Are you financially secure? How would you know? To help people answer this question, the Consumer Financial Protection Bureau (CFPB), the government agency formed in the wake of the financial crisis, released a
report that boils it down to four factors, according to
Time Magazine. To know whether you're financially secure, the CFPB recommends you ask the following:
- Are you in control of your day-to-day, month-to-month finances?
- Could you absorb an unexpected financial shock?
- Are you on track to meet your financial goals?
- Do you have the freedom to make choices that allow you to enjoy life?
You need all four to be considered financially secure. Time, pointing to a recent
survey, said that the majority of Americans do not, then, qualify.