Are you a temporary worker? If so, don’t be discouraged. Nowadays, it is common to be a casual worker. Well, you should know about per stirpes then.
Why is that? Because currently many companies are recruiting fresh graduates as temporary employees.
After passing the probationary period, then the first jobber will get permanent worker status.
There are also professionals who deliberately choose to become temporary workers or freelancers, on the grounds that they want to have more flexible working time.
Well, these freelancers are actually temporary workers too.
So, being a temporary worker is not a problem, as long as you can independently prepare a careful financial plan so that it doesn’t become a financial burden for your parents, family, friends or relatives.
How? Check out the following steps.
1. Key expenses every month
Being a temporary worker means dealing with the uncertainty of acceptance. In order to survive in times of famine, precarious workers must be willing to hold their expenses at a certain number.
What expenses must be there, as well as how much they are worth, will of course be adjusted to the conditions of each temporary worker.
However, of course there are certain costs that must be met for daily living needs, such as food and drink and transportation.
However, in preparing an expenditure budget, try to be as tight as possible. And more importantly, the expenditure budget must be implemented properly, and not stop being just numbers on paper.
Take control of financial posts related to tertiary matters such as the cost of hanging out with friends.
Try to hang out at no more than 10% per month. This means that if your expenses have reached that budget, then you have to put the brakes on wanting to hang out.
Or, change the outside hangout agenda to be indoors or on a picnic so you can still hang out, but the pockets don’t get “hollow”.
2. Prepare an emergency fund
Every adult human who wants to have financial freedom, should have an emergency fund. The existence of this emergency fund is becoming increasingly crucial for precarious workers.
Because with an emergency fund, you can still be active even though there is a risk of losing your job, decreasing income, or even no income.
The question that might come to your mind is how to establish this emergency fund?
The trick, set aside 10% of income for an emergency fund.
The amount of the emergency fund of course depends on the status of each temporary worker.
For those of you who are single, you can prepare an emergency fund at least three times your monthly expenses.
Meanwhile, for those of you who are married, the emergency fund is at least the equivalent of six to 12 monthly expenses.
3. Be conservative when in debt
In today’s world, finding loan deals is as easy as looking for fritters. But keep in mind, the terms and consequences of owing never change.
So, before getting entangled by accumulated debt, consider your ability to pay off the debt.
The simplest measure to measure the ability to pay off debt is to compare the amount of debt repayments that you must bear per month with the amount of your income per month.
You are said to still be eligible to have debt if the ratio is not more than 30%.
However, as a casual worker, you also have the risk of experiencing reduced or delayed income. That means, you have to be more conservative in looking for debt.
Before taking a loan, think carefully about the benefits of the loan funds you receive. If indeed the loan has productive value, of course you should consider it.
However, if the loan is for consumption only, it should be postponed.
4. Have insurance to ward off risks
Among the cost groups that must be provided by temporary workers, one that needs to be owned is the expenditure for insurance premiums. Set aside a minimum of 10% of your monthly income for insurance.
The view that insurance is only needed by established people is a misconception. Why? Because insurance is actually a product that provides protection against risk.
And the fact is, the risk of lurking around anyone, regardless of employment status or years of service or assets.
For those with temporary employee status, insurance can actually be a savior in times of illness or other calamities.
Don’t forget, temporary employees usually don’t get any remuneration benefits if they don’t work.
So, if a temporary worker does not have health insurance, he will find it difficult to get the treatment and medical treatment needed.