Kelly Blodgett launched Money Gal Coaching with a goal of serving people who, like her, were burdened by debt. You can get her tips for paying down debt on a regular basis at Bring Me The News, in addition to the Money Gal Coaching website and Facebook page. Here is her latest story:
I get it. Start budgeting! Pay off debt! Refinance your loans! Save for an emergency! Don’t forget about retirement!
We are constantly hearing messages on how we should be doing better and how to fix things. There are a ton of routes you can take while on your personal finance journey, so feeling overwhelmed is normal.
Instead of not starting because you feel paralyzed, let’s break a few of the important items down into manageable tasks. Once you start to see progress, you will build up your confidence and motivation to continue on this journey.
I compare a financial journey a lot to our health and wellness journeys. You could start working out, eating better, drinking more water, or getting your steps in. They all are good things but you can’t do everything all the time, that is a recipe for burnout.
So, this is how you start. And remember, you take this one day at a time, if you are starting to feel overwhelmed, come back tomorrow. The key is to make small daily progress, tiny steps forward that will add up to big improvements in your life.
Dream big. Get a clear mental picture of the reason you want to clean up your finances. Maybe it’s for your kids or so that you can go on a dream vacation without going into debt. Depending on your style, you can detail out in a journal, Pinterest board or app in your phone.
Put a list together of all your accounts. Write out all your debts and assets. By seeing on paper how much debt you have, you will be able to get a better idea of how bad (or not so bad) your finances are.
Track your past spending. List out and categorize all your spending from the last 90-days to see where your money has been going. This will help you see if it’s going towards things that are important in your life.
Debt or savings? Decide what your main goal is so we can add it to the budget.
Create a budget. Use your past spending, and debt or savings goal, to create a budget that aligns your income with your spending. Don’t forget to include those larger annual expenses and break them up into monthly savings goals.
Follow the plan. Track your spending moving forward and try your best to stick to your budget. It won’t be perfect the first few months but you will get better each day, week and month.
Ready to dive in but want a bit of help? Schedule a free call today and let’s chat. This is an investment into your future. Your future self will thank you.
Disclaimer: Bring Me The News will receive a portion of the proceeds from readers who purchase a service from Money Gal Coaching via our articles.