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12 Things You Can Do Now To Improve Your Financial Life

12 Things You Can Do Now To Improve Your Financial Life

A vow to improve your financial state is the sort of grandiose statement that usually accompanies New Year’s resolutions. Fortunately, however, actually achieving this goal could be among the most tangible objectives on this year’s list.

Improve your financial life today by taking action on one of the following:

Educate yourself.

Do you know what an IRA is? What is the sales tax rate in your state? How often do you expect bank statements; do you know what all of the terms on your statement mean? You can’t make sound financial decisions if you don’t know anything about finances, so take the time to pick up the phone and call your bank, grab a book from the library or spend some time online regularly furthering your financial education.

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Save.

Finish this sentence: “A penny _____ is a penny earned.” You guessed it: saved! A penny saved is a penny earned, that goes toward your grocery bill, to fund a trip, put gas in your car, or provide for a child. Pennies add up. Save them.

Diversify investments.

As you build up your savings, create a healthy mix of liquid (i.e., can get to within a day in case of emergency) and static (things it would take you longer to cash in on) investments. A good financial advisor can talk you through how to build stock accounts, mutual funds, or invest in land, a home, or your own business.

Pay down your debt.

Owe anything to anyone? Make ridding yourself of debt your top priority. If you’re not sure where to start, or how to steadily chip away at larger debts like student loans, seek expert help. Then dig deep to find the discipline to carry out your plan.

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Put yourself in Florida.

Or on a yacht, or in the mountains, or on a beach anywhere else you would like to retire. What are you doing to get yourself there? Debate abounds concerning the future availability of social security and other benefits, and it is wise not to depend on any income but your own for retirement. Consider inflation, rising medical costs, and projected family needs when you plan, but the short version is that if you want to retire before you’re 70, you must start saving today, and increasingly aggressively as you age. Learning about Roth IRAs is a good place to start the educational process, if the idea of saving for retirement is new to you.

Watch what you put in your mouth.

Do you know the price at each of your local stores for the groceries you most often purchase? No? Time for a field trip! Your household’s grocery bill is a large, recurrent expense that can easily be chipped away at with smart shopping. Remember to Google and print coupons before you go, read those sale circulars you get in the mail before you toss them away, and consider warehouse stores or online merchants for goods with a longer shelf life. Food thrown away is money dumped right from your wallet into the trash, so shop as often as you need to.

Step away from the television.

How much do you spend on satellite or other television subscriptions each year? How much time do you spend watching television? What else could you do with that amount of money? How else could you earn money, with that amount of “extra” time each week? Put down the remote. Step away.

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Unwire, just a little bit.

How many gadgets do you own that have internet access, stream video, and allow you to chat in some way or another with your friends? Do you really need that much redundant capability? Ditch one electronic device, or downgrade subscriptions that you truly do not use. You will survive, and your budget will thank you.

Get organized.

Dreading the spring, when taxes are due? Not certain how much money you actually spend, or where it is all going? Get a filing system in place, whether formal or in a shoebox, and start collecting and tracking receipts. Log your expenditures in an spreadsheet, or by hand on a piece of paper. Update your logs regularly, and you will be pleasantly surprised by how much more effective your financial planning process becomes, and how easy it is to file your taxes next year.

Unsubscribe from merchant emails.

How many times have you logged onto your email account and seen a picture of something you didn’t know existed, had never thought about, but now see is on sale and can’t get out of your mind? Save yourself (and your budget) the anguish, and unsubscribe from those lists.

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Do it on the side.

Work, that is. In our wired world, a side gig could be only a few internet searches away. Someone in your neighborhood may need a dog walked while they vacation, or a babysitter once a week. The trash at a local school may need to be taken out for a small fee. Nothing is too menial or small, if it adds income to your bottom line.

Date creatively.

Those $15 drinks and swanky dinners add up. While impressing a date is always nice, wow them with your financial savvy by mixing things up with home-cooked dinners, picnics, outdoor activities, or matinees. If that isn’t attractive to the one you wish to woo, they probably aren’t a good financial partner for you, anyway.

Thirsting for more? Check out these Best 15 Money Management Apps that Make Financial Planning Easy.

Featured photo credit: taxcredits.net via flickr.com

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Last Updated on January 21, 2020

How to Develop a Millionaire Mindset in 6 Simple Steps

How to Develop a Millionaire Mindset in 6 Simple Steps

We all like to dream about being financially wealthy. For most people though, it remains a dream and nothing more. Why is that?

