Are you ready to alter your habits to obtain the life you’ve been dreaming about? It’s possible when you make real, consistent financial changes. Keeping track of your net worth, working within a strict budget, and searching for car insurance quotes that offer substantial savings are among some of the tips to follow to change your life into a more financially fulfilling one.
1. Build a Financial Calendar
Never be late with a bill again or pay obscene fees when you are. Every bill that you pay by hand and is not automatically taken from your account should be scheduled in your financial calendar. The gas & electric, water, cable, phone, credit cards, mortgage, etc. are all potential monthly bills to include.
2. Go All-Cash
When you’re used to using your card for everything, it can be a scary proposition to go all cash. For one, you’re not exactly used to carrying cash on you and secondly, transactions aren’t nearly as quick (think about getting fuel for your car). However, holding real money in your hands will help you keep a tighter reign on overspending.
3. Set Up Automatic Bill Pay
Not available for every bill, but investigate to see which of your bills can be paid directly from your bank to theirs. Keep an eye every month on how much is being taken out so any fee or bill increase can be investigated.
4. Banish Limiting Finance Beliefs
If you believe you’ll never get out of credit card debt or that you’ll never make more money, you’re likely to get stuck in that mode of thinking and that will be your reality. Instead, remind yourself that you can become financially better off and don’t falter from that mindset.
5. Learn How to Appreciate
When you are grateful for what you have instead of always trying to get something new and ‘better’ you not only spend less but your life feels so much more fulfilling.
6. Skip the Cosigns
There usually comes a time in everyone’s life when they’re asked to cosign a loan. This may be from a friend or family member. Keep in mind that the bank wants a cosigner because they don’t trust the person to make payments on their own. And, if they miss payments, you’re on the hook for the loan. This can scar your credit score and deplete your bank account.
7. Buy Smart
It’s true that time is money. If you’re looking to get more happiness out of life by experiencing more of what it has to offer, opt to spend your money on experiences rather than objects.
8. Separate Checking & Savings Accounts
Most adults have checking accounts, but where is the savings? If your checking and savings account are one in the same, you’re doing yourself a disservice. When money is readily available to you, you are more likely to spend it. Open a savings account and don’t get a card for it. Force yourself to walk into the bank for withdrawals so you do them as infrequently as possible.
9. Review Your Insurance
You know you have it and sometimes that feels ‘good enough.’ However, you might be paying more for insurance than you need to be, especially if you haven’t reviewed your policy terms in a while.
10. Pay Off Little Debts First
The big credit card debt may feel overwhelming and insurmountable, so build up your confidence by paying off the smaller debts first. Department stores, gas cards, and home improvement cards often have easier to tackle balances that will help you feel in control of your financial health.
11. Don’t Compare
Sure, the neighbors have that great in-ground pool and your cousins might enjoy a hot tub every evening, but if those things are beyond your financial means (and be honest with yourself about it) then make friends with your neighbors and your cousins so you can partake without shouldering the cost! The truth is you don’t know what debt other people are carrying, either.
12. Avoid Lifestyle Inflation
Getting a raise or a financial windfall (large or small) doesn’t give you a financial license to go out and spend. Instead, grow your net worth by allocating a portion of your newfound money into your savings or investments so you can keep building your financial empire.
If you’re looking for more financial freedom and greater control of your fiscal future, there are plenty of opportunities already available to you to make positive changes.