No one wants to hear this, but 99 percent of the time, avoiding bad financial situations boils down to spending.

See, true wealth is having – and being content with – more than you need.

A small apartment, an old car, and economical meals that cost $35,000 per year can make someone who earns $40,000 per year feel like a king or queen.

And conversely, how secure is $700,000 per year if you are spending $715,000 per year?

Your financial situation is relative, of course, but always be thinking of ways to make yourself a little bit more resilient.

After keeping my spending below my income, I am constantly looking for opportunities to decrease my overall debt and increase my cash and savings.

The more this is done, the less likely you – or I – will find ourselves in fiscal difficulty.

Here’s to avoiding unpleasant choices that follow financial difficulty.

The wealthy possess the contentment that comes from having enough, whether it is $ 100,000, $ 1 million, $ 100 million, or more. The rich person, whatever he or she does, is going to struggle often with balance and could end up in financial situations that force unpleasant choices.

-Paul Sullivan, The Thin Green Line