by Deborah Owens
Hard to believe the first three months of the year are gone already. The end of the first quarter is a great time to look back on the resolutions we made to start the year. For some it was shedding a few pounds. Others vowed to get out of debt. Losing weight and getting your finances in order are always among the top five goals we set out to accomplish every year, and yet most people give up
trying within the first three months of the year. What kind of resolve do you need to get back on track?
Most nutritionists will tell you that acquiring the habit of drinking eight glasses of water every day can help to take off the pounds. Is there a scientific basis for this recommendation? Yes and no. Drinking water has not been scientifically proven to reduce weight, however my personal belief is that water becomes a no calorie substitute for alternative drinks that contain many more calories. Why not apply this same approach to your finances? By adding one wealthy habit to your
lifestyle you can reduce debt and jumpstart your financial future.
Wealthy Habit #1: Show Me The Money
Track every dime you spend. One of the callers to my radio show shared how she and her husband kept every receipt for things they bought and entered the amounts in a spiral notebook every evening. They knew exactly how much they spent and more importantly kept a running balance. By tracking their spending together they achieved a sense of financial control and transparency around their spending habits. They are now debt free and planning an early retirement. Now
that’s what I call “show me the money.”
Wealthy Habit #2: Cash Is King
Paying cash for your purchases can help you to put the brakes on frivolous spending. Leave the credit and debit cards at home. An all access pass to your bank account can be detrimental to your wealth. Behavioral scientists have found people will charge twice as much when shopping if they are using credit cards instead of paying with cash.
Wealthy Habit #3: Just Set It And Forget!
Want to buy a home or need to save more for retirement? Set up automatic investment programs and have the money deducted directly from your paycheck or checking account. If you put your money to work immediately, it won’t take a vacation or get lost on it’s way to the mutual fund. Systematic investment programs can help you stay the course and develop the most essential habit of all, saving.
I also suggest that you begin by committing to just one of these habits. Don’t try to do them all at once. Like a low or no carbohydrate diet, if you try to make a total lifestyle change, your chances of success aren’t very good. Commit to acquiring one wealthy habit at a time and build on your progress. Go forth and prosper.
Deborah Owens is the Wealth Coach. She is the author of three books; most recently critically acclaimed, A Purse of Your Own: An Easy Guide to Financial Security, published by Simon and Schuster. Owens is a 20-year financial services industry veteran and former vice president with Fidelity Investments. She is on a mission to change the lives of one million women one purse at a time through the A Purse of Your Own Campaign. Ms. Owens is a media personality who has been a contributor to CNN, ABC News Now, Shape, Essence Magazine, Ebony, Black Enterprise and is host of Wealthy Radio, which airs on WEAA an NPR affiliate in Baltimore, MD. Visit her website at https://deborahowens.com