Live like no else today, so you can live like no else tomorrow.
~Dave Ramsey.
We live in uncertain times. Whether it’s rising interest rates, a failing bank, or wondering about your personal financial future, the way ahead is murky. That makes it all the more important for you to see clearly and have an action plan.
With that in mind, how are your finances? Are they better or worse since the coronavirus experience began? Do you have a handle on them? Do you have a plan?
If you are facing financial problems, remember this: The root of the issue is not the money. It’s your behavior. Managing your money correctly requires a proper mindset, and that may require a lifestyle and attitude change.
Look forward, not backward. It’s not about where you’ve been. It’s about where you’re going. But you don’t have to make the same mistakes again and again. In fact, think about it this way: The first two times qualify as mistakes. After that, they become decisions.
So if you want to fix your financial issues and get out of debt, the first step is to make that decision. In other words, determine to do it and make a plan. Be determined, be tenacious, be a bulldog about it!
Making the decision and commitment is half the battle, but remember: You can’t fix the symptoms without addressing the real problem, your behavior. That’s akin to trying to empty the water from a sinking boat before fixing the leak!
Let’s not put a bandaid on it. Let’s meet the problem head-on. To do that, just look in the mirror. There is hope, though, and you can make it through to the other side and breathe easier about your finances.
Financial coaches will tell you that personal finances are 80% behavior and 20% head knowledge. That simply confirms what I told you recently: It doesn’t matter whether you have $1 or $1 million. You must fix the root of the problem.
If you do not change direction, you may end up where you are heading. ~Lao Tzu
The good news is that you aren’t in the boat alone, but you can be one of the few who takes the bull by the horns. You can be an example. Consider this:
- Total consumer debt in 2023 is over $17 trillion.
- 78% of Americans live paycheck to paycheck.
- Two-thirds of Americans are not able to pay a $1,000 emergency expense.
- Average credit card APR = 20.63%.
- 7 out of 10 people do not budget.
Stunning statistics, to be sure, but you don’t have to participate! Ready to make up some ground? Wonderful! There are a few things you may need to tackle.
- Once you’ve adopted that bulldog mentality, don’t waste any time!
- First things first: Put your budget together. Today! Never done that before? No problem, there’s an app for that. Every Dollar is a great solution, and it’s free!
- After you identify where your ship is leaking with your budget, start to remedy that. For example, if you’re eating out $250 a month but can’t pay your electric bill umm, address it.
- Need an extra job? Here are great suggestions to help you earn extra money above. This should be a long-term solution, but it should help buy you some time to get things under control.
- Find a financial coach or someone who can assist you in plugging the boat and bailing the water.
As America begins to come out of the long quarantine adventure, you must understand the moment and have a game plan. Regardless of what you think about the shutdown, re-opening, and the pandemic, we are not returning to business as usual. The future requires your attention!
Remember, it doesn’t matter whether you have $1 million or $1 in the bank. You can be a winner with your finances.
‘Don’t tell me where your priorities are. Show me where you spend your money, and I’ll tell you what they are.’ —James W. Frick
Have questions about your finances? Let us know how we can help you.