch or close to it.  You manage your own money and possibly help with your parents’ financial needs as well.  You might think there is no way you can have enough money to   become financially independent; it will never happen.  Wrong!!  It can happen to you. Financial Independence means having enough income from investments, passive businesses, or real estate to pay for one’s living expenses for the rest of one’s life without relying on formal employment. Just like everything else we do,  we will work on your finances step by step.

The first step is to get out of debt.  Dave Ramsey is amazing at helping people get out of debt.

In his book, “Total Money Make-Over,” Dave provides 7 Steps in his Total Money Make-over:

 

  1.  Save $1000 for your starter emergency fund.
  2. Pay off all debt except your mortgage using debt snowball.
  3. Save three to six months of expenses in a fully funded emergency fund.
  4. Invest 15% of your household income in retirement.
  5. Save for your children’s college fund.
  6. Pay off your home early.
  7. Build wealth and give.

Know your Credit Score

Your credit score affects your daily life. For example, it can impact whether you get approved for the car loan you need to buy that

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