TMCC Financial Literacy Guide

Save, Save, and Save Some More Saving consistently is a vital part of achieving fnancial security. If you’re not sure where to start when it comes to saving, consider using the 50/30/20 rule. Here is how the rule suggests you spend your money: • 50% on needs, such as housing, utilities, and groceries. • 30% on wants, such as shopping and hobbies. • 20% on savings, such as retirement plans and emergency funds. Whatever you do, start saving!!! Earn More Money Another way to increase your fnancial security is to fnd ways to earn more money . For example, you could talk to your employer and try to negotiate a higher salary, look for a higher paid job, or start a side hustle. Having a yard sale or selling some of your unwanted belongings online are also great ways to bring in more income. Invest in a Diversifed Portfolio If investing is a part of your fnancial security plan, make sure you don’t put all your eggs in one basket. Instead, spread your money across multiple investments to create a diversifed portfolio. This way, if an investment should fail, you won’t lose all of your money. Be Consistent Finally, remember that fnancial security management never stops – consistency is the name of the game. To create long-term fnancial security, you need to focus on building sustainable habits. 13