In this 3 series content, you’ll see What is it,why is it so important and how to do it.
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THE WHY
The biggest obstacle from where you are today to becoming wealthy is NOT opportunity or income — it is knowing and moulding yourself. Money and Wealth specialists often highlight that personal finance is 20% head knowledge and 80% behaviour and mindset! So we’ve prepared this series to show you WHAT is a financial mindset is, WHY it is important and HOW to do it!
Why improve your financial mindset?
What a rhetorical question. If improving your mindset improves your financial well-being, then why the heck not, right? It also helps you to get closer to the life vision you have for yourself! Having a vision is incredibly motivating. And it is also great to be so fired up about it that nothing can stand in the way, not even wild horses. It gives you lots of power to make your own success. Read more about vision and purpose here!
Why start now?
If you want to leave a wealth legacy and change your family financial status, you have to learn how to live differently. And one of the best things you can do for your family is to make sure you're not going to burden them financially. Think of money as the tool that will take you to your financial destination. It can be tough to save just to have more money in your account consistently. But when you come up with clear goals for life, it is easier to see how your savings can push you towards them. So have a deeper why!
Why have a deeper why?
Knowing your why will be the ultimate motivator, especially when things aren't going as planned. People need a vision for where they want to go and what they want to do in life. Think of your vision as the GPS directing what steps you take and where the money goes. Anyone can start by thinking about the ideal vision for their life. How much money do you want? Where do you live? What do you do daily? Who are your friends? What do you do in your free time? What makes you feel purposeful and fulfilled?Then put your vision into a plan!
Why put the vision into a plan?
Simple so that you can execute it. The same holds for finances. How will you achieve if you want to retire comfortably or pay off debt but don't stop and figure out details for each goal? If the goal is to become debt-free, figuring out how much debt has to be paid, how much cash flow is used to pay down the debt and how much additional cash flow is needed in the following weeks or months. And anyone shouldn't be afraid to do so; this can also help strengthen your mindset!You can read more about how to make sure you always have money left to invest in your goals here!
Why face your financial fears?
Remember the "why", your specific why in life. Look at all the accomplishments you've had to this date... and all of the fears you've had to overcome to get where you are. If you got past those fears, you could most definitely get past your current worries about money. There is probably one action - even if it's just a small one - you can take to counter the fears you currently have. For example, are you afraid you'll never be able to save? You can focus on making a small saving right now. How doesfive buckssound to start? This micro-step will help you work against that fear.
MYTH:Wealthy people have high-level positions.
TRUTH:Most millionaires have regular jobs.
Whyowninstead ofbuy?
Are things you have investments or waste? Spending to Feel Better ends up making you feel worse. Being okay with an older model of car and phone will make your financial life a lot less complicated. Besides that, buying something impulsively COULDpositivelyaffect your mood when you do, but in the long run, it brings you down. This is called emotional spending, and we've probably all been guilty of it at one point or another. If you spend, spend, spend, to gain material satisfaction you’ll find that hunger never goes away - there's always something new you can buy.
You may be asking how to actually do all these. Go on to our next post on how to improve your financial mindset here!
