The time could come when you feel burned out and in dire need of a financial inspiration to get you through your money problems. It is possible that all your financial problems have caught up and you feel like there is nowhere else to go. All those credit card statements from the holiday spending are making its way into your 2016 budget and there is nothing you can do about it.
This and a lot more can put you in a defeated state of mind and your mood can quickly change which can lead to procrastination. This becomes a much more bigger problem when it comes to this stage because when you consciously look the other way when you have a financial obligation in front of you, you only dig yourself into a deeper hole and lose whatever financial confidence you might have.
If you are not up to making payments on your credit card just because you are having problems coming to terms with the way you have abused it, you better be prepared to face up to an even bigger problem. Compound interest is a great friend but a deadly enemy and when it comes to haunt your card payments, you will start to see you balance rise because of it and a few more charges and fees from your lenders.
This is just a card payment and does not take into account all other expenses and debt payments that would take a backslide which will eventually cause more problems than they are now. Not to mention that when all this compounds into a big ball of problem, stress and physical health can come into the picture and be affected as well. Nerdwallet.com shares that an average household carries almost $130,000 in total debt which is a mind boggling amount.
Getting financial inspiration
One way to prevent this is to have the right frame of mind and tackle financial problems head on. Running away and ducking everytime these challenges comes will only result to bigger problems. Here are a few things you can look into to help you get back on the right mindset and find inspiration to manage your finances again.
- Change of scenery. You might just need a change of scenery whenever you start tackling your finances or even your budget. If you have been opening statements and balancing your budget on your kitchen table then find a comfortable spot in the house and do it there. It can be the study or even your room. You might even consider going out and taking in a breather for a moment before you tackle your finances again. The fresh air and change of scenery might jolt your brain and help you focus more.
- Reconnect with people. Sometimes you just need to talk to people and reconnect with them to find some feel good emotions in your body. It is also possible that these people can provide you the financial inspiration that you need to tackle your finances when you get back home. You do not have to travel far. You can say hi to your neighbor, call up your siblings and friends or chat them away.
- Read books. It is one thing to live fiction novels and be able to live vicariously through the lives of the characters and it is another thing to pick up books that will help you manage your finances better. There are a lot of financial experts that puts out self help books simply because they cannot possibly talk to all those who has financial problems. These books can help point you in the right direction and even share some valuable tips and insights in getting over the hump you are in. Looking for professionals is also a great way to improve your credit score.
- Take a break. Not from the payments but with the routine. If you have been using your credit card to pay off all your household expenses then try using cash for a month or two. It might give you a different perspective in life and money now that you are able to feel the dollars slipping away from your hands whenever you make a payment. If you have been shopping like it is the last day in Earth when payday comes then take a break from that too. Transfer the money automatically to a separate savings account or invest it for the future so you do not get to touch it for shopping money which is actually a smart way to wealth according to Forbes.com. The idea is to break out of your routine and try to find something new and hopefully. inspire you to do a better job with money management.
Tips on financial priorities
As you know struggle with your finances and do your best to look for financial inspiration, here are a few things you need to remember when sitting down and finally attending to your finances.
- Increase income. This is the first and admittedly one of the hardest things you will ever have to do. Being comfortable with what you are getting is great but if it is not enough to cover all your needs and you consistently find yourself in a heap of financial trouble with mismanaged card purchases and short payments, you might need to beef up your income every month. it can be cashing in on a hobby you have had for years like photography or baking is simply asking for an increase in your job. The idea is to get more money going into your budget every month.
- Lower expenses. The next thing you need to do is to find a way to lower down your expenses. This is a lot easier that increasing your income but in no way a walk in the park either. It will test your limits and your resolve as you try to reach your goal. If you are trying to save on food money, you would need to take on meal planning and making a conscious effort to list down and stick to a grocery budget. If you are cutting down on miscellaneous expenses then you need to find a process that would help you monitor these expenses from simply writing them down on a piece of paper of using an app on your phone. The idea is to manage it better and lower them down as you go along.
- Manage debt payments. You will have debts at one point in your life. It can start from credit card debts and student loans from your years in higher learning. It can be a mortgage payment or car loan payment you took out as you try to raise a family. Financial inspiration might be challenging at this point but you need to have a plan to make and meet these payments. You can consider debt consolidation to help you manage and track the payments and your progress even better but the bottomline is meet the payments.
- Prepare for the future. You need to be serious with your reserve funds and your retirement fund which will both help you face your future better. Your reserve funds will be the account you rely on when you encounter unexpected expenses in life. When the time comes that you hang up your corporate jersey then your retirement fund will make sure that you have the money you need to enjoy retirement.
Finding financial inspiration might be hard but you need to try and get back to the right frame of mind to help you manage your money. It can help you budget better and prepare for your future better as well.