Do you have a backup plan – If you lose your job?

Too comfortable with your desk job

A desk job in front of the computer from 9 to 5 is a very common thing in this day and age. With the rapid advancement of information technology and blinding internet speed, it is very easy for us to be comfortable in our own cozy little desk in the office.

However, how sure are you that you are going to be safe in your own desk job? What if something happened to you or your closest family members? What if an unforeseen mishap happens and you could not go to work in the office for weeks? Do you have any backup plan or emergency cash to fall into?

Emergency plan to fall into

If your answer is no, then you are only one paycheck away from a financial disaster. You do not want that to happen. It is better if you have an emergency plan to fall into should this happens to you.

I personally do not feel safe with my current office job. I have been working there for more than 4 years. My salary has not risen significantly, but my job and responsibility keep piling up.  I have been saving and investing what little extra that I have but I do not think they are sufficient enough should something happen to me and my family.

Steps that can be taken

So what are the things or steps that you can do to avoid falling into a deep financial disaster?

Set-up an Emergency Fund – Try to save about 6 months’ worth of your salary into a saving account. The emergency fund is not meant for investing, but more for quick liquid cash should the need arise.

Spend Less Than You Earn – Some of you may say that you do not have extra cash to save. Well, try and learn to be frugal then. Do not spend more than you earn. The best way to do that is to try to pay by cash whenever possible and only use a credit card when necessary.

Learn Personal Finance – Learn to educate yourself on the basics of personal finance so that you can learn to manage your money responsibly. A good website on personal finance that I would recommend would be thesimpledollar.com. The book Rich Dad Poor Dad: What The Rich Teach Their Kids About Money That the Poor and Middle Class Do Not! by Robert Kiyosaki is one of my all-time favorites because it inspires me to learn more about increasing our financial IQ. The Millionaire Next Door: The Surprising Secrets of America’s Wealthy is a must-read if you want to learn to manage your personal finance the right way and retire wealthy.

Aim for Multiple Income Stream (MSI) – Start a side business or part-time gigs to supplement your income. If your job turns sour, at least you have something to fall back on. I wrote an article about MSI and you can read them here.

The above are just a few of the backup plans that you can do to help get out of sticky financial situations. Even though I am busy with my day job during the daytime, I make sure that I spend some time outside of the working hours and weekends to educate myself and delve into other side business.

My favorite past time – Build Online Business

My favorite pastime is learning to build my online business through my no.1 rated affiliate program here, make money and get extra income out of it. My goal is to eventually to earn enough so that I can resign from my job and escape from the rat race for good.

I hope you guys enjoy my post. If you have any questions or comments, you can contact me at my affiliate profile here or just leave a comment below!

Dlansing