Striking the right balance: How to navigate your financial growth amidst uncertain times?
Indian economy has been a shining star on the global stage amidst a peer group witnessing a slow to no growth rate. The World Bank, in its latest India Development Update, highlighted the Indian economy’s “resilience" despite challenges in the global environment. The economic outlook is promising on the domestic level in the coming year. TheUS recession is the talk of the town, and so the world is gearing up for the challenges we may encounter in the coming year.
The environment is too dynamic as the climate policy changes can play a major role in planning our year ahead. Not to forget the ongoing geopolitical tensions that will also continue in the coming year. 2024 marks an election year not only for India but also for the world’s largest economy, i.e. the USA.
Add to that high-interest rates and stubborn inflation. It's time that we get ready for the challenges we can have at an individual level. Navigating your financial growth at a macroeconomic level in times of heightened uncertainties can be challenging for individuals. Hence, individual resilience and a mindful approach to personal financial management will be essential for achieving one's financial goals.
In this article, we will be discussing how you can make sure that you are ready for times of uncertainty.
Make sure that you have at least six months' worth of living expenses. An emergency fund provides a safety net during uncertain circumstances. It allows you to navigate unexpected challenges without compromising your overall financial stability.
For building an emergency fund, you can keep in mind the 10:20:70 method, which says,
Like they say, don’t put all your eggs in the same basket. In times of emergencies, your investments become your best friend.
Read more on livemint.com
