You do it. You know you do. And it’s okay… I do it too.
I’m talking about worry. Specifically, worrying about your money. How much you make, how much you spend, how to get out of debt, or how to avoid falling into debt.
I actually don’t worry nearly as much as I used to. Here’s how I quit worrying about money:
Save Early, Save Often
Even as a 15-year-old lumber yard warehouse sweeper, my dad told me to keep back a part of my paycheck. Over the years, as I made more, I began to save a little more as well. I even followed Dave Ramsey’s Drive Free, Retire Rich program to help stay out of car loan debt and help pad my savings.
Saving money, whether it’s a savings account at your bank or a Roth IRA, is a great way to help you worry less about money. It pads your life against the unexpected and it shows the progress of your smart money decisions. And that can be very encouraging!
Don’t Rely on Borrowed Money
This one can be tricky, but the truth is that the less money you owe to creditors, the less you will worry about it. There’s nothing wrong with borrowing money. I’ve had a few short-term and long-term loans myself. And I’ve always tried to pay them off early. However, for other purchases, I’ve also saved up for the purchase instead of using credit. This way, I save thousands of dollars in finance and interest charges.
In reality, you probably can’t avoid borrowing money. It’s almost become a necessity these days. But it can still be dangerous if not handled properly. And when it starts to get out of hand, the worry can engulf your entire life.
If you want to find freedom from worrying about your finances, don’t build your life on a foundation of borrowed money. Keep your credit cards at home, only borrow when absolutely necessary, and pay off your debts as soon as you can.
It’s Time to Plan
If I’ve said it once, I’ve said it a thousand times . . . to be successful at personal finance, you need a plan of attack.
You need a budget, and you need to stick to it.
One of the best ways in which I was able to rid my life of worrying about money was to plan my budget and stick to it. My first budget was on paper, and later a simple spreadsheet. Even today, I have everything listed out: my income, my bills, my savings, my spending. I see every dollar that’s coming and going.
No matter how simple or complex your budget may be, having a budget, and having the discipline to follow your budget, will help keep your financial life in order and it will help rid your life of financial worry.
Lastly, I guarantee that you’ll worry less about money if the love of your life has a similar financial outlook. Your spouse, or your significant other, or whomever you may be sharing your life with…if that person is like-minded with you concerning finances, you will worry less. And, together, you will be more financially successful.
Of course, this guarantee only applies to those whose outlook is wise and cautious instead of flippant and careless, lol.
You won’t always agree on everything, but starting out together with a similar outlook will help keep your family on the right financial track. And as always, when there are disagreements (and there will be), talk about them openly and honestly.
Hope you have a wonderful day!
photo by Steven Depolo