Sanofi Session Staff asked 3 years ago

How do you measure financial security? Is there a formula I can use to ensure I am half way
through or alreday there or just got started

1 Answers
Hansi Staff answered 3 years ago

I like planning for my goals by grouping them into three levels – basic lifestyle, nice lifestyle and the best I can imagine.
To feel financially secure, I estimate what it would cost to have a basic lifestyle. I assume I can rent a small place in a city/town I can live in, food etc. I then multiply that annual expense by 30 to estimate the amount of money I need to have invested well. This rule of thumb is just that.
Perhaps you can do this exercise and figure if you have enough savings to cover at least a basic lifestyle.