I’ve been on this new quest to lose weight and I’ve been applying the same principles I used to gain control over my money situation to my weight issue. So far, it’s been working pretty well as I’ve already dropped 21 lbs.
When I started gaining control over my finances, I quickly learned that I needed to establish better habits. For example, when the bills came in, I typically would throw them into a basket and try and forget about them. Consequently, I usually did forget about them until I was getting a late or shut off notice.
I inevitably ended up paying so much more money in late fees, reinstatement fees and interest.
One day, I finally woke up. It was the day I got the letter from the mortgage company telling me they would be starting the foreclosure process. I didn’t know at the time just how long the process actually takes and I’m glad I didn’t because it would have hampered my growth.
Instead, I came out of the money fog I was in and started doing something about my money problems. I implemented some great new habits and I’m sharing three of my best habits with you, today, so you too can change your financial situation:
1. Find A Permanent Home For Your Bills
When you have bills strewn about your home, office and car, you are experiencing money avoidance. This takes up valuable space and energy that would be better used in another fashion.
Next time a bill comes in, I want you to put it into a folder you created and labeled as “bills to be paid.” This sounds very simple, but for a lot of you this will be something you haven’t ever done. Have one place where you put all of your bills to pay. When the bills come in, put them in your folder.
By paying attention to bills in this way, you clear the money clutter you’ve created, made more room to handle your money in a more positive way and now can find your bills easily with little effort.
2. Schedule Bill Paying
Most people don’t pay their bills with any regularity. They pay their bills when they think they have the money or when they think about it, which, if you avoid paying your bills, will create unnecessary drama for you.
Instead of all the drama and chaos, I want you to decide when you will pay your bills and mark this date on your calendar starting with this month right through until the end of the year. You’re not going to leave this to chance or fate.
On that day, pull out that folder marked “Bills To Be Paid” and pay your bills. Each time a new bill comes in put it in your folder so when the day comes to pay the bills, it will be right there waiting for you.
3. Balance Your Check Book Every Month
I remember, before I came out of the fog and into the light, I never balanced my checkbook. When I finally got around to doing it, I was so overwhelmed that I actually closed my accounts and opened new accounts so I could start with a clean slate.
I don’t suggest you do this, but I do want you to balance your checking account every month.
Here’s what I recommend: Your statement will come to you at the same time each month. Figure out when you expect to get your statement in the mail and schedule into your planner an hour to balance your account. When the date arrives, go to Quick Books, or whatever method you use, and balance your account.
Taking the time to engage in these good habits will ensure you get and stay on the path to financial wellness. Don’t delay in doing what you need to do to change your bad habits into good ones.
What are your best habits to successfully manage your finances? Share your ideas in the comments section below…
I like the practicality of this article delivers. I think, it all boils down to lack of management and priorities. What I do is self-discipline. Don’t wait for the bills to become due, when you have the money, pay all those financial obligations. It happened to me before that during payday, i lose control of my budget and buy stuff before I realize that I got ran out of cash for my postpaid plan.
Twitter: yogainspiresyou
says:
Maureen..thank you. I found it very reassuring to read your post and bio. Clearing my debts is one of my life goals this year plus saving and learning\understanding better ways to lok after the money I receive. Your tips and ideas are a definite step in the right direction. Thx
Thanks you for the feedback! Paying off your debt is one of the most liberating experiences. Good luck and check my site for additional free information that you might find helpful as you make your way on this journey.
Twitter: 808allenNstacie
says:
I don’t do my budget weekly. I do one monthly and decide ahead of time what’s getting paid with which incoming funds.
However, I find I need to check on my balances weekly. Otherwise, by the time I check it a month alter, there are too many things in there (or not in there) that I could’ve caught earlier if I was more attentive on a regular basis!
Disorganization and simple lack of paying attention can really cause a lot of unnecessary stress and avoidable financial problems in your finances.
Twitter: managemoneytips
says:
I do my budget every week I take my spreadsheet with all my bills marked and decide which ones have to be paid this week. Then I check my bank accounts to make sure we are in sych. Then I check my credit card transactions to make sure we are in synch. It takes only a few minutes and keeps me on track. I have used this system all my life while raising two children on my own. I am financially free, work because I want to, own my house and travel.