Sometimes we lose our way…. sometimes we are shown a different path… sometimes we haven’t a clue about what to do next to get some of our house in order. Today I want recap a simple process you can use to get started tapping into where the biggest stress lies in your regular, normal financial life!
What’s more, to begin to have a little more fun in your life! Let’s get started.
1.      Practice asking for a whole bunch of “wanting.” That’s right – dream big! Sit down and make a list. This doesn’t take a lot of time – so go for it! Then, notice if any beliefs and little voices come up that tell you to stop, or you’re wrong to dream! What do you want? more of $$, time, energy, love, things, relationships, and what else?! I’ll speak to how to remove some of those voices and beliefs – next article!
2.     Next, do a visual breakdown of your current financial state of affairs – you need to know where you are before you can move to where you want to be! Find a simple net worth template and fill in how much you own, how much you owe and subtract the 2 to find your net worth.
3.      Using this simple formula, calculate to find out where you “could” be if you saved and invested over the past decade: Your age x .01 x your annual salary.
These first 3 exercises are designed to paint a visual of your net worth. So for the first exercise, net worth, you want to see your overall picture of how things are in the present moment. They also show you where you are the most stressed right now. It’s important to narrow this down.
Then exercise 2, wealth indicator formula helps calculate accumulating assets only and offers you an idea of where you could be.
This Stanley formula (taken from Dr. Thomas Stanley who wrote “The Millionaire Mind”) by multiplying your age by 10% of your annual income is a reality check to find out how much assets you have saved, invested in, or in some way built for your future.
So for example, filling in the net worth spreadsheet allows you to see for real where you stand financially.
Then calculating the formula gives you a perspective of where you could be with assets.
If the 2 are way far away from each other, there are leaky holes! And those are found doing this next step – list of expenses exercise.
4.      List as many expenses as you can think of that are actually leaky holes – I think you know what leaky holes are, right? They are those habits and holes where your money seeps away from you without you even knowing – like spending too much on special coffee when you don’t have the extra in your pocket. Or shopping with you don’t need it! Or paying for a service you don’t use, or giving your kids money every time they ask… even if you don’t have it!
5.      Now we’re going to go a little deeper. What do you want that has even more emotional impact for you? Here’s how to find these. Check through your list of “wantings” and narrow down the reasons behind the items you want so badly – these then become your top 3 values: things like freedom, independence, love, joy, harmony and so on.
6.      Take your values a step further… develop some goals on how to meet the values – pick just one to begin with and create some goals.IFor example, if you want more fun or joy, set a games night with your family at least once a week. That’s a goal.
7.      Now… narrow down that goal. A goal that is reasonable you can achieve in these 30 days or so, and maybe another one in 6 months, 1 year, and so on. All these goals meet a value. So in order to have a games night, check with each family member and set the dates. Fnd out when each of you can meet, shift your plans to accommodate and decide what to do to have more joy and fun! See what I mean?
8.     Finally, the biggest challenge is to find out what blocks, roadblocks, energy walls get in the way of you taking action steps to show the universe you are serious! Will you plan, but not take action to speak with each one to find out when to do this. Maybe they don’t want a fun night. But you do! Even if you are alone, what can you do to have some fun at least one night a week?!?
9. And don’t forget – enjoy!!!
Just got a revelation about the two posts I am needing to finish. At least one. Write a goal down that is easy to accomplish. So for example, I can write the outline and then the first paragraph and then create another goal till I get it done. It's one that is even important and going national and could be international. It has the makings of big potential. I'm off to do that in a few minutes. The other post or article is not as pressing. Initially the national article has no money involvement but can. Better handle and view it with great value. Off and running.
Thanks Pat.
WOW. What a comprehensive guide to money and it's place in our lives and our minds. Many of us bring such baggage to money talk. How we think about it is just as important as how much we have in our pockets and in fact there is such a relationship between the two.
Thanks. You've offered lots to ponder.
Thanks for the reminder that money, like everything else, is how we view it and treat it. My own stress release process is called The Magic Checkbook – find it on my blog posts and give it a try at http://myyogasecret.com/2011/09/21/the-magic-yoga-checkbook/
Thank you for sharing these very important tips. Our dreams can certainly come true if we write them down and take the actions necessary to make them a reality:) Have a great day!
Dropping by from YouCanDo. Thanks for sharing. Lorii at http://www.manifestingmydestiny.com
Great article, Patricia. It is Amazing how many limiting beliefs most of us have had or even still do in regards to money and what we truly deserve. Thanks 🙂
I will take your advise and write a list. I haven't given myself permission to create one before. After reading your post I think it will give me something to work towards. Thanks!
Great points Patricia! It is good to know the result and imagine that, from there then go back and see how could we get there. People get very disappointed imagining great things, then getting discouraged…well without those small little steps it is hard to get to the big one 🙂 Thanks!
Very timely article for me 🙂 Great points – note to self: ENJOY! 🙂
Love that you have painted a visual picture of net worth!! I appreciate that you acknowledge the importance of values in goals! Great post!
Thanks so much for sharing this. You have given us a great plan.
Wow! A mini-how-to on wealth management. Worth keeping for future reference. Thanks.
I am a goal setter but I write goals that are reachable but I have to work at reaching them by a certain time but if I don't reach it I don't give up on that goal. I set goals for the year and then I set more goals in smaller sections thoughout the year. Good luck everyone!