Establishing Financial Security

Before pursuing wealth-building strategies, it's essential to secure financial risks. This involves assessing and maintaining adequate cash reserves for emergencies, including knowing deductibles for health, auto, and home insurance, and ensuring an emergency fund that covers three to six months of living expenses. Having liquid cash ready provides a safety net against unexpected financial challenges, while it’s suggested that any upcoming financial goals also require accessible cash. Moreover, ensuring cash is actively working for you, such as earning competitive interest, can significantly influence long-term financial health.