Do you feel as if you repeat the same financial missteps? Do you find that a lack of financial planning leads you to end up in hot water? If so, you may find it just as difficult to imagine how you can avoid these pitfalls.
We recently observed Groundhog Day in the United States on February 2. In the movie Groundhog Day, the main character (a TV meteorologist reporting on Groundhog Day) repeatedly lives that day over and over until he gets it right—his ‘get out of jail’ card is learning to be kind.
Perhaps for you, the key to ending a cycle of financial missteps is being kinder to yourself. You may read about people who went bankrupt, lost everything, or had some kind of financial reckoning that forced them to get on the right track—but surely you don’t want this for yourself.
Instead, consider small, incremental changes you can make over time that can get you out of a cycle of money worries. And don’t get discouraged if your financial outlook doesn’t seem different immediately—it takes time to develop the kind of money management habits that can keep you out of debt and lead to prosperity.
Get into the habit of saving—Saving a small amount on a regular basis will help you to see what a difference having savings on hand can make.
Think about how you can spend less—Stepping away from one unnecessary purchase can put you on the road to better money management. Seeing that you can survive without extras will help you get better at discerning needs from wants.
Get some perspective—Ask a close friend or relative what they think of your spending habits. The response may surprise you—perhaps those around you see your missteps but fear offending you.
Get some help— Don’t think you have to figure it out on your own. A Fee-Only financial planner can help you keep your financial house in order and help ensure that you can provide for yourself and the people you love.