"Without a solid foundation, you'll have trouble creating anything of value."
Erika Oppenheimer
I was chatting with a friend the other day ...
... who, like many of us, has some exciting dreams of building wealth – buying a fancy car, owning a dream home, saving for her children’s future, enjoying exotic vacations … you know the stuff. She was all gung-ho about it, keen to dive headfirst into investments and financial wizardry. But as we chatted, and walked our dogs, she confessed to a bumpy financial ride, struggling to make those dreams a reality, and not understanding why each time she started trying to build wealth, it would quickly crumble and be eaten away.
And it got me thinking … how often do we share that enthusiasm for creating and amassing wealth without considering the crucial groundwork beneath it?
A house can’t be built without strong foundations, right?
Well, nor can wealth.
Sometimes we just need to start at the beginning.
Clear the deck. Focus on getting our foundations in order. Important stuff in place. And patiently grow from there.
Laying strong financial foundations provides stability, security, and a clear path to achieving your long-term financial goals.
So how can we get started?
➡️ Understand what comes in and what goes out.
I know I bang on about this … but understanding the fundamentals of your income & expenses is where to start. This knowledge informs your choices, streamlines your money habits, locates the potential wiggle room, and focusses you on the foundations that you want and need to build.
➡️ Clear any bad debt.
Urgh, that debt can feel oppressive. Being drained by bad debt and high interest rates can be a significant block to building secure money foundations. Having a debt plan in place is key to freeing yourself of bad debt.
➡️ Use protection.
Err … I’m talking insurances, wills and power of attorneys here. Sh*t happens, a lot. Jobs are lost, illness takes us by surprise, death is inevitable. Protect yourself, your assets and your loved ones.
➡️ Educate yourself about your options.
Increasing your financial literacy is more within your reach than you think. Read about savings and investing, get a Financial Coach, look at your own circumstances and make informed, intentional steps to nurture your wealth.
➡️ Plan for those dreams.
What’s the bigger picture here? What are those foundations going to support? Those goals, those ambitions, the life you want … what’s really important to you and how are you going to get there? Don’t lose sight of what this is all for. Money is just a tool to support the life you want to lead.
Building strong financial foundations will support and comfort you.
Creating strong financials foundations can take you from a place of insecurity to security, from growth to freedom.
You only live once. But with some sensible strategies, strong building blocks and practicable steps, that life can be one that you choose.
And remember, it's a journey, not a race (cheesy but true!) and each step you take is a step closer to the financial future you envision.