5 Simple But Powerful Steps to Financial Peace of Mind
While work, sleep deprivation, family and overscheduling all contribute to the rising incidence of stress today, studies show that money tops the list for Americans. Mounting debt, juggling accounts and worry about meeting monthly expenses all add to money worries that rob you of peace of mind.
Concerns about reaching future goals, overspending, the different spending and saving styles of you and your spouse, and peer pressure from friends can pile on to sabotage your feeling of calm. This, in turn, can lead to sleepless nights, preoccupation with work, marital strain and ultimately even more stress.
Before you continue reading, it is important to note that it may take years to get your financial house in order. Feel encouraged though that every step you take will help to reduce financial stress and bring more financial stability.
Here are some of the most powerful steps to financial peace of mind.
1. Create a healthy money relationship
Having a healthy relationship with money is important because it puts us in a powerful position to attract an abundance of it. Having an unhealthy relationship with money is a block to manifesting prosperity and living an abundant life.
There are many reasons why we develop an unhealthy relationship with money, and many of the reasons are buried deep down in our subconscious which means sadly we are not even aware that they are there driving our money mindset.
As a business owner, your relationship with money matters. You will have to make difficult decisions regarding your spending do you pay cash for everything your business needs even if it hinders your potential growth.
Do you spend money unnecessarily without looking at the return on investment(ROI) for each expenditure?
Do you react emotionally to money issues or do you analyze whether each purchase is a want or a need? These are all important things to look at when starting or growing your business.
Your relationship with money, at the end of the day, is emotional. Relationship with money can be complicated, according to an article from CNN. As with all emotions, understanding how they influence your decision-making process will unlock a new way to understand your behaviors.
All business decisions should be made based on a clear understanding of how it influences the potential of the business. There is no room for emotions when it comes to how you spend your money. These decisions need to based on real situations.
2. Understand your needs.
Now, this is the area that gets most people in financial difficulty in the first place.
There is a huge difference between wants and needs and if you honestly look at your financial position and consider how you have built up the debt that you are currently faced with you might just find that it is due to over expenditure on wants.
Needs are those factors that are required for you to lead a healthy happy life on a daily basis to maintain good health in mind and body for you and those whom you are responsible for.
Good food, shelter, health care – These come under the banner of needs because these are the simple things in life that you need to get by.
That 80-inch TV, alloy wheels on your car, the latest designer clothing, cigarettes, etc – These are wants and there is certainly no need to have them in your life.
These are the things that get people into trouble. These are the things that cause your dеbt and ѕtrеѕѕ and detract from your lifestyle.
These are the things that make people miserable at the end of the day because you still have to pay for them, you don’t need them and you certainly don’t need debt that comes with them.
Just understanding the difference between wants and needs might be all that you need to turn your life around and ensure that you never become overburdened with debt again.
3. More is not always better
The pursuit of money is on some ways a very shallow thing and it won’t bring happiness unless your mind is prepared to use that money in ways that expand it and satisfy it.
So, to me an interest in technology and sports and the arts, is all part of just being a full human being, and of course you’ve got to make some money as well, but our education system seems to me, should be producing fully rounded human beings who can say:
Sо, tо mе an іntеrеѕt in technology аnd sports аnd thе аrtѕ, іѕ all раrt оf juѕt being a full humаn being, and оf соurѕе уоu’vе got tо mаkе ѕоmе mоnеу аѕ well, but our education ѕуѕtеm іt ѕееmѕ to mе, should bе рrоduсіng fullу rounded humаn bеіngѕ whо can ѕау,
“I’ve lead a really satisfying life. I’ve had all the tools I need to be able to lead agreat life”, rather than just, “I made some money” – Tim Flannery
Let’s face it, you probably don’t work long hours because you have nothing better to do. You may feel the weight of credit cards and other payments that seem to be sapping your strength and your finances.
You may wonder, when can I get a break?
When a break comes, you may not know what to do with yourself because you’re always working and you have forgotten what else there is.
How can you combat these problems?
The most obvious way seems to be working longer and making more money and somehow get to a point where ends meet, but let’s examine another step that can complement your hard work and actually produce the result you want.
4. Invest in your joy
Money matters up to the point when it allows you to have adequate shelter, utilities, food, and transportation. Beyond that, the contribution to the happiness of more wealth pales in comparison to your relationships with lovers, blood relations, friends and colleagues.
I remember when my Aunt’s kids and their wives were planning a surprise birthday party for her, and a bunch of details started agitating a few of us.
At some point, one of us stepped in and said, “Look, she isn’t going to remember the food, the presents, or the speeches in the years to come: only the people who were there.
And we all relaxed. The more you focus on spending time with people you like or love, the less you’ll find you need to spend on stuff or even experiences.
Sure, spend it if you have it: once you’re saving as I suggested in step 1, you’re SUPPOSED to spend the rest of the money. But writing this post, I can tell you right now that what you will miss most in your life are those great memories spent with your loved ones.
5. Stop living a lie (be honest to yourself)
Are you still sacrificing the things that matter most on the altar of urgency?
Do you say, things will be different tomorrow?
I have friends that are sacrificing their spouses, children friends and health while they repeat the lie, things will be different tomorrow.
They seem to believe the illusion that things magically change.
Today is yesterday’s tomorrow. Are things different? or is it more of the same? Things don’t change. If you’re living the lie, things aren’t the problem, you are.
Things won’t change until you change.
If you’re habitually burning others up and burning yourself out, repeat after me. I say I value my family, but I don’t. I say my health is important, but it isn’t.
You can’t wait to build your future. You already built it yesterday.
“Yesterday, you honored things by giving them your attention and energy. The things you honored yesterday define you today.”
Ultimately, the things that define you control you. For example, when career defines you it controls you.
A dear friend said, “I see what you’re saying but I can’t seem to break the pattern”.
It’s true, shifting from sleep-walking to wide-awake-living is like facing the glare florescent lights after a long night in darkness. It hurts.
Stop lying and start truthing
Begin truthing by thoughtfully uncovering, intentionally embracing, and gradually integrating your personal values.
First, uncover neglected values by exploring your frustrations. Are you frustrated that you aren’t building relationships? Bingo – a neglected value!
Second, tell a friend you’ve re-embraced a neglected value that shriveled and died in the darkness of daily stress. Perhaps it’s time to find an accountability partner?
Lastly, begin rejecting the values others impose on you by gradually and gently making life-choices based on your personal values.
In conclusion, there are many ways to live beneath your means and acquire better financial peace of mind. We lose our cool financially when our money is out of control.
Learn the basic ropes of personal finance, spend time caring for your own financial garden, and you may be surprised at the extent to which it improves your life.
People don’t feel secure when their means of sustenance and shelter are constantly in upheaval. Financial peace of mind can be achieved but it has to start with you.
When you have financial security, you are very likely to have physical security, which can only have a positive impact on your state of mind.