Are you financially healthy?
Wealthy and Healthy! This is the life most folks dream of. Many think that becoming financially healthy is working very hard. While perspiration is a big part of it, there is much more than that unless you have a rich Aunt and magnificent genes!
Your first big challenge in hitting the optimum of financial health is to let go of mental rubbish: fractious worries, niggly fears, and your life time of shoulda-woulda-couldas. Divorce the word money from the word problem. Get out of the hurt locker and look up. Think of money opportunities, instead. Think about wealth. Do not sigh and say that you can hardly make both ends meet. Stop walking with sagged shoulders and talking about your problems and life’s unfairness. Your attitude is really going to make a difference. If you look a loser and feel a loser, that is what you’ll be. Talk about your plan to earn more money. You may be one of those who keep telling people how little money you have. If you focus on negatives, that’s where your energy will go.
Some folks have a mountain of money but don’t use it to have a life. They keep it. They build a fortress with it instead of a dream castle. If anything bad happens, they are ready to hurl money at the problem from behind the moat, drawbridge and crenellated walls! These people are not financially healthy. Their fear paralyzes them. They are always on the edge around money. They can’t even share for fear that they might have less for any future nightmare they will need. Guess what? A little prudence makes sense. But, if you focus on planning for disaster, you are calling out for disasters to come. How sad.
Do You Want to be financially healthy?
You want to be financially healthy? Change the picture. Look at what is working well in your finances and your life. Celebrate this. The best way to celebrate is to look carefully at what works, get a picture of all of the positive elements in your mind and then, look for abundance around you. There is so much life and growth in your microcosm: trees bearing flowers and fruits, fish in the ocean, the sun shining brightly, so many butterflies flying from flower to flower. The are hundreds of scenes of abundance in our everyday lives.
Many of us look for what we don’t have, think of our worries. and problems. That focus will crush your spirit and destroy your energy tanks. See yourself immersed in beautiful things: a beautiful house, expensive cars, luxury travel and a debt free existence and a sense of peace with the world around. Do this and your arrow aimed at the health-wealth target is flying.
Have a Financial Fitness Plan:
Oh yes, a work plan. Did I say, just imagine it and Kazammmm!!!!! all of a sudden you become wealthy and healthy? Not on your nellie! You really need to learn how to re-orient your mind and get focussed on the target. Train yourself. If you take on the role of a trainer, you learn the lessons much better. Independence and confidence in handling money is key to having a healthy financial outlook. This should have been taught in school as the most important part of Economics but it never is. Build a fitness plan. First, list down the things you need to know to understand your finances better. What is a mortgage and how does it work? Bonds and stocks, ETFs, Mutual Funds, Dividend Reinvestment Plans? You can master all of these easily. Ask your bank for answers. Read. Google the weird acronyms. . Ask other people what they know about finance. Ask them how they manage their own finances. Maybe, they have some tips to share with you. You will be surprised at how much you’ll learn. But most of all, keep that vision of your life after hitting the health-wealth target.
Once you have most of the information, start a basic plan. Identify your financial goals. Vagueness is a No-No. Clarity is everything. Your goals are the things you need to achieve so you can declare yourself financially healthy. You may just have a board where you put pictures of your goals. Having visual images will help make it clearer for you. Look at this each time you have a chance so it must be strategically placed where you can see it often. Let it inspire you to take the necessary steps to achieve those results. That is important. Identify the steps to see those dreams come true.
How to Become Financially Healthy:
Yes, this is a must. If you’re lazy, this is a killer! The mental hammock swingers bail out at this point. They give it up to banks, money managers or financial trusts. Many are folks that haven’t a clue. Or, they would be wealthy themselves, not nipping off pieces of your money as a charge! Sorry, there are really good ones. These people can contribute by providing some technical services and product info.
But wealth creation is a hands-on activity. Get in mental shape and then play the game yourself. It’s good to consult a coach and get advice but you have to be the archer.
