5 Steps to Managing Your Money Like An Adult
Budgeting is hard, isn’t it? It just seems like for some people it comes naturally – but for you – it doesn’t. That’s what I thought too until I realized the importance of managing my money like an adult! As the saying goes, money can’t buy happiness – we’ll, I have an amendment to make to that statement. Sure, money can’t buy happiness, but it sure can make life a bit easier, can’t it? Learning how to manage you money successfully means that you’ll be able to live your life how you want to. If you’re tired or working a 9 to 5 and you want to take your business full time – guess what? You can. You just have to plan for it. That’s all. Maybe you want to retire early with a large nest egg – you can do that too! Or you want to afford a new car, new house, new whatever. You can do it. You just have to plan for it financially.
Now, I know that might not sound easy for you – but it is for me. That’s why I’m here, writing these posts, offering the services that I do, because this stuff just clicks in my head and I can teach you to make it click in your head too! I’m not a savant, in any sense of the word. I’m a normal average woman who has big dreams and goals and I’m just ready to make them happen.
Learn How to Budget
Learning how to budget is the first and most important step you need to take in order to manage your money like an adult. You need to have a very detailed understanding of the money that’s coming in and the money that’s going out. Sometimes you need to set a limit for yourself – and being an adult – you need to understand that that limit is there for a good reason. Stop with the impulsive purchases so that money stays in your account. There are many ways that you can control your spending, and believe it or not, but it kinda gets fun at the end of the month. It’s turned into a game of how much can I save this month! Yea yea, I know I’m kinda a nerd. But, don’t you want to be a nerd who is saving money right and left too?
Stick to That Budget
Self control. That’s a thing that needs to be practiced day in and day out with money. Especially if you find yourself compulsive shopping. Which, I’m a recovering addict. Heyoo! Target and Marshals were my go to for impulsive buys that left me feeling awesome for like 2.7 seconds and my wallet empty which lasted a lot longer than that. I’m not saying never buy something nice ever again – no way! What I’m saying is to set a limit for yourself. Maybe this month you only have $100 for miscellaneous items. Then you could work your way down from there if you choose to do so. It’s your budget and you have complete control over how you want to spend your money. The purpose of a budget is to help you achieve your dreams and goals. If you’re on fire and want to achieve your goals, like yesterday, then you’ll probably have an easier time cutting back spending. If you’re more about enjoying the little things in life and you know that your dreams will happen eventually – then you’ll probably have a little bit more leeway in your budget for purchases.
Know your Long and Short Term Goals
When you’re trying to stick to your budget, you need – and I truly do mean need – to have a list of long and short term goals created. These goals help you stick to your budget and keep pushing even on those tight months when you feel like you’re being restricted. Short term goals help you accomplish them easier and in a shorter amount of time to keep you encouraged for longer term goals. I recommend that you have a Pinterest vision board or a physical board that you hang up and check on regularly. Pin or post things on that board that you see yourself doing in 1, 2, 5, 10,15 years. This will help you stay motivated for achieve your wildest dreams. Which they are possible, if you just put a little bit of dedication and drive behind you.
Learn How to Say No
This is a tough one for most people. We all have friends who are well off or don’t budget as closely as we do. Maybe they’re spending their money frivolously and haven’t realized the importance of budgeting yet. You need to learn how to say no to your friends when they ask if you want to come to this really expensive festival, or show, or whatever else it might be. If it doesn’t fit in your budget, then simply say I can’t come. They’ll still love you at the end of it and maybe you can suggest something that’s more affordable. Like a movie at someone’s house, picnic, hike, or game night. Most of the time they’ll be understanding want to accommodate to your budget. You might actually help them see that it’s easier to budget than they thought and get them on the budgeting bandwagon!
See the Big Picture
I’m especially preaching to myself on this last one. I constantly find myself wishing that I could pay off all our debt today. But, I need to remember the big picture. When we’re children, we don’t see the big picture. We only see the instant gratification aspect of things. Now that we’re adults, we need to remember that things take time and we might be saying no now but it won't be for forever. Keep that big picture in your head. Think about where you and your family will be at the end of these goals. They’ll thank you in the long run, and you’ll thank yourself in the long run too. You just need to remember that. Patience is key.
It’s time to look at finances and handle money management like an adult. You’re no longer a child. You have bills and can fully understand the consequences of not managing your money. But, if you make that mindset shift and learn how to budget – your life will change for the better. That I guarantee.
If you need a little help when it comes to managing money, I’ve got your back. Book your 30 minute free discovery call where we go over your 3 long and short term goals. If you decide that you want to take it a step farther – I’ll sit down with you and go over your budget and help you achieve your wildest dreams by making your money work for you. Ready to make that leap? Book your free 30 minute discovery call today!