Adjust Your Perspective and Prosper

Improving your finances is not hard, you just have to make the decision to think and act in a certain way.  It's really about your mindset and and how you view everything.  When you start making decisions based on the right mindset, things will start lining up and your bottom line will grow. I encourage you to examine your perspective on the the following list of activities and see how these things can benefit your finances.  

1. Be prepared for any financial emergency.

Everyone needs an emergency fund. While the lack of an emergency fund is common within every age group, in our current economy many people never really totally establish an adequate emergency fund.

Action: Strive to set aside 3-6 months of living expenses and you'll be prepared for most financial emergencies. It may take a while to get accumulate this, but once you do, you will not regret the process it took to get there.

2. Trigger your employers maximum 401(k) matching.

If your employer offers 401(k) matching, take advantage of it, up to the maximum. Not only will your money work for you, but your employer is giving you the same amount as what you're investing. Considering future growth, your employer could be handing you a fortune - for free!

Action: If you are not already signed up for your employer's 401(k) program, get signed up. Once signed up, contribute the required amount to receive the maximum company match. What expense can you live without today in order to be able to live how you want tomorrow?

3. Buy more than one home.

First, purchase your primary residence. Then, as soon as you are able, purchase another property. It could be a rental home, a piece of land, a building, or any other form of habitable real estate.

Action - First time homebuyers: Check with your local state housing finance agency and request the list of current down payment assistance programs available and when you are ready, begin the process of qualifying to purchase.

Action - Existing homeowners: Consider purchasing another piece of property to put it into use as a rental or you can improve/rehabilitate it and sell it for a profit.

People will always need a place to live.  Having a real estate portfolio can serve to provide you many years of additional cash flow and equity growth that will just keep increasing every year.

4. Aggressively pay off your debt.

The interest accruing on your debt balances are offsetting any gains you may realize from your savings and investments. Your monthly cashflow is severly impacted by the existence of debt payments.

The faster you get out of debt, the faster you will have more cash to allocate in more beneficial areas. Deal with your debt and you will be handed back increased cash flow.

Action: Always pay more than the minimum monthly payments on your monthly debt.

5. Keep enough insurance coverage in place to protect all of your assets.

You may be at the healthiest point in your life, but serious illnesses and accidents can happen to anyone. It may be more expensive than what you are willing to pay, but in relation to health, dental, life, automobile, and home insurance, its better to have it and not need it, than to need it and not have it.

Action: Call your insurance agent and discuss all putting in place all needed coverages that you do not have currently. Try not to ever be without coverage.

6. Always think in terms of Return on Investment.

It's common to think that you'll have plenty of time in the future to save for retirement or to consider new business opportunities. All those 65+ year olds you see working in fast food and retail stores thought the same thing. Consider every move that you make and the ulitmate cost and benefit. 

Action: Get in the saving habit and stay consistent in doing it. Over time, your investments can grow to accumulate enough for you to live on the interest. Try to avoid things that costs you, but doesn't produce a benefit in return.  Your future financial well-being is dependent upon it.

7. Manage your money like a business.

Whether you earn minimum wage or $1 million per year, you need a spending plan. A budget is a spending plan. Your spending plan should always result in a profit at the end of every month.  That means that your income exceeds your expenses and there is something left over to accumulate. 

Action: Use money apps such as Mint.com or EveryDollar.com to begin to plan and track your spending.

8. Turn your passion into a profitable business.

You know how to do something very well and chances are someone else is willing to pay you to teach them how to do it.

Action: Do a bit of research on how to turn what you know into an online business. People all over the world are starting to take what they know and turn it into an ebook or a short online course that can be accessed and sold on the internet to anybody. Check out NewKajabi.com to see how to get your business online.

9. Increase your financial intelligence.

What is it about money that you need to know more about? Always be looking to fill your financial knowledge gaps. The more you know, the more you grow. 

Action: Take a financial training course on a topic that is relevant to you or buy a personal finance book to keep your financial knowledge on the rise. Commit to learning something new financially every year.

Summary

All the items listed above can be in your reach to accomplish if you keep the right perspective.  If you agree with any of the activities above, I encourage you to step out and to try to do as many of them as you can. There is no better time than the present to consider doing what you need to do to ensure that your financial position is a strong as it can be. Your family needs it and you deserve it.

Want more information on how you can experience better financial results?  Click below to get my free eBook and audio download!