Talking about money is a pain point for many. It can cause you to become stressed and eventually lead to depression. Money struggles, lack of knowledge and concern can clearly drive one over the edge. Money woes is a real problem faced by many.
[bctt tweet="Gaining control of your finances can change your life." username="NichelleWomack"] One of the main reasons why people go bankrupt is because they cannot control their spending habits. Many of them spend far more than they have. Instead of living within their means, they are living outside and above.
Gaining control of your spending habits can prevent financial spirals such as bankruptcy. One of the main reasons why people go bankrupt is because of a lack of control over their finances. Many of them spend far more than they have. Instead of living within their means, they are living outside and above. Typically the first sign of poor money management is maxed out credit cards and the salary is spent the minute it comes in. Another is paying bills sporadically and not in their entirety.
Going bankrupt is a sign of neglect and it could be bad for your reputation. Bankruptcy used to have a major stigma attached to it. However, with so many people headed in that direction, it has now become the norm. When you file bankruptcy, your credit report is no longer clean, and this makes it very difficult to get a loan. It can be very difficult to get new credit or even buy a house. This stigma can last upwards to 10 years.
The best way to manage your finances is to save more spend less. If you find this to be a difficult task, the following tips can assist you with getting on track.
- Automated payments. You could enroll as many due accounts to automatically be debited from your checking or savings account on a monthly basis. When the bills are due to be paid, the amount set will automatically be taken out of your account. All you have to do is make sure you leave enough money in your account prior to this occurrence. If you have a little extra income, try paying more on your bills than what is due. Not only will this allow you to pay them off sooner, you will also have extra cash to save. Automated payments can help you get on track with your finances and manage them in a more responsible way.
- Less leisure and frivolous spending. Most of the time people spend money on things that are not essentials like eating out, going to the movies and buying things they don't need. Instead of eating out and spending money unnecessarily, cook a meal at home for much less. Instead of going to the movie theater, wait until the movie comes out on DVD or on your selected cable network. ( SAVE MONEY ON YOUR HOME ENTERTAINMENT) Besides, the cost to go to the movies has skyrocketed over the years. Another way to save money is to schedule as many errands as you can in one trip. This can help you save money on gas and give you time to do other things. Another way to save is to shop only when you need to shop and do it with a list. This way you won't be going into the store and on scavenger hunt buying things you don't really need.
- Save every penny, nickel, dime and quarter. Yes... change adds up! Try saving change that you keep in your car, around the house, and on the ground. Every day I find change laying somewhere. You might be surprised how quickly it adds up. As an example, for a whole month, I had the opportunity to save $50 dollars just with coins I would have tossed to the side unknowingly. To add to the fun, grocery stores and banks now have coin counter machines to help you count your change.
- Make saving money a game. You shouldn’t be the only one saving. Get inspired and teach your family and friends to save as well. Children should know not to ask for large amounts of money for trivial things and they should learn this at an early age. They should understand the value of a dollar and strive to save it for a specific purpose. These teachings can carry them far in life with money management and saving. Set a goal and a date as to how much money you want to save. Upon reaching that goal, treat yourself to something special. Without going overboard of course.
- Change your pattern of thought. The mindset of saving can be thought of as depressing. Like really? What's the use of saving when you can't take it with you? If the thought is to save on purpose with the intention of using the money to stay free from debt, perhaps it will be motivating from that perspective. Stores set up traps to entice you. Commercials play on TV to lure you in. Gain greater control of your thoughts and understand that every dollar spent comes with a cost. You don’t have to be thinking about money or things all the time, but you should be thinking about the future and saving for harder times ahead. Somehow or another, hard times seem to find you when you least expect it.
Learn to read daily affirmations and seek out subliminal messages as a way to change your thought patterns. Set goals, plan for specific things in advance and be purposed in your desires to control money and not let it control you. Whenever you feel like spending money on something you don’t really need, repeat these statements.....
"It is imperative that I save for my future."
"My future depends on me."
"Money is a tool and I should use it as such."
"I will not let money control me. Instead, I will control it."
I hope you found this information valuable. If you did, please don't hesitate to share.
I am Nichelle Womack, your life transition, and business strategist. I aim to make you think through your thoughts, live without excuses and create a life filled with happiness, success, and financial reward. Join me on live on Periscope, Instagram and Twitter @NichelleWomack or download the podcast on iTunes @ The People Connect Podcast. Until next time, peace and blessings unto you.