The How to of Financial Health:
You need to learn how. Some say that to world class at anything takes 10,000 hours of practice. Hmmmmmm. OK how about city class or block class!!! Take it step by step. First, take note of how much you earn and how much you spend. It is very simple to have 2 columns. First column is for money coming in. Second column is for money going out.
List down recurring expenses such as mortgage, rent car payments, insurances, grocery bills, utilities, education, clothing, gifts and others. After one month, you will have an idea of how much you spend each month. Put down the costs for items in your list that are fixed. For those where you have options, estimate the amount you are comfortable with. If you have a partner, you must do this together. If you want to involve your kids, this is a fine opportunity to start educating them. Remember, the schools will NOT.
After 3 months, see if your expenditures to earnings pattern shows responsibility. What this means is, you do not spend more than you earn. If you do, review your budget and make changes. Yes, it’s difficult. Yes, it’s called self discipline and yes, it’s what our grandparents did constantly!
OK. The bow is up, the arrow is on the bowstring. Maybe, a small $100 per month arrow but it is ready for launch at the target.. Start with this. Save half and enjoy half so you can kick start your health-wealth and you still have a life.
Creating Financial Wealth In Multiple Ways:
Yes, sticking to just your main income if it supports all your needs is fine. But if you’re reading this, my guess is that there is a serious gap between income and your health-wealth vision. Having extra money can make life a lot more fun if it’s castles and not fortresses that you want. . So why not? Why not this site? Why not adsense? Why not Amazon? If you have read up til hear, you know you can become what you vision. Cleanup your vision…do the digging…and let’s go with that extra income.
With the internet, many options are now open to earning money for anyone prepared to do the work. Of course you need to learn new skills. Get out of that comfort zone and sagging mental hammock and start engaging yourself in something you have never done before..or finding a new angle on something you’re already good at. . Do something you enjoy and are passionate about. Before you know it, money will be knocking at your door. People will ask you to share with them your know-how. Magazines will want you to write something on what you are doing. Just start and get yourself surprised. If you need inspirational literature, there are thousands of stories that back up the central notion…you will become what you dream. Rent the movie.. The Secret…. as quick starter kit. Look at the Google Ads around this article and just see what is possible.
Create financial health by investing your Money:
You must have seen those graphs that showed had you invested a $1000. when you were in your twenties, you would be wealthy by the time you reach the home stretch. True. The earlier you start, the more your gains..the joy of earning interest on interest on interest (compounding)But this is not the time for coulda/shoulda/woulda! This is the time to start. Open an investment account with your bank. Tell them to take $50 out of your chequing account every week or month.and put it to a savings account. Then when you have the minimum required you can take action. Don’t wait until you have a thousand. Look for companies with Dividend Reinvestment Plan (DRIP). Choose only those companies that allow you to buy shares directly from them without broker fees. Choose the ones with higher dividends that are not in a business that might go bankrupt anytime. Big banks, big manufacturers, major consumer product companies, Buffet likes railroads and insurance companies. Of course, there is always a risk. Just minimize it. Why higher dividends? Because these dividends buy new stocks for you and if you keep at it, before you know it, you are the proud owner of a hundred shares, then, a thousand, and so on….and at the same time, the stocks should increase in value…a double win.
Get your vision clean…get the health-wealth attitude firmly in your mind. Then start learning step by step all the different options open. Check a web site on investing. Everyone wants to help you do better. Shoot several arrows. Then, slowly build your portfolio. As you learn more, review and revise your portfolio. Diversify your holdings (buy other stuff). Just keep doing this until all your goals have been reached. Then, time to enjoy. Some people make sacrifices and never become comfortable in enjoying their wealth.
So, don’t wait until the end. Part of your investment is forming yourself to enjoy your wealth. As you gain more, reward yourself. The more you enjoy, the more motivated you become. If you teach your children these rules and help them get the health-wealth vision, you’ve done your job in the family. Enjoy your castle, you built it. Let them build theirs.