The M Word ~ Issue 1
MONEY Is Not a Dirty Word…or is it?
Let’s face it. MONEY can be a pretty loaded subject…
If you’re living on planet Earth, you probably had some kind of reaction when you read the word MONEY, and chances are that your reaction was less than positive. In fact, some of you might even have stopped reading this blog or decided to stop following me altogether…
For those of you brave souls who are still with me, GOOD JOB! Now that you are on board, I invite you to follow me on this journey to see just how deep this hole goes…
MONEY is power. Money is freedom. Money is like sex…it seems much more important when you don’t have any….and it’s great when you have a lot of it.
Whether you agree with any of these statements, it’s clear that we often identify MONEY with problems, anxiety, and stress, even when you are loaded.
MONEY can be the reason why you keep working a job you hate or the reason why you can’t afford to take a vacation, or buy that new car or house. And did I mention that MONEY is the number one reason why couples argue? I mean, have you ever heard of people fighting over having TOO MUCH MONEY?
You may be stressing out about the amount of debt you are carrying or whether you will be able to afford to send your kids to college or even retire. And if you do retire, you wonder if you will outlive your money and either be left destitute or become a burden to loved ones.
Even if you’re an entrepreneurial maverick who plans to work until the day you die, you face the daily challenge of staying profitable through unpredictable economic climates, while investing and protecting your assets, and reducing your tax liability.
It’s no surprise that if you were to ask people to list their top ten worries, chances are that MONEY would be at the top of their list, right next to LOSING WEIGHT, because as the old adage goes: “you can never be too rich or too thin”.
If thinking about MONEY starts to stress you out, you’ve come to the right place.
Are you ready for me to unlock the secrets of the universe?
There are only FOUR reasons why people fail with money.
MINDSET – This is the most important and often most overlooked factor and the biggest reason why people fail to change their financial condition. Afterall, attitude determines action and outcome. Many people are defeated before they even begin just by not having the right attitude or not understanding money or key concepts. Often we avoid looking at our financial situation because we are “too busy” or because it all seems rather hopeless or overwhelming.
DECISION – This seems too silly to mention, but people fail because they never make a strong resolution to do something to improve their financial situation.
PLAN – According to recent surveys by Fidelity and Charles Schwab, 75-85% of you have NO financial plan, and are basically living day to day with no idea of what your financial future holds for you. The majority of Americans live paycheck to paycheck, and spend more than they earn. Often they live on the edge, paying each bill as it comes and getting thrown by unforeseen emergencies instead of planning long term. You need to have a good plan to help you accomplish your objectives. A good plan is realistic and “doable”. It may require some self-discipline, but it shouldn’t make you hate life. A good plan also works in the best and worst case scenario and is based on sound judgement; in other words, it does not rely on the luck you would need if you were gambling or playing the lottery. Since this is such an important step, I highly recommend that you consult a financial advisor you trust.
FOLLOW THROUGH – You can have a brilliant plan, but it is useless if you don’t follow through!
If you’ve made it to the end of this blog, CONGRATULATIONS! You have taken your first step towards financial independence by demonstrating that you actually care about improving this area of your life.
Read my next blog “The M Word ~ Issue 2” to continue this journey.