#4 Reconsider the safety of cash.

The first rule about money that people usually learn is to save for the future. However, cash alone is not an investment strategy. Most people are aware of this, but think that keeping cash is more secure. It may be in the short term, as liquidity comes in with the risk of overspending in the future. Inflation can devalue cash so slowly and you’ll notice the effects only over time. Changes in tax rates can also increase the strain. If there’s too much cash in the bank, convert it into more active capital.

#5 Don’t let anything sit.

The rule of thumb to ensure stable finances is that one should possess a percentage of their portfolio in bonds that is equal to their age. For example, if you’re 25 years old, 25 percent of your assets should be in the form of low risk bonds, with equities making up the rest. However, this shortcut doesn’t cover the long picture. The market changes along with your life situation, and one must always be aware and ready to shift their investments at a moment’ s notice. As with cash, if you let your investments lie dormant; the market can get ahead of you.

Read Also: Best Business Ideas Expected To Take Off In 2015

Made For Each Other By All Means! Be It Marriage Or Start Up