We all want to be financially secure. Maybe we pursue that goal by getting a higher-paying job, looking for opportunities to make money on the side, creating an emergency fund, or a million other ways we’re told we can create financial security.
But recently I was thinking, what if it were possible to be so financially secure, so stable in our financial situation, that we were actually financially invulnerable?
Could such a thing exist? What would that be like?
OK, I admit it’s just a fun term I’ve been playing around with, and really doesn’t differ from plain old financial security.
But we hear that phrase so much that I think it just kind of passes unnoticed. Sure, financial security is a great goal but you’re just trying to pay the bills — you have other things demanding your attention, so it takes lower priority.
But imagine financial invulnerability. Imagine being so secure that you knew there was nothing that could ruffle your feathers — nothing that could cause you to worry about money.
Imagine your financial situation was so stable that worry was permanently just a thing of the past. Money stress, absolutely gone.
And sure, while technically anything can happen to anyone, I do think we can reach something akin to financial invulnerability.
It requires several steps, which I’ll outline throughout this series. I was going to try to put them all into one post, but I want to give them all the coverage they deserve, so I’d rather break it up into several posts.
Here are the posts in this series so you can jump between them as necessary:
- Step 1: Stop living paycheck-to-paycheck
- Step 2: Make a plan for your money
- Step 3: Save for your true expenses
Yes, You Can Be Financially Invulnerable
If this does seem to take lower priority to you — if it seems like there are more pressing matters — is that really true? Can you really afford not to create financial security for yourself now?
Because by the law of attraction, we know that if you act out of a place of insecurity, you will only create more reasons to be insecure.
Security is your right. It is available to everyone, no matter your income or situation in life.
Yes, most of these steps are practical, and that might seem boring or unimportant to some of my LOA audience. But creating financial invulnerability requires a balance of practical and vibrational steps, which I’ll outline in this series. Without either side of that equation, something is missing.
So if you think financial invulnerability is a pipe dream, think again. With a combination of simple, practical steps, along with the right vibrational state, you can get there in time.
Step 1: Stop Living Paycheck-to-Paycheck
How much do you have in your bank account(s) right now? I’m talking about checking, savings, money market — anything that you could access within the next 24-48 hours if absolutely required.
Is it more than you make in a month?
If not, then I’m sorry to say that you are living paycheck-to-paycheck.
It doesn’t matter how big your credit card limit is. If you don’t have the cash to withstand missing a month’s worth of income, you’re living paycheck-to-paycheck.
I thought of this recently because my business coach had asked me whether it was OK to charge her monthly amount. She said she didn’t know how my paychecks landed so wanted to be sure I had it for her to charge.
And while that was very generous of her, it caught me off-guard for a moment. Because, it wouldn’t matter if I hadn’t gotten paid yet for the month: there’d still be enough in the bank. I wouldn’t be much of a money coach if that weren’t the case… 😛
The problem with living paycheck-to-paycheck is it means you’re living on the edge of financial ruin.
Miss one paycheck and your future is uncertain.
But even if you think your job is secure, having that extra as an emergency fund means you can withstand unexpected expenses (though unexpected expenses should be mostly a thing of the past if you follow step #2, which I’ll cover next week).
How to Stop Living Paycheck-to-Paycheck
It’s pretty simple, though not always easy to do.
The solution, at least to start, is to build a 1 month buffer.
Start spending less than you make. Set aside a portion of your income every month, preferably at least 10%, but any amount will do to get started.
But if you set aside 10% per month, then logically, in 10 months you will have saved the equivalent of one month’s income. This is your buffer — an amount in the bank that is never touched for any reason, except for emergencies of course.
If you’d like to save that in 5 months, then you’ll need to save 20% per month.
That seems like a lot of work, but the benefits of having even one month’s pay sitting in your bank account as a cushion does wonders for your mental stress about money.
You’ll never again fear going into overdraft or some expense being declined for insufficient funds. You’ll know there’s more than enough in your account to handle any regular expense that comes up, and even small unexpected expenses.
And by the way, completing this simple step will put you ahead of the 32% of Americans who could not cover a $400 emergency with cash.
“What If I Just Can’t Afford It?”
I know many people will be thinking, “I can’t possibly save 10% of my income every month.”
I have two answers:
On the practical side, save less if you really need to. Even 5% going into savings every month will do wonders. Sure, it’ll take twice as long to save that month’s buffer, but at least you’re moving forward.
But we all get periodic unexpected money, too. If you get a tax refund, or some money for Christmas or your birthday, throw most of that into savings and that reduces the time it’ll take that much more.
And now for the vibrational answer: it’ll be impossible as long as you believe it’s impossible.
If you really want to do this, make a decision that you’ll find a way to do it. You need to realize the importance of it first, and then that desire will create the inspiration within you to actually pull it off.
We’re manifestors, right? If you decide that you’ll find a way to throw more and more money into savings, and you really feel good about that decision, chances are you’ll get there far before the 10 month timeline I laid out above.
If it’s a priority, you’ll find a way to do it. If it’s not, then you won’t. This takes a real decision on your part. Make the decision, and the way to make it happen will present itself.
The Vibrational Benefit
The benefits of building a 1 month buffer are huge, both practically and vibrationally.
When you see your bank account with more and more money in it, you feel richer.
What do you think the vibrational effect is of seeing just a few hundred dollars in your bank account, or even less?
During my days on SSI, I used to end each month with barely $100 in the bank. I hated it. I always felt so poor, and could never afford the little extras I would have liked to have.
When my bank account finally started growing, it made a world of difference. I remember the first time I realized I actually had over $2,000 in the bank. I felt unstoppable. I no longer had to worry whether I could afford everything we needed at the grocery store. I no longer had to keep such a tight hold on my money.
And as I did that, it of course grew exponentially, because my attitude around money was easier and lighter, which meant money became easier and lighter for me.
When you see that bank account actually growing, and not just falling to the same level month-after-month, you’ll feel truly abundant. Money will feel plentiful — and then, it will be in reality.
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