The new year is almost nearing the middle, making you much stronger than before with new hopes and promises in your heart. This means there would be more responsibilities on your shoulders with more relations to maintain. For this you need to manage your money in an appropriate manner, getting away from being overwhelmed with financial anxiety. Time to get to a more practical approach with concrete solutions in your life.
Financial Anxiety – What it is?
As far as I can remember, we all have been stressed for managing our finances in our lives. Some have already dealt with it, while others are still trying to cope up with it. When you have money related problems, you might have experienced bouts of nausea, stomach pains, mild to moderate migraines, blood pressure concerns, panic attacks, and insomnia, this is financial anxiety. These mental and physical reactions build more stress in you. According to Dr, Megan McCoy, a financial therapist at Kansas State University, “Your financial stress is a lot similar to your other situational anxiety.” Your financial stress can have a negative impact on your health, romantic relationships and parenting time, just like any other stress. Therefore it is important to manage your money and set such goals in your life that can be attainable, leading you to financial freedom. Through proper management, you can get a healthy life with stable cash flow.
“To get financial freedom, set your heart and mind free from all the worries about the what-ifs of your life.” — Suze Orman
Therefore set your goals and manage your finance wisely on the appropriate places. According to the financial trainer, Jenn Monahan, “You can get anxiety about finances through a number of things, such as unhealthy money spending habits, unpredicted traumatic events like the unexpected loss of a loved one, your job, or any relationship, or some pressure from the social media or your peer groups encouraging you to spend your money on things you don’t need at all.”
We will discuss some financial goals you can set in 2019 as your New Year resolution and give your solutions to stick to them, no matter what.
Evaluate Your Goals First
The first step is always difficult but it is the only way that will lead to success. Divide your goals into three stages, the short term goals, the medium timespan goals and the long term goals you wish to achieve every year. Then start sketching the necessities you have and what wishes you feel to fulfill in this year. Like apart from everyday expenses, you wish to purchase a new house, or a new car or investing in some real estate. This can be termed as long term goal where you can control the amount of money you wish to save. Your medical expenses are ongoing expenditure, therefore you need to allot money to this section every month. There are many other spots that require your financial attention every month, whereas you can keep on saving for your long term goals while managing the budget on short and medium time span goals. It looks tough to start but believe us, with the passage of time it will bring more prosperity in your life. Be a financial planner of your own expenses this year!
Time to Review Your Finances
What is your current financial position? If you are not certain then this is an alarming situation. Before the whistle blows out, evaluate your wealth approach, your earning ends and track down where your money goes every month. Initially, look at your credit card history to understand your expenditure cycle, then look inside your bank accounts, then evaluate the investments or loan or debts you are surrounded by. Without analysis, you can never find out your financial position. If you are bad at manual calculation then there is no need to get worried. There are some awesome online budget planning applications that can help you.
Prioritize Your Priorities
Once your goals are written, it is time to prioritize them. Get your basic expenditures first like medical funds, retirement funds, debt repayments, and spouse or children facility funds. First and foremost, approach to your liabilities such as high-interest debts and repay them, then move to your goals such as buying a new car. Make a timeline and prioritize your goals on the urgency model and break them carefully into tangible short goals, immediate goals and long-term financial goals.
Craft out a Budget That Helps
Craft out a useful budget for yourself that is divided into monthly, semi-annually and annual expenditures. Filter out useless expenditures whereas allocate a proper finance to your priority goals. Categorize your spending and spend some time analyzing your expenses if not possible daily than at least weekly.
Never Ever Leave Your Track
Yes, you have reached this far, you have set your goals, you have evaluated your financial position, prioritized your goals, made a perfect budget, now what? Now you have to be sure that you never go off the track. Indulge yourself in saving money online by using online coupons when shopping from e-commerce sites, listen to free music instead of paid ones, avoid in-game purchases and don’t get crazy buying useless gadgets for yourself, track your purchasing activities every day and always be ready for some unexpected expenditures so allocate finance for that too.
“The reality is that rich people believe ‘I create my life’ whereas poor people believe “Life happens to me’.” — T. Harv Eker
Therefore spend wisely and craft your own future. Ok, we agree this sounds all too daunting, but there is no need to get worried. You don’t have to do all this alone. Don’t feel shy to approach financial advisors who can help you in setting some realistic goals and objectives for you to achieve.
Keep on tracking your progress and make the crucial adjustments every now and then to get peace in your life. Yeah, it is never easy to prioritize your goals and breaking them into long or short goals but it is important for you to stay away from financial anxiety and stress. To keep you away from traumatizing financial anxiety, Farosh.pk is offering exciting discounts and promotional offers to help you cut down your expenses. And guess what, you can shop your heart out and can still manage to save a few bucks to help you in securing your future. Yes, shopping therapy do help a great deal! To check out those amazing deals I have been talking about, log on to Farosh now and avail the exciting offers!