It is very imperative to secure your financial future these days more than ever. The global economy is becoming more and more unpredictable.
For the last several years businesses all across North America have been laying off workers and outsourcing their jobs overseas. They call it fancy names like down-sizing and right-sizing. But this shows how it can be unpredictable these days relying solely on your full time job as your source of livelihood.
Having an alternative plan to turn to for help should you find yourself jobless is critical.
Well if you put your whole heart in your main source of income you will work hard with the determination to succeed enabling you to ultimately achieve success but don’t just put all your eggs in one basket. Sometimes unexpected circumstances do occur often calling for you to divert to an alternative plan for the time being. It’s called Plan B
The following are some ideas to build an effective Plan B should something cut off your main source of income:
1. Have Multiple Streams of Income
Sometimes when your main source of income is adequate to sustain you and your household, you may be enticed to rely on that source alone.
However, it is wise to safeguard and supplement it. You may feel that you are contented with your income but you can always save for a rainy day. Remember the unexpected events sometimes do come into play. In order to be on the safe side, you could perhaps;
- Find part time jobs within your field. For instance, if you are an auditor you could carry out some audit work for someone at your free time and get paid.
- Turn a pastime into a money maker. For instance, if you enjoy writing and have great skills for that, you could start a blog and earn from it in the long run.
- Think about wise investments that can generate additional income.
2. Always Save
It is wise to develop a culture of saving. You will notice that even small contributions will add up to something considerable in the long run.
Shop around for a rewarding savings account and commit yourself to contribute a fixed amount to the fund every month. Have an automatic top-up each month even if you can only afford $10 or $25 every week. This will eventually add up to something big!
3. Sharpen Up Your Skills
Life is a learning process and learning never ends. Regardless of the number of degree certificates that you have, always be on the lookout for opportunities to better your current skills or to develop totally new expertise. This will give you additional career opportunities, giving you an upper hand.
If you categorize yourself into one set career, you will have few options if something unexpected happens.
While it will be disappointing if Plan A fails, it will feel so much better if you can plunge into Plan B without panicking.
4. Network and Maintain a Good Relationship With Those That Surround You
Establish good contacts as well as relationships and things will be much easier for you should they go wrong. Do not burn your bridges. Do not close any doors hurriedly because you truly never know when you might want to trek a certain path again.
Also try and make contacts wherever you can. You might just be hanging out at your favorite joint after work, but you have no idea what kind of friendship you could make and how that person may be able to assist you during times of need.
5. Put Your Plans In Writing
You need to maintain some level of organization in your plans. Write down everything when creating your life’s Plan A and B so that you have a written reminder of your progress.
Have separate lists for your short term and long term financial goals and cross off goals as you achieve them.
If the need for Plan B strikes, you will have written instructions making you feel adequately prepared just for that. This will enable you to remain unshaken and focused thereby winning in the long run!
6. Making Wise Decisions
When it comes to deciding what you should do with your cash, remember to always invest in something rewarding.
Do not take a chance with your money expecting greater returns.
Also it is better to be prepared for a rainy day rather than being caught off guard, you could decide on an amount that automatically goes into your savings account and cannot be touched.
Keep in mind that when you prepare for the unexpected, you will have enough time to execute Plan B, should bad luck strike.