Your finances are a big part of your life because they have an impact on the kind of life you’ll live, especially regarding quality. While some people are naturally more frugal than others, for those who aren’t it isn’t too late to learn how to start. If you aren’t happy with your financial situation, instead of staying stuck where you are, you can turn things around. However, be ready to commit to doing so as well as to set achievable goals. Keep reading to find out how you can take control of your finances and make lasting changes.
1.) Set Goals
To begin with, if you want to make any progress with your finances, then you need to set goals. This is because goals help you visualize where you want to be and give you something to work towards. To set financial goals, start by defining them clearly and making sure that they’re realistic. In case you don’t know what a realistic goal is, it should be achievable, specific and measurable.
When setting goals, identify your timeframe which means determining how long it will take to achieve each goal. Doing so can help create a sense of urgency so that you stay focused and know you need to achieve them by a specific time. Also, categorize your goals by short, long-term and medium ones. For instance, a short-term goal may be to save enough to buy tickets to a concert, while a long-term one could be saving for retirement.
2.) Be Disciplined
No matter how many goals that you set, if you aren’t disciplined, you won’t get very far. Discipline isn’t something that you acquire overnight. It takes time and effort to get to a point where you decide to turn down a night out because it’s not in your budget.
A tip to help with discipline is to firstly find motivation. Whether it be by creating a mood board or scrapbook that shows what your goals are, it can help improve your discipline. Another thing that you can do is start by taking small actions instead of big and overwhelming steps. Also, be mindful of your urges to impulse shop as that could help you not to succumb to them.
3.) Improve Your Credit
Your credit is another big area to focus on for better finances. This is so important as if you want to make any major purchases and need a bank loan, they’re likely to do a credit check first. Credit checks help them determine the likelihood of them getting their money back if they do borrow it to you.
Aside from paying off your debt, a practical way to improve your credit would be to take out a loan and make sure that your repayments are prompt and on time. You could start by using Bonsai Finance to request a payday loan as they don’t require a credit check and you’ll get instant approval if you’re eligible.
4.) Learn to Bargain
Improving your finance doesn’t necessarily mean depriving yourself of all of the things you love. Instead, it means learning how to be more economical and make the most of the money that you have. One of the ways that you can do this is by learning the art of bargaining and haggling.
To negotiate lower prices, doing your homework is the first step. Figure out how much competitors are offering for the product or service and check if there’s a deadline such as a one time offer, for instance. Additionally, let the seller give you the first price as this may give you a chance to counter with an amount lower than what you would have first offered. If you do set the first price, make it incredibly low so that it sets the overall price anchor low and ask for extras.
5.) Think About Your Future
You will have weak moments when trying to organize your finances, but thinking about your future can go a long way in helping you resist temptation. Always remind yourself of the benefits of having healthier finances such as having more security, less debt and a greater number of options. Having said that, in as much as you should focus on your future, to improve your finances, it’s equally imperative that you don’t obsess as well as overthink it.
6.) Get Professional Help
If all else fails, you can always get professional help. Getting a life coach or a financial adviser makes sense for some as they have expertise in this department. However, when choosing a financial adviser, you’ve got to think about exactly what area you need help in and if you truly need one. Firstly, ask for references as your friends and family may be able to point you in the right direction. This should also give you the confidence that they’re credible and are capable of giving you the advice that you need.
7.) Get an Accountability Partner
Having someone who shares similar goals to you around can help you reach your target far quicker. Think about getting an accountability partner who can motivate you as well as help when you’re slipping.
If you’re wondering how you’re supposed to find one, ask friends, family or use social media. It’s a way to hold yourself accountable and take responsibility for your choices or lack thereof.
8.) Update Your Knowledge
Learning more about finances could give you the motivation and determination that you need to keep going. It’s a quick and easy way to make your finances better and also help you aspire to do things better. You should update your knowledge in terms of technology too as it can help with managing your finances. For instance, you can use apps to help track your spending, help you invest your spare change, and give you quick finance tips.
Taking control of your finances is something that’s very achievable. However, you have to be determined and focus on your end goal if you want to see progress. In doing so, you should find that the changes you’re making last.
About Jammie Morey
Speak Your Mind