Your relationship with money is directly tied to how you manage your money and your overall financial health. It is all too easy to look at money in a way that is very cut or dry; either we feel that we have a negative relationship with money, or we love money and want more, more, more.
It’s easy to have a relationship with almost everything else in your life like your health, job, culture, religion, and education. Your finances are the exact same, and the only way to boost your feelings around money is by dedicating yourself to improving your relationship one step at a time. Here are some helpful tips that will help you do just that.
1. Look Long and Hard at Your Current Relationship With Money
Not sure where to start when discovering your thoughts and feelings surrounding your finances? Start by taking note of your thoughts when interacting with money and financial tasks. Do you feel a rush of joy when your paycheck hits your account, but experience a feeling of dread when it comes to budgeting? Do you feel helpless and that you can’t change your current situation every time a bill comes through? Being aware of these thoughts is the first step to improving them.
2. Commit to Tracking Your Money
It is all too easy to turn a blind eye to your bills until it is time to pay them. And then once you have them in front of you, you choose to only pay the minimum monthly payment. This can be detrimental for not only your credit score, but your savings. So take the time to look long and hard at your finances and figure out exactly how much you owe, down to the cent. Then commit yourself to tracking all your spending, and when you do this, you’ll find that you’re making wiser choices about your money on a whole.
3. Educate Yourself
We understand, finances can be overwhelming. But that’s why we’re here! Our financial advisors at Second Opinion Partners are here to educate you on everything and anything you need to know about your finances; from investing and saving for retirement to creating budgets and making mindful spending habits. The more you understand what is going on with your finances, the easier it will be to create a relationship that works for you.
4. Be Kind to Yourself
The past is in the past, and don’t spend too much time beating yourself up for the financial choices you’ve made. Rather, take that energy to focus on how you can build wealth today, tomorrow, and in one year from now. Keep focusing on the future, and understand that it is totally normal to have made mistakes with your money. Being mindful of your past is key to preventing the same errors again.
Transforming your relationship with money doesn’t have to be a long and daunting effort. Just use the above tips, and consult our trusted financial advisors at Second Opinion Partners for your financial planning needs.