One: Not just high yield savings account. Make a list of ways to increase your total income (i.e. active income, passive income), and at the same time reduce your total expenditure (i.e. fixed expenditure, variable expenditure). Here is a Guide: Understanding Your Personal Cash Flow For instance, find out how you can create a stream of passive income early in your life, and how to build it to cover your fixed expenditure. While doing so, keep your expenses as low as you can. Accordingly, this frees up more net cash flow for wealth accumulation. Two: Generally, we want to maintain about 3 to 6 months of total expenses as emergency funds (explanation in link above, under Part 4.1). However, we need to know your income ability and spending habit to have a layer of cushion that works for you. Let's say you work on a contract basis and job is unstable. How long will you need to find another job of similar or lower salary? Likewise for expenses, we need to know whether fixed expenditure is dominating your cashflow (some words for thoughts in Part 4.1 of the shared post). Three: Have a complete understanding of your existing insurance portfolio. Through this process, it allows us to understand the coverage that we have, any financial gap, as well as to find out whether we are overpaying for our insurance policies. Key Reasons Why: Why Every Client needs an Insurance Policy Summary How much insurance coverage should You have? As a general rule, 10% to 20% of your annual income on healthcare insurance and life insurance Basic Life Cover = 10 times your annual income Critical Illness Coverage = 5 times your annual income As usual, this is the general rule which may or may not make sense. Instead, work with an experienced consultant and plan ahead for your future. This ensures that in the next part when we are focus on building our wealth, we do not need to worry on our health. Four: Have a well-defined investment objective. When your emotions kick in, you have logic to help you overcome your emotions. Consider a step-up annuity to createa a cushion for your fixed expenditure. Besides, have a complete understanding on the risk that you are undertaking for your portfolio. Personally, I prefer to take calculated risk rather than unnecessary risk to reach my goals. More Details: Types of Investment Risk that You should know Therefore, you may wish to ensure that your asset allocation suits your risk appetite and investment objective and your positons are well-hedged. Five: True if and only if you invest in the right assets. Set a proper reminder in and conduct regular portfolio reviews to ensure that your investment objectives can be fulifled and your life goals are still the same. I share quality content on estate planning and financial planning here.