Is your relationship with your spending habits draining your pockets?
It might be time to bite the bullet and say goodbye to those no-good spending habits once and for all and get some debt help. Don’t let your relationship with money drag you down, learn how to give that relationship the flick and get a new one!
Change for the future
When you are well off financially it can be easy to become complacent and not watch your money, this is the perfect time for those bad money habits to form, making it extra difficult to break when the times are rough. Just like a real relationship, you could be wasting your time and making bad financial decisions without realising you’re in a destructive relationship.
You need to find out where it is that you have gone wrong and why. If you figure out these two questions then it will be much easier to tackle the issues head on. It is just too easy to fall into some of the worst spending habits this way.
Don’t give more than you get
You might be used to earning more money or you might be bad at making a budget plan, but if you spend more money than you earn you will quickly find yourself in a situation where you need debt help.
You can easily alleviate this problem by giving yourself a daily budget and sticking strictly to it. With simple budget planning tools you will realise how much money you can comfortably spend on you wage and trial and error may just be the key to finding a balance.
Don’t put everything on credit
Do not buy into the trap of buying something now and paying for it later, something that makes you feel good right now might not be best for you in the future when the debt comes back to bite you! It is important when applying for credit that you don’t over-borrow more than you can pay off. Even better, save for it before you buy it that way you will always use your own money.
Say no to those offers from the bank to increase your credit limit, you will likely spend more on it as the credit is available for you to use. If you must have a credit card, compare the offers and do your research before you sign up and make sure the limit is not too tempting for you.
Make sure you budget
Are you in the habit of spending all your money as soon as it hits your bank account? You will find yourself quickly accruing unpaid bills and payments if you do not plan your budget. It doesn’t have to be a difficult process either, all you need to do is find some budget planning tools that work for you and stick to them. It will soon become habit and be easier to maintain, keeping you out of trouble (and you won’t be screaming for debt help!).
Don’t ignore what you already have
If you ignore a problem, it does not go away, likewise with debt, it does not go away – it will only get bigger. The easy path is to pretend it doesn’t exist, however if you deal with it your future will be much easier. That first step is always the hardest part but once you have dived in and had a look at where you stand it will become a lot easier. You can compare debt balance transfers to get started, financial solutions, look into debt consolidation, or have a look at budget planning tools online to get the ball rolling.
Don’t spoil yourself too much
The habits we form when we have no responsibilities (or get a pay rise) are the ones which can come back to haunt us. Your money may simply disappear into your lifestyle never to be seen again if you do not re-asses your situation when your financial situation changes. Try breaking the habit by stopping to think before purchasing items and asking yourself what else you could get for the money. It will quickly cut out your unnecessary spending and save you money.
Make new habits
If you give yourself a new financial goal, small or large, you will soon find yourself forming fantastic new financial habits. For example if you cut your spending by $1 per day, then $2 per day and so on you can boost your motivation and reap the rewards.
Another tip is to think about the end goal, if you can visualise where you will be it will help your actions take you there.
The important thing to remember when forming new financial habits is that instead of looking at your current situation and panicking about how difficult it may seem to achieve your goals, think about the ways you can change your habits to make those dreams possible and little by little you will get there.
Source: Yahoo! Finance