Kicking off any journey can be scary. When you don't know where you're headed, and you have no plan how to get there, it's very discouraging. The same is true when you're ready to fix your finances, you need a simple plan laid out to give you a destination and a plan.
If you've ever thought that you just don't know anything about money, you're overwhelmed with the thought of trying to figure it all out because you're literally starting at ZERO, you're not alone.
When I was 22, I hadn't finished my degree, but I was making $12 an hour. Believe it or not, I thought I was doing good. Then one day, I was hit my student loan bill which was just shy of $30,000. I panicked, I read every piece of financial advice I could get my hands on, and I set up a plan.
And today, I want to introduce you to that plan. I've boiled it down to the 6 Elements to build a successful financial future, and I've broken it out into a 6-Day Money Management E-mail Mini-Course. To sign up, enter your e-mail below, and get started today!
In the course, you'll learn more about the 3 phases of a financial journey. Stabilize. Optimize. Multiply. If you give it time, these phases really pay off when trying to fix your finances. Lets walk through each one.
First, you stabilize.
When you're just getting started with fixing your finances you are probably not feeling very financially stable. Maybe you're living paycheck to paycheck. Perhaps you're racking up credit card debt because you are spending more than you earn. If an emergency came up, like an expensive doctor's bill, you wouldn't know what to do.
In the stabilize phase, you start to get an understanding of where your money is going, and you start to plan for expenses. You do all of this by building a budget where your income is less than your expenses. You also build savings into your budget so that you set aside a small amount of cash that you save for emergencies.
Second, you optimize
Once you start to understand the money management basics, you'll start to optimize your spending. This is when you've started to get comfortable with your budget, your credit card balances have stopped growing, and you have a small savings aside for emergencies.
At this point, you'll start to work on getting out of debt. Paying off debt is tough, but it's so important because you'll stop paying more for things by owing interest. You'll also start to really fine tune your spending habits, and you'll save money intentionally for large expenses and for investing.
Last, you Multiply
Once you've paid off your debts and have a nice chunk of change, you'll want to start to grow your wealth. At this point, you'll only have a mortgage payment, if you have any debt at all. You'll be living quite comfortably within your means.
To really grow your wealth, you'll start to look for ways to earn more money (without spending more, of course). Instead of spending your savings and your extra earnings, you invest those extra dollars so that your money is working for you and earning interest.
Do you want to learn to stabilize, optimize, and multiply your finances? Sign up for my Money Management Mini-Course below, and get started today!
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