Break Through: 3 Stages of Financial Fitness 💰
- Alexis Booth
- 4 days ago
- 2 min read
Updated: 2 days ago
This isn't a newsletter, it's a resource to supplement my post on Money and Financial Healing. I'm sharing it here, for now. Let me know if you find it useful in the comments section!
We often think of financial success as a distant, abstract goal. But what if we broke it down into clear, achievable stages?
I assembled a simple roadmap outlining three distinct stages of financial fitness, to help guide you from establishing financial stability to self-sufficiency, with recommended resources at each stage.
This framework will help you focus your energy and resources exactly where they need to be to reach the next level. I've provided a quick walk-through with links below, and you can download a PDF version at the end of this post.
You may notice the resources I point to don't include some of the most commonly known financial experts, like Dave Ramsey or Suze Orman. I prefer the ones I've included.
⚖️ Stage 1: Stability
The first stage is all about building a solid foundation and getting your financial house in order to establish a secure financial base.
Goals:
Cover essential needs without accruing debt.
Actively reduce any high-interest debts.
Action Focus:
Your top focus in this phase is budgeting and debt payoff. If you can reasonably find a higher paying job, it will make both actions easier.
Books & Resources:
How to Get Rich (Netflix)
YNAB & Queerd Co. (online tools)
💰 Stage 2: Saving
Once you’ve achieved stability, you shift focus to growing your wealth and planning for the future. This stage is characterized by actively ensuring your money is working for you.
Goals:
Consistently earn more than you spend.
Save and invest excess funds to build wealth
Action Focus:
Prioritize fully funding your emergency fund, maximizing retirement contributions, and starting a diversified investment portfolio.
Books & Resources:
🕺 Stage 3: Self-Sufficiency
Once you have saved "enough" (a highly subjective concept!), this is the ultimate stage of financial success that offers true flexibility and financial freedom.
Goals:
Returns from your assets fully cover your ongoing living expenses.
Enjoy choosing how to spend your time - you no longer need a paycheck.
Action Focus:
This stage focuses on financial preservation, optimizing asset withdrawal strategies, and focusing on purposeful living. The most central question for this stage is, "What is enough?"
Books & Resources:
No matter where you are today, knowing these stages gives you a clear vision of what to tackle next. Which stage are you focused on right now?
I hope these resources will help you get to the next level.
You've got this.
💥 Break Out!
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