Develop the Right Mindset About Money
This week, I will be teaching at my workshop the idea of Mind Over Money. The workshop explores how investing experts, culture, and our own minds impact our investments.
The impact is usually negative.
We talk about how Wall Street bullies try to get us to give in to our fear or greed to do imprudent things with our money. We also talk about how the media impacts our decision-making ability.
Lastly, we talk about our own minds and how they can play tricks on us and end up making us do foolish things with our money.
A huge key to having success with your money is to develop the right mindset about it.
There are several things that this mindset includes: a true purpose greater than money itself, a mindset of abundance and not scarcity, and living within your means… just to name a few.
Today, I want to write about living within your means. It has been said that the easiest way to give yourself a raise is to live under your income level.
Most people I meet with have consumer debt. Lots have a mortgage and a car loan. Many have student loan debt. Some would argue that these debts are OK to have. I am of the personal opinion that we should be as debt-free as possible - and I love helping people get to this point.
Most Americans have credit card debt and a mindset that perpetuates the problem of overspending their income. The idea is that I will make more money in the future and therefore I will pay for it then. The mindset is backwards.
Instead, we should strive to live below what we bring in. This way, we have greater freedom to set aside money for an emergency savings account, for car or home repairs, a future vacation, a church or charity we’d like to give more money to. The list could go on, but it starts with making a decision to stay within your means.
The people who develop this mindset are patient and can wait until they are ready before making a big purchase. Then, instead of having debt hang over their heads and making them feel like slaves to their jobs, they are free to enjoy their purchase.
The first step towards having success with your finances is to decide that you will live your life using less money than you make.
This creates the space for freedom from debt and freedom to enjoy life.
Are you ready to make this first step towards having success with your finances? You can contact me through this website or come to an upcoming workshop to learn more.
