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Habits of financially successful families:
Focus
on what they have rather than on what they lack
Share their resources
Save for a rainy day
Live within
or below their means
Use debt sparingly
Understand the difference between necessities and comforts
Use
set-backs as learning opportunities
Plan for the future
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Steps to Building a Strong Financial Foundation
1.
Securing adequate income
2. Setting realistic priorities
3. Maintaining adequate emergency savings
4.
Remaining well-informed of income and expenses
5. Understanding the terms of any debt
6. Prudent
use of insurance to cover
potential liabilities
7. Anticipating future needs and saving
accordingly
(Major purchases,
education expenses, retirement income
needs)
8. Investing wisely. Understanding
tax
consequences of transactions and the
the relationship between risk and
potential return.
9.
Planning asset transfers to avoid undue expense.
10. Reviewing finances periodically, at least annually.
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