Uncontrollable Politics and Economy, But Money Must Be Managed! 4 Financial Planning Checklists to Keep Life Moving Forward

Politics keeps shifting, Thailand's economy is in decline, and the resulting uncertainty can make life feel very challenging. However, amid these uncontrollable external factors, there are things we should do to prevent life from regressing—namely, reclaiming control over our "own wallets." Here are four financial planning strategies to help Thai people move forward, even as the economy and politics remain unsettled.

1. Keep a close eye on liquidity, because right now cash is king.

In this economy, there's constant news of companies laying off staff or cutting work hours, while traders face declining income. This contrasts with rising expenses such as food, electricity, and living costs. Therefore, living in uncertain times requires us to carefully manage liquidity or cash on hand through three key steps.

• Keep a detailed record of income and expenses to clearly understand your main costs and identify areas where spending can be reduced.
• Check your debts—how much you owe and repayment schedules—since some debts like credit cards, personal loans, or mortgages accrue interest or penalties if paid late. For those considering new debt, carefully assess if repayment is feasible.
• Maintain an emergency fund covering at least 6 to 12 months of expenses to prepare for job loss or business disruption.

2. What assistance and benefits are currently available?

Assess what "safety nets" you have for unexpected life events, as these can help you breathe easier when facing major problems.

• Review state and company benefits, such as social security rights under Sections 33 or 39, and provident funds (PVD). These are lump sums you accumulate automatically and can access if ill or unemployed.
• Health insurance: If you assess yourself as having health risks and existing medical benefits are insufficient, or if you're concerned about potential changes to public health policy, you can opt for private health insurance. This helps keep your "expenses" stable during illness, preventing depletion of your savings.

3. Adjust your mindset: Even if setbacks hold you back, don't give up!

Some feel that with the current political and economic situation, nothing they do improves their circumstances. Others think a salaried life cannot be improved, leading to discouragement and frequent plan changes. But if we don't start changing today, we cannot move toward new paths.

Therefore, start by adjusting your mindset to be ready to move forward despite challenges. The key is setting small goals to take one step at a time. This builds encouragement and hope to reach larger financial objectives. For example, if you want a million baht, you can start with a few thousand baht monthly using this formula: "Save 34 baht daily or 1,000 baht monthly," invest with an average 5% annual return, and reinvest the interest. After 33 years, you will have 1,008,803.51 baht.

This method suits those with high monthly expenses and limited savings capacity. Although it takes time, it helps reach goals. For investors, whether in stocks or gold, use the Dollar Cost Averaging (DCA) strategy by investing regularly. When markets fluctuate due to politics or unforeseen events, buying in portions monthly averages your purchase cost close to the market price.

4. The economy may stall, but we must create new income streams.

Waiting for the country to develop as desired may take years. So, we can find new income sources to boost our cash flow now. Whether you have a regular job, run a business, or plan expansion, focus on these two areas.

• Upskill & Reskill by investing time in learning globally demanded skills like AI, Data Analysis, or specialized skills for remote work. This allows earning foreign currency income, protecting against baht fluctuations. Many free online courses are available, such as financial investment courses via SET e-Learning, Chulalongkorn University's euron platform, and Bank of Thailand's Satang Story. Popular free certified platforms include Google Skills.
• Side Hustle: Turn hobbies into extra income by focusing on low-investment, skill-based business models like product reviews (Affiliate marketing), home-cooked food sales, or online teaching in your expertise.

Life holds many unexpected events. Political and economic changes will take time, but achieving "financial freedom" and consistently planning finances will give us strength to keep fighting, developing ourselves and our country truly forward.

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