Money Lesson: Stop Torturing Yourself

 I have a confession...sometimes I procrastinate and allow issues to linger instead of tackling them right away. A few weeks ago, I was working on a task at my job but I just could not get myself to take the actions needed to finish it. For some reason, I felt this task was so daunting and so time consuming that I just wanted to avoid it at all costs. i knew I would have to finish the project eventually, but at the time I chose to let it sit on my desk for a few days while I kept myself busy with other work that was equally as important but probably less urgent. The problem is that each day it sat on my desk, my anxiety regarding the work increased and what should have been a proverbial "molehill" quickly became a "mountain" in my head. Finally, one day I came to my senses. I asked myself, Why am I spending all of this time agonizing over this work when I can just buckle down and finish it?

I've created similar scenarios while working on my finances. I know I have spent more hours worrying about how much I owe in studnt loans than actually creating a solid plan to pay them off quickly. I've purchased items that I quickly realize that I will never use, but instead of going to get a refund, I would just put things away in my closet as I worry about going over my budget for the month.

 Some of you may have the same problem that I have of putting myself through unnecessary suffering. Do you find ourself avoiding the mailbox because of the many final notices you get, or notice your heart racing when the phone rings for fear that it may be a bill collector...BUT you go shopping every weekend faithfully(and never coming home empty handed, might I add)? Or maybe you feel yourself drowning in debt, but rather than reaching out for assistance (negotiating new loan terms, exploring economic hardship provisions, getting credit counseling or financial planning assistance) you suffer in silence  day after day.

 Well I'm here to tell you: Stop torturing yourself! Do whatever is needed to rid you of the burden of your financial worries. Action is the first step in obtaining freedom, so imagine how good you will feel when you trade in your procrastination, avoidance, and associated stress for knowledge, progress, and ultimate achievement!

What about your Friends?

"If every player in your clique is rich your clique is rugged
Nobody will fall cause everyone would be each others crutches" -Jay-Z

Like the old saying “birds of a feather flock together,” you can tell a lot about a person by looking at who they spend the most time with.  Think about your core group of friends…you shop together, eat together, and share common interests.  However, some of your bonding activities might be hurting your wallet, and steering you away from your financial goals.  The regular girls' night out at the hot downtown restaurant or the weekly shopping excursions may be fun, but once you start monitoring your spending, you may find that A) you can’t afford it! or B) it’s hard to say no to these indulgences when everyone else is doing it...after all, it's what you guys normally do! 

So what do you do now?  Decline all invites from your crew? Replace your old friends with new frugal ones? No!

Debt = The Status Quo for Americans

With the presence of credit cards, ubiquitous advertising, and even the current U.S. debt ceiling "crisis", it is no surprise that debt seems to be part of the American way of life. The figure below is more eye-opening than shocking, and more than anything it serves as motivation for me to avoid the lifelong debt trap.

Source 

Spring Forward: Bouncing Back from Money Mishaps

Though no one can go back and make a brand new start, anyone can start from now and make a brand new ending. -Carl Bard

Whether you are just starting out on your financial journey or trying to get back on track after a setback, this "money stuff" can seem a little overwhelming. We all have felt this way at some point, but instead of letting our money get the best of us, let's resolve to Spring Forward from our setbacks this year.  Here are some ways to bounce back after some common money mishaps:

Spring Into Action Series

Warm weather, sunny days, bright colors…I’m officially ready for Spring.  In my city the temperature reached 80 degrees twice last week so it’s clear that my favorite time of year is approaching!  To welcome this new season, I’m featuring a series of posts influenced by the Spring.  Spring is thought of as the season of new beginnings and growth, so it’s the perfect time to start your managing your money or renew your commitment to making your money grow.  Be on the lookout for several posts over the next few weeks to help you “Spring” into action!

Making Savings Fun

What you see above is my new money bank and also one of my favorite gifts that I got for Christmas. Yes, it's technically for kids, but it is absolutely adorable and makes me smile. It is designed like an ATM machine equipped with an ATM card and secret pin. It automatically counts the money I "deposit" and keeps track of my "balance." My boyfriend and I are using it to build our "weekend getaway" fund...granted we are only depositing coins so we're not expecting this to pay for the entire trip, but every little bit helps (and it's much better than having change weighing down my purse or filling up the upholder in my car).

Now the main reason I love this litte bank is because it makes saving money FUN. I get the rush and instant gratification that I don't feel when my money is automatically transferred each month. I hear the "ca-ching!" when the coins drop inside.  Plus it's something me and the boyfriend can do together, which is always nice!

So, how do you have fun with your savings?  Any tools (or toys)?  Tell me :)

First Things First

I've been working full time for exactly 4 months now! If getting adjusted to the "real world" of working 40 hours a week was not enough, I had to get used to getting paid only once per month. In all of my previous work experiences I've been lucky enough to get paid weekly, so needless to say it was an adjustment from having a frequent source of income to working weeks at a time for (what felt like) nothing. Now I never thought I would say it, but I'm starting to see the bright side of my monthly pay schedule.  All of my bills are due at the beginning of the month, so I'm never worried about missing a payment. With all of my necessities out of the way early in the month, I spend the remainder of the month adjusting my activities/expenses to make sure I can stay in budget (assuming there is no emergency).  I just started having a percentage of my paycheck deposited into a savings account so now I'm able to save money upfront instead of scrambling to take what's left over at the end of the month to the bank...It's much easier for me to treat my savings as a bill that has to be paid.  Also, despite my bills and savings taken out of my paycheck at the beginning of the month, the amount left over is still a pretty nice amount due to the larger monthly checks.  Psychologically, I like seeing the bigger monthly paychecks...it makes it seem as if my money lasts longer, unlike the "revolving door" effect that comes with weekly pay.  All in all, this pay schedule allows me to take care of what's important, and surprisingly helps me to be a better budgeter (tongue twister!).  Imagine that!

What "The Apprentice" taught me about money management

This week I caught the premiere episode of the new season of The Apprentice.  The show was an absolute thrill ride! I think I'm going to try to watch this season regularly...I especially like how this season is focusing on second chances for people who have been struggling due to the economy.   From hearing the personal stories of the contestants and watching the struggles of the team challenge, I found some life lessons and inspiration for my financial journey.  Here's what I learned:

Disappearing Acts

It's the day after payday.  Do you know where your money is?

$5 at the corner store.  A quick dollar menu lunch from McDonald's.  The daily Starbucks latte.  These little purchases may not seem like much, but that's the problem.  It takes a few of these before you are able to really notice a big dent in your account,  so it's easy to justify making these purchases everyday.  By the end of the month, you may have spent $100 or more than you planned!

I want it all...and I want it now.

Maybe it’s the new Smartphone, or the fierce stilettos in the boutique window. Maybe it’s the new Madden for the Xbox. At some point, we have all seen an item that we had to have at all costs. There’s no feeling like getting something as soon as it hits the shelves; and when the object of your desire is right in front of you, it takes a strong person to fight the impulse to buy, buy, BUY!