4 Levels of Financial Stage, Which Stage Are You At?

Who doesn’t want to achieve financial freedom? Of course, this is the dream of many people, where several financial stages need to be passed before it finally arrives.

The financial stage itself is a financial stage that someone needs to go through in their financial journey.

In this case, there are several stages that need to be passed, namely financial dependency, financial stability, financial security and financial freedom.

This process will need to be passed as learning and experience in financial management, of course, a lot of effort is required.

So, what stage are you currently at?

Come on, find out by reading the reviews about the financial stage below!

1. Financial Dependencies

The financial dependency stage is the first level of the financial stage that you are currently living.

At this stage you are still receiving financial assistance from outsiders, be it parents, family or the government.

This doesn’t mean it’s bad, because everyone starts from this point, which is born without financial capacity, so you don’t need to worry.

You can get out of this stage immediately, even at a young age.

When you have your own income, start to plan finances properly so you can monitor your expenses every month.

To make it happen, make sure expenses are not greater than income.

2. Financial Stability

The second stage in the financial stage is financial stability.

At this stage, you begin to be able to meet your daily needs without outside help.

In fact, you already have an emergency fund , you know!

This is a sign that you have built good habits since the financial dependency stage earlier, which then takes you to the next stage.

For that, saving is a very effective thing in bringing you up little by little on the financial stage ladder.

At this stage, make sure you always set aside income for an emergency fund, at least for three to four months.

This will help you survive, so that later you will be better prepared if unexpected financial fluctuations occur.

3. Financial Security

The next stage is financial security, which is the third level of the financial stage journey.

That’s a sign you’re getting closer to financial freedom.

If you can get to this stage, it means that your financial situation is sufficient to make future savings and investments.

In this case, the investment you start with can be anything, from shortterm , medium-term, or long-term investment.

Later, the investment value that you have invested can be enjoyed in the future.

However, make sure to learn about the investment you are about to start.

The goal is for you to better understand your risk profile and be better prepared when running if you face fluctuations later.

4. Financial Freedom

You have arrived at the ultimate goal of the financial stage, namely financial freedom.

Even though the process is not short and requires consistency of effort in running it, you will definitely get here.

At the financial freedom stage, your financial condition already has solid fundamentals.

In this case, you will no longer find it difficult to meet your daily needs, lifestyle, emergency funds , and even investments in various forms.

In fact, in this stage you can start a luxurious lifestyle.

However, to reach this point you need good financial habits.

Starting from financial planning during the financial dependency earlier, saving little by little for an emergency fund at the stability stage, to starting investing in financial security.

Of course, the condition of financial freedom cannot be achieved overnight.

So, that’s the discussion about the financial stage, which stage do you think you are already at?

If you’re still in the early stages, don’t give up!

Even though it feels difficult, it is not impossible to make it happen in the future.

The most important thing is to start good habits in wise financial management.

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