How many times have you looked at your bank account and wished there was more money in it? When I speak to clients, one of the biggest concerns they have is money. They don’t have savings. They don’t have financial stability. They fear the future and are paralyzed when it comes to making change to make it better.
I wanted to share my three-step method to starting down the path to financial stability with you, in case you are someone who KNOWS they need to implement change in their lives financially, but they don’t know where to start.
Spoiler alert! This easy to follow three step method works for ALL types of change.
Step 1: Take inventory.
When it comes to money (and life), we often have trouble when we feel out of control. When I talk to clients who are experiencing financial stress, I always recommend that they first take inventory. For one week, write down EVERYTHING you spend money on and all of the money you bring in. Literally you pick up a penny, write it down. You buy a pack of gum with the coins at the bottom of your bag/wallet…write it down.
Step 2: Restrict and Analyze
You get to choose how you experience life. You can wake up in the morning and repetitively tell yourself that you have no money to spend and not spend it, or you can wake up in the morning saying, “I have to buy makeup remover and I’m too tired to make lunch this morning, so i’ll just pick something up.” Take a predetermined amount of time and be very strict with your money – really analyze every purchase. Still writing down all of the in/out transactions so that you have tangible evidence of what is going on. I recommend literally writing it down on paper. I think there is something particularly meaningful about that process. Something that is usually helpful during this time is to have a list of wants. Write down all the things you want to purchase but recognize it should not happen during this analysis time. During this month you should also be able to create a clear picture of your necessary monthly spending.
Step 3: Evaluation and create a plan
For the first time through this process you want to create a long-term strategy. You now see the holes, you have plugged them aggressively, but now you need to create a lasting plan. This is where you need to really be honest with yourself and the current state of affairs. You are not committing to a strategy FOREVER because life is constantly evolving. You are creating a strategy to solve your current problem. Create small goals that you can achieve along the way and be sure to celebrate those goals! Create a chart on the wall you can color in your progress or give yourself a reward for each phase of completion. Most of all, always have a way of reminding yourself of your WHY, every step of the way.
Ready to take action, but want a bit of extra support. Schedule a free strategy call with me : Free Strategy Call