They haven’t achieved that goal yet, but they‘re on their way.
Four major minority groups in the United States have something in common: They all “define financial success as being debt free.”
According to a recent Northwestern Mutual survey, African-Americans, Asian-Americans, Hispanics and LBGT community members all believe financial freedom is within their grasp – from a low of 64 percent (Asian Americans) to a high of 71 percent (African Americans).
“The survey points to the commonality among diverse populations,” said Kate Kane, president of the Northwestern Mutual managing directors association. “We share universal American ideals about success that override cultural and economic differences.”
Fight for freedom
Although these minority groups may share the same ideals, they also share similar frustrations in the fight for financial freedom:
- Hispanic-Americans: 50 percent don’t have enough cash flow to do the things they love.
- African-Americans: 72 percent have not attained “financial success.”
- Asian-Americans: 35 percent lack “the freedom to do what I want when I want.”
- LGBT: 50 percent don’t have “enough money to do the things they love”
Gary Herman, President of Consolidated Credit believes success can be achieved even in the face of financial challenges like limited income. “We educate our clients on smart money strategies based on the resources and means they have available,” says Herman. “It’s not as simple as just telling them to avoid overspending. Often clients must change their whole philosophy on money to achieve their financial goals.”
A combination approach
Herman believes in the combination approach – you combine various methods of money-saving tactics that work together. Some of these include:
- Building a budget: This is the basis for every success story. Create a budget that contains all the money you earn and every penny you spend.
- Understanding credit: If you’re using credit, it’s essential that you understand every aspect of it – from credit card interest rates to calculating a credit score.
- Learning how to save: Saving money affords you more freedom to do the things you love, and provides the extra cash for emergency situations.
- Planning for the unexpected: Unexpected life events like divorce, the death of a spouse, and job loss can wreak havoc even on the most stable financial outlook if you’re not planning ahead. Preparation is crucial.
If you need additional help, don’t hesitate to contact Consolidated Credit today. A certified credit counselor is waiting to provide free financial advice.