September 2009

Changing the Way We 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.

The Only 2 Ways to Get Out of debt “The Right Way”

That is right my friends, there are really only two ways to get out of the red and into oh so beautiful financial color black.
1. Make more money that you spend.

2. Spend less money than you make.

In other words:

Income > Expenses

Expenses < Income

Well if is so simple how come the vast majority of Americans have so much debt. The reality is that in practice we find that most normal individuals have a much more complicated situation. The same dilemma occurs for many that struggle with weight loss. All they have to do is eat fewer calories than you burn or burn more calories than you eat, right? With money and weight they both require discipline and certain amount of knowledge. Understanding which foods are conducive to weight loss correlates with knowing how to use your money to get rid of debt. Finding time to exercise can be difficult. Likewise earning some extra cash to pay off that ever increasing credit card bill can be just as hard.  On top of that most people do not make a lot of money and  it is hard to meet the demanding challenges that face us in this unstable economy. Others may make more money but find it hard not to “keep up with the Joneses.” While they might be keeping up with the Joneses by buying all kinds of cool new things (with other people’s money), the last think they are keeping track of is the check book and their expenses.

I have found a program that with help you with both. If you can implement both “right ways” of getting out of debt you will make it far into the black  much faster. By keeping track of your debt and expenses you can forge forward with direction and discipline. You will also be given the opportunity to help others and in doing so you will be rewarded financially with a very exciting compensation program.

Visit Wake-upNow.com and enroll now!