Arriving at the end of your financial, behavioral development should not be an expectation. Why? Because, good money management is a life-long necessity. Do you have a weekly, monthly, quarterly or daily routine for your money practices? Did you know that scheduling time for your money could save you money, time and relieve you of undue stress?
Ask yourself when was the last time you sat down to consciously examine your money habits? Do you know your bottomline numbers? The tips below might look familiar to some of you in the LMLDF community. But, good, positive reminders could be exactly what you need to propel you to reach your desired results.
Stefanie O’Connell, Success (2021), offered money practice tips that you can start building today, that could change the trajectory of your financial journey.
1. Think of it as a lifelong journey.
I use the term practice to describe managing my money because it implies an ongoing effort as opposed to a one-time task. I sometimes joke: You don’t go to one yoga class and then say, “Great, now I’m fit for life.” Like most forms of wellness, money management is an ongoing effort.
2. Adopt a growth mindset.
Approaching your finances as a practice helps nurture a growth mindset instead of a fixed one. When it comes to money, this can mean the difference between thinking, I need to learn more about how to invest versus I’m just bad at money, so there’s no point in trying. A growth mindset is a valuable tool for managing the inevitable setbacks that will arise on your financial journey.
3. Weave it into your daily life.
Above all else, a money practice is about setting aside dedicated time for financial self-care. What your money practice actually looks like will depend on the strategies that work best for you and what you’re trying to achieve with your money. For some people, it might look like budgeting every dollar at the end of each month. Or, like me, it might mean simply tracking where your money goes each week.
Here are some ideas to get you started:
- Weekly: Track income, expenses, bills and payments.
- Monthly: Track household expenses, net worth, debt repayment progress, and savings and investing progress.
- Quarterly: Review investments and rebalance portfolio, consider meeting with a financial professional to ask questions, and set future plans.
- Annually: File taxes, review credit reports, check insurance coverage and update as needed, review retirement savings goals, review and update beneficiaries, power of attorney and other estate plans as necessary.
I hope these simple tips were helpful. Don’t delay! Get started on improving your financial self-care today!
Christine Roebuck/CEO/Financial Strategist