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7 Things I’m Doing Right Now To Improve My Financial Situation

7 Things I’m Doing Right Now To Improve My Financial Situation

    Just like most folks, I don’t consider my financial situation perfect. I have some debt that I need to pay off and some goals I want to achieve. Moving forward on financial matters can seem so difficult. Saying that ‘I want to get out of debt’ is general — there’s no clear starting point. And that’s just the minor stuff: figuring out taxes can make you wish we all still relied on barter. But setting your financial house in order isn’t impossible. You just need a starting point.

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    These steps are my starting points. Not just any starting points, either: these are my ‘back to basics,’ ‘work on when I have no idea what else to do,’ ‘got to keep with it’ tasks.

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    1. I set goals. My financial goals are very set things, though. They have dollar amounts and due dates, no matter what. After all, my finances are all about numbers. It just makes sense that my financial goals are the same way. I consider something along the lines of ‘I will save $500 by the end of this month for my emergency fund.’ I also think it’s crucial to know from the start what your money is for. Saving for shoes or for getting laid off is easy, but just saving is hard.
    2. I read. I know I don’t know everything there is to know about personal finance. I’m working on correcting that, though. Right now, I’m reading up on stocks — a subject that was not even mentioned during the one semester of financial literacy education my high school provided. Because I’m well aware of the deficiencies of my official personal finance education, I read a lot. I want to know all about different ideas, even if I don’t agree with them.
    3. I take my time. When it comes to a financial decision, including spending relatively large sums of money, I wait. While I might have an instinctive reaction (often along the lines of ‘Buy it! Buy it!’), I’ve found that I save a lot of money by just deciding to come back later. The same holds true on other financial decisions. Before I chose a bank, I take some time and do some research.
    4. I put my money out of reach. I’m lucky — I don’t have a problem resisting the urge to use my credit card. But if I have cash in my pocket, I always have a burning desire to spread the wealth around. I try to head this urge off: I don’t carry much cash. I’ve gone a step beyond that, though. Most of my savings is in an account that, while I can get my money in an emergency, I do have to jump through some hoops to make a withdrawal. Having to go through a few extra steps when I want cash makes me reluctant to spend money when I don’t actually need to.
    5. I improve my income. Passive income is the best thing since sliced bread. Whenever I get the opportunity to set up a passive income stream — even if it’s just a static website with Google AdSense — I do what I can to take full advantage of it. I do what I can to improve my other sources of income, as well. I negotiate for higher pay, take on side projects and generally do whatever I can to increase the amount of money I have coming in.
    6. I run a business. It seems like having a business would be more effort and expense than it would be worth, financially speaking. But you can effectively run a business for free, and it offers several advantages. Consider your ‘business expenses.’ If you run a blog or other computer-based business, that computer you just bought could be tax deductible. You just lowered your tax bill by making a purchase that you probably would anyway.
    7. I do things myself. Some instances of frugality, like making your own soap, may not improve your financial situation. It may not be worth your time to do some things yourself. But I’ve found several things to do myself that have saved me money, liking baking my own bread. Even better, if I’m doing some task I’d normally pay someone else to do, in addition to saving that fee I’m not out spending money on entertainment. Sure, it may not be cheaper for me to grow my own tomatoes, but when I’m gardening, I’m spending only a fraction of what I would at the movie theater.

    There are lots of little things that we can do to tidy up our respective financial situations. It’s important to remember that it’s not an all or nothing proposition you can make progress on your financial goals without committing to complete frugality, massive saving and working every hour in the day. That sort of approach will probably only last you a few days before you break down. But if you work on just a small task or two at a time, you can make a lasting change in your approach to personal finance. Even doing something as simple as eating one extra meal at home each week can make a profound difference in your bank balance.

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    None of the steps I’ve listed before need to be hardcore processes. Even running a business can be something as simple as selling your old stuff on eBay. Each of these steps can be as small — or as big — of a commitment as you would like. Personally, though, I go for the light workload.

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    Last Updated on September 17, 2018

    Why Do I Have Bad Luck? 2 Simple Things to Change Your Destiny

    Why Do I Have Bad Luck? 2 Simple Things to Change Your Destiny

    Are you one of those people who are always suffering setbacks? Does little ever seem to go right for you? Do you sometimes feel that the universe is out to get you? Do you wonder:

    Why do I have bad luck?

    Let me let you into a secret:

    Your luck is no worse—and no better—than anyone else’s. It just feels that way. Better still, there are two simple things you can do which will reverse your feelings of being unlucky.

    1. Stop believing that what happens in your life is down to the vagaries of luck, destiny, supernatural forces, malevolent other people, or anything else outside your self.

    Psychologists call this “external locus of control.” It’s a kind of fatalism, where people believe that they can do little or nothing personally to change their lives.

    Because of this, they either merely hope for the best, focus on trying to change their luck by various kinds of superstition, or submit passively to whatever comes—while complaining that it doesn’t match their hopes.

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    Most successful people take the opposite view. They have “internal locus of control.” They believe that what happens in their life is nearly all down to them; and that even when chance events occur, what is important is not the event itself, but how you respond to it.

    This makes them pro-active, engaged, ready to try new things, and keen to find the means to change whatever in their lives they don’t like.

    They aren’t fatalistic and they don’t blame bad luck for what isn’t right in their world. They look for a way to make things better.

    Are they luckier than the others? Of course not.

    Luck is random—that’s what chance means—so they are just as likely to suffer setbacks as anyone else.

    What’s different is their response. When things go wrong, they quickly look for ways to put them right. They don’t whine, pity themselves, or complain about “bad luck.” They try to learn from what happened to avoid or correct it next time and get on with living their life as best they can.

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    No one is habitually luckier or unluckier than anyone else. It may seem so, over the short term (Random events often come in groups, just as random numbers often lie close together for several instances—which is why gamblers tend to see patterns where none exist).

    When you take a longer perspective, random chance is just . . . random. Yet those who feel that they are less lucky, typically pay far more attention to short-term instances of bad luck, convincing themselves of the correctness of their belief.

    Your locus of control isn’t genetic. You learned it somehow. If it isn’t working for you, change it.

    2. Remember that whatever you pay attention to grows in your mind.

    If you focus on what’s going wrong in your life—especially if you see it as “bad luck” you can do nothing about—it will seem blacker and more malevolent.

    In a short time, you’ll become so convinced that everything is against you that you’ll notice more and more instances where this appears to be true. As a result, you will almost certainly stop trying, convinced that nothing you can do will improve your prospects.

    Fatalism feeds on itself until people become passive “victims” of life’s blows. The “losers” in life are those who are convinced they will fail before they start anything; sure that their “bad luck” will ruin any prospects of success.

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    They rarely notice that the true reasons for their failure are ignorance, laziness, lack of skill, lack of forethought, or just plain foolishness—all of which they could do something to correct, if only they would stop blaming other people or “bad luck” for their personal deficiencies.

    Your attention is under your control. Send it where you want it to go. Starve the negative thoughts until they die.

    To improve your fortune, first decide that what happens is nearly always down to you; then try focusing on what works and what turns out well, not the bad stuff.

    Your “fate” really does depend on the choices that you make. When random events happen, as they always will, do you choose to try to turn them to your advantage or just complain about them?

    Thomas Jefferson is said to have used these words:

    “I’m a great believer in luck and I find the harder I work, the more I have of it.”

    Ralph Waldo Emerson said:

    “Shallow men believe in luck. Strong men believe in cause and effect.”

    Your luck, in the end, is pretty much what you choose it to be.

    Featured photo credit: LoboStudio Hamburg via unsplash.com

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