Change the way you see money!

I recently read an article on MSN Money about how MP Dunleavey was able to pay off $30,000 of debt. What struck me was how simple the approach she took was. I think that it would be worth while to look at the tools she used to get rid of her debt.

However it takes more than just a certain approach, technique or tactic to change the way we behave financially. Unless we change our personal views on money we will never affect our long term bottom line. It takes a shift in our paradigm or the way we view the world around us. We have to look at money in a different light. Understanding what money can do for you and what is most important in you life can help you to learn what money really is.

Here is a small list of questions you can ask yourself about money. By truthfully answering these questions you can start to understand your personal views on money.

What does money mean to you?

What can money do for you?

What can’t money do for you?

Why do you want money?

Why don’t you have money?

Its also a good idea to ask why at least three time to your responses. Asking why will help you find your core values that drive you to action. Once you have discovered your core values that motivate you or the “why” the “what” will follow.

Once the “why” if fully defined and understood, you can move on to action or what you should do. The following items were taken from the MSN Money article I referred to above. They are “what” MP Dunleavey did to get out of $30,000 of debt after she had changed the way she saw money.

* Cut expenses.

* Budgeted, budgeted and re-budgeted.

* Identified and changed bad habits.

* Adjusted expectations for our lifestyle.

* Took in a roommate.

* Moved.

* Tripled and quadrupled our minimum credit card payments.

* Quit using the cards.

* Saved a cushion for emergencies.

* Relied on automatic payments.

* Switched to a superlow-interest card.

* Found ways to earn more money.

* Got honest with friends, family and ourselves about this priority.

Some of these might no work for your given situation (i.e. get a roommate or move) but most are very universal. To truly change our money woes we have to change our habits, how we spend, why we spend, and when we spend.  How we live must reflect the lifestyle we desire and our core values. After we have changed the way we think and act we must have discipline and perseverance to follow through with our goals.