After working with many clients in the last two years, I realized that financial behavior sways from one extreme to another.

When we look at investing behavior, there are two categories:

• risk-averse or does not know how to start investing
• risk-taking, who are very excited about investing

However, the question everyone looks for is how much to invest more than where to invest.

The Financial world thrives on your making random investments – buying new homes, trading on stocks, managing investments on 401k, real estate, etc., etc.

If you over-invest, you will not have the liquidity or resilience to weather financial storms or even achieve your family goals.

I am talking about much beyond a six-month emergency fund.

Imagine someone entering their fifties with a fat 401k, lots of home equity, and a six-month of emergency cash.

Then one fine morning, his employer decides to let him go, with all respect to his contributions over the years.

With 6 to 9 months (add the severance) of cash, he is now on his own.

He cannot withdraw home equity or 401k balance, without a loan which can be costly at today’s interest rates.

Suddenly the 401k/home millionaire realizes that he only has 6-9 months of runway, not taking into account random big expenses that always come up at the wrong time.

He will need more cushion than that if he now wants to pursue a new career, or business or just up-skill himself.

This needs a different level of planning. My ebook below captures some of these planning aspects of your financial liquidity.

• ​Beyond the Basics: Building Financial Resilience for Life’s Curveballs and Dreams​

The best application of financial planning is how to convert such adverse situations into a Gift in your life.

You have to be prepared for that and start aligning your finances towards that.

Financial decisions are not executed in a day, but a series of steps to be taken over months, sometimes years.

I discussed how you can align your Safety Bucket in three levels – L1, L2 and L3 in last evening’s webinar.

If you are looking to transform your life, and career and give wings to your dreams, first get Financially Prepared.

Are you ready to transform your finances? Book a no-cost, no-obligation call.