Congratulations, you’ve decided that you’re tired of spending every month worrying whether you can afford to pay for both your needs and your wants. Instead, you’re going to sit down with a calculator, and get your financial situation under wraps.
The only downside is that making a massive change to your cash flow isn’t an overnight thing. Most of the time, you’re going to have to commit to making small changes that can gradually add up over months and years. You might even need to practice changing your relationship with money and avoiding temptation.
Don’t worry though; it’s not all super hard work. You can also claim some little victories more quickly than you might think. Here are just some wins that you can grab this month.
Win 1: Being Realistic
Yep, one of the best things you can do for your finances, is be realistic. First, this means being brutally honest about how much you spend on everything. That includes your game addiction, your coffee on the way to work each morning, and a bunch of other little expenses. Only once you see how much you’re really spending; can you begin to cut down.
Once you’ve got a good overview of the cash that’s going out of your bank account, commit to being realistic about how you’re going to cut down in certain areas. For instance, could you reduce your number of pizzas from your favourite take-out place to only 2 a month instead of four? Would it be possible to just get coffee 3 times a week, instead of every day?
Win 2: Manage your Debts
Debts are something that most of us will have at some point. You might take out a loan to help you get your education, or a loan for your new car. Whatever you’re borrowing money for, you don’t have to feel guilty about needing a loan. Most of the population is just like you. All you need is a strategy for how you’re going to make the most of the money you borrow.
Start by educating yourself about the right loan options before you take out any money and making sure that you get the right deal. If you already have debts, look for ways to consolidate or group them together to reduce the amount of interest you have to spend. If you don’t have any debts yet, maybe it would help to take out a loan to help with an upcoming big expense?
Win 3: Finding New Opportunities
Maybe your problem with money is that you just don’t get enough of it from your current career. If that’s the case, it might be time to look for another way to earn. You can either start searching for jobs in your field that might be able to pay you more if you’re willing to take on a little bit of extra training, or you can consider a second job that you do in your spare time.
I8f you go for a second job, make sure that it’s something that’s not going to leave you burned out. You still need to end up feeling happy and satisfied in your life. The last thing you want is to be so exhausted that you end up having to give up both of your jobs at once.
Win 4: Finding Small Victories
If getting another job isn’t an option, then look for easy ways that you can cut down on your expenses without cutting too much fun out of your life. For instance, if you’re spending a fortune on your car to get to work every day, then it might be a good idea to consider a carpool strategy with your team members instead.
On the other hand, if you’re paying over the odds for things like home and health insurance, maybe switching to a different provider would give you a little more cash in your pocket at the end of each month. Sitting down with your budget and looking for ways to save could end up giving you access to opportunities that you never thought about before.
Win 5: Giving Yourself a Break
As important as it is for people who create a budget to stick to their guns and make sure that they follow their own rules, it’s important to remember that you’re not perfect. You’re going to fall off the wagon from time to time.
Don’t let yourself get bogged down by these failure moments. Pick yourself up and ask yourself what you can do to reduce your chances of facing the same issue again in the future.