It’s because most people don’t set their mind to achieving that goal. They might not be happy in their current situation but they’re comfortable – and comfort is one of the biggest enemies of growth.

How do you go about developing that millionaire mindset? By following these simple steps:

1. Focus On What You Want – And Take It!

So many people are too timid to admit they want something and go for it. When there is something that you want to accomplish don’t think “I could never actually do that”, think “I could do that and I WILL do that”.

Millionaires play to win, not to avoid defeat.

This doesn’t mean to have to become a selfish jerk. What it means is becoming more assertive and honest with yourself. You don’t have to grab off other people. There is a big pot of unclaimed gold in the middle of the table — why shouldn’t you be the one to claim it? You deserve it!

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2. Become Goal-Orientated

It’s almost impossible to achieve anything if you don’t set firm goals. Only lottery winners become millionaires overnight. By setting yourself attainable goals, you will get there eventually. Don’t try to get rich quickly — get rich slowly.

Let’s take the idea of making your first million dollars and expand on what kind of goals you might set to get there. Let’s also say you’re starting at a break-even position – you’re making enough to get by with a few luxuries, but nothing more.

Your goal for the first year can be having $10,000 in the bank within a year. It won’t be easy but it is doable. Next, you need to figure out the steps you need to take to achieve that goal.

Always look at ways to make growth before cutbacks. With that in mind, you might want to see if you can negotiate a pay rise with your boss, or if there’s another job out there that will pay better. You might be comfortable in your old job but remember, comfort stunts growth.

You may also have other skills outside of your workplace that you can monetize to boost your bank balance. Maybe you can design websites for people, at a fee of course, or make alterations to clothes.

If this is still not enough to make the money you need to save $10,000 in a year, then it’s time to look at cutbacks. Do you have a bunch of old junk that someone else might love? Sell it! Do you really need to spend $10 on your lunch everyday when you could make your own for a fraction of the cost?

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If you are to become a millionaire, you need to start accumulating money.

Here’re some tips to help you: How to Become Goal Oriented and Achieve More in Life

3. Don’t Spend Your Money – Invest It

The reason you need to accumulate money is for step three. Millionaires tend to be frugal people, and that’s because they know the true value of money is in investing. Being your own boss goes hand-in-hand with becoming a millionaire. You’ll want to quit your regular job at some point.

Stop working for your money and make your money work for you.

Rather than buying yourself a new iPad, that $500 could be used to invest in the stock market. Find the right shares (more on that later), and that money could easily double within a year.

There’s not just the stock market — there’s also property, and your own education.

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4. Never Stop Learning

The best thing you can invest in is yourself.

Once most people leave the education system, they think their learning days are over. Well theirs might be, but yours shouldn’t be. Successful people continually learn and adapt.

Billionaire Warren Buffet estimates that he read at least 100 books on investing before he turned twenty. Most people never read another book after they’ve left school. Who would you rather be?

Learn everything you can about how economics works, how the stocks markets work, how they trend.

Learn new skills. If you have an interest in it, learn everything you can about it. You’d be surprised at how often, seemingly useless skills, can become extremely useful in the right situation.

Start developing the habit of learning continuously: How to Create a Habit of Continuous Learning for a Better You

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5. Think Big

While I advise to start off with small goals, you absolutely should have a big goal in mind. If you have a business idea, then that is your ultimate goal – to start that business and make a success of it. If you want to invest your way to millions of dollars and do little work other than research, then that is your big goal.

There is no shame in not achieving a big goal. If you run a business and aim to make $1 million profit in a year and “only” make $200,000, then you’re still significantly ahead of most people.

Aim for the stars, if you fail you’ll still be over the moon.

6. Enjoy the Attention

To be successful, you have to be willing to promote yourself and enjoy the attention to a certain extent. Now the attention doesn’t need to be on yourself, it could be on your brand, but attention definitely attracts money.

Never be embarrassed to get your name out there. That means finding a spotlight and being brave enough to step right up underneath it.

If you run a business, try contacting the local papers. You’d be surprised at how amenable they often are to running a story about you and your business, and it’s all free publicity.

Above all, remember: You control your own destiny. Push hard enough for anything and you’ll get it.

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Featured photo credit: Austin Distel via unsplash.com

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