Suze Orman: The No. 1 Greatest Lesson When It Comes To Your Money
Suze Orman: The No. 1 Greatest Lesson When It Comes To Your Money
Laura Bogart GOBankingRates Sun, December 21, 202
Learning about the smartest money moves that will help you build and preserve your wealth can seem complicated. Sometimes getting familiar with the terms and concepts feels a little like hearing the staticky crackle of Charlie Brown’s teacher in your head. But what if the No. 1 lesson you should learn about your money is actually incredibly simple? According to personal finance expert Suze Orman, it’s probably a lesson you’ve heard at least once: Plan for “what if.”
What if you experience a sudden job loss or a health crisis? Would you be able to support yourself financially? “What ifs” are the life events that can derail even the best-laid plans — and if you don’t prepare for them with a robust emergency fund, Orman said you’re leaving yourself vulnerable to financial devastation. The greatest lesson you could ever learn about your money is to save up and steel yourself for those “what ifs.”
In an episode of her podcast, Orman broke down why she emphasizes this lesson so strongly.
Don’t Think You’re Safe Just Because You Have a Good Job
Let’s say you’ve got a great job. You’re earning good money, and you have great benefits. You’re a homeowner and your car is in good shape, too. By all accounts, you’re living the American dream. You feel secure with that regular paycheck coming in. But then it happens: You’re laid off. Or, if you were one of the many federal employees impacted by the recent government shutdown, you’re furloughed or compelled to work without pay.
The plight of government employees during that shutdown gives Orman’s point urgency. She cautioned that the bottom can drop out of your world faster than you might think — and for reasons beyond your control.
“And now you don’t know what to do, and then all of a sudden you find yourself having to go to a food bank, even if you’ve had a great job,” she said. “And once again, we go back to the lessons of life, and what is the greatest lesson of life when it comes to your money, if you ask me? It’s to plan for the what-ifs of life.”
Plan Today To Protect Tomorrow
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