Do you find yourself dreading balancing your checkbook? Do you think you’ll never be someone who is good with money? Managing your money doesn’t have to be stressful. One of the easiest steps you can take to help yourself reach financial goals is replacing negative thoughts with optimism. Mint.com has six steps to help start you on the road to adopting a positive mindset about money:
- Forgive Yourself for Financial Mistakes. Late payments and binge shopping sessions are in the past. Don’t let the mistakes you made before stop you in your tracks. Think about what you have learned from those mistakes, and use those lessons to move on to better money management habits.
- Understand Your Money Mindset. It can be easy to develop patterns when it comes to money decisions without even realizing it. Before you can turn poor habits into good ones, you need to be aware of where improvement is needed.
- Stop Comparing Yourself to Others. Don’t get caught up in keeping up with the Joneses. Comparing your financial situation to others is only a recipe for disappointment. Instead, set realistic goals, and celebrate as you reach them.
- Create and Maintain Good Habits. After setting a realistic goal, it’s time to evaluate your income and expenses, and set a budget. Identify areas where you can cut spending, and avoid situations that may tempt you to overspend. Set a recurring reminder on your calendar to check in on your progress.
- Optimize Your Budget for Happiness. A budget doesn’t mean you’re not allowed to have fun. Consider following the 50/30/20 budgeting rule. 50 percent of your earnings are reserved for needs, 30 percent can be spent on wants and 20 percent goes into savings. This method helps you build an emergency fund and also allows for a little fun money, so you don’t feel so restricted.
- Practice Gratitude. Instead of focusing on mistakes and things you can’t afford, redirect your thoughts to what you DO have. Try writing down at least one thing you are grateful for every day. On days when you’re feeling down, you can look back at what you’ve written for motivation.
Categories:
Smart Spending
, Strategies for Saving
