I’ve personally learned that regardless of how hard you try to avoid them, financial storms happen. In all fairness, there is a wide range of what a financial storm means to one person relative to another. To some, it means an inability to afford health insurance, pay utilities or provide food for their family. In other cases, it means losing half of a multi-million-dollar investment. Both scenarios are painful and come with powerful lessons.
Although the method of protection from a financial storm will vary from one family to another, the basic premise begins with the word Safety. For some, this means ensuring they save a portion of their income for a rainy day. For others, it is ensuring that funds placed at risk are limited based on what can be reasonably afforded to be lost.
Having a strong understanding of money is an important part of creating financial stability. One of my favorite sources of financial knowledge is a book written by Tony Robbins, Money – Master the Game.