Make Things Happen
A big part of building a better mindset for money is learning to be proactive with your decision-making and seeing the steps through to their completion.
That translates to making good use of your time every day. Being aware of what needs to be done will allow you to schedule when to do it. Things that need to be done are not always what you want to do on that day. That is where being proactive comes into play.
Are You Distracted?
With all the gaming systems, sporting events, concerts, etc. we have a lot of potential distractions. Although, we do have a lot of fun doing those things.
Family is important. And family gatherings, celebrations, or other reasons to visit can sometimes take up a lot of time. We do love those visits.
Obviously, these distractions do not take up all your time. Sometimes, work will interrupt or delay your fun times.
The Fun Times Are Not the Problem
We all look forward to fun. The problem comes with our perception of whether we deserve or do we earn the fun times.
We make life more difficult on ourselves when we think we deserve our fun times and ignore our responsibilities. And we do have responsibilities unless your parents can afford to provide a residence and meals for you.
As an adult, we are responsible for our own expenses—housing, meals, transportation, utilities, etc. Those require payments, which usually require some type of regular income, which usually comes from a job. That will require a commitment of time that we will not always consider fun.
However, that is when we earn the privilege for some fun!
Why Is Life So Hard?
When I was young and my bills were out pacing my income, I would say to myself, “Why does life have to be so hard?”
It was about then that I learned, in my reading, that it was my choice to set my attitude for each day. I could just sit and cry about my lack of good fortune or I could stay positive about finding a way to make my situation better.
I found that the positive, hopeful, approach served my needs the best. Sometimes the difficult time can seem to drag on. But, once the situation gets better, the fun times are much happier!
How Do I Do That?
You must learn to be proactive. It is a habit that does not come naturally. However, our society requires us to provide for ourselves.
If you do not like that aspect of the country you live in, you can find an island and isolate yourself. Just one problem to point out with that. You will have to raise your own food unless it is a tropical island. Hope you like coconuts!
If you cannot do that, you can work on your self-motivation. Getting yourself to work every day does take a sense of responsibility. However, you will need more than that to impress your boss and get the annual raise you want. A positive attitude will help, but your job will require some skills. I hope you can apply what you have learned and learn to follow their instructions.
Remember, employment is payment for your skills and time. However, skills pay better than just time.
The Transition
For you to make the transition to being proactive will require you to try to make positive changes.
I have listened to recordings of Jim Rohn a lot. He related the story of his transition to be more proactive after his mentor advised him that “nothing will change until you change.” That was when he was in his mid-twenties. We should all get that kind of advice when we are just beginning our careers.
Later, when Jim Rohn was a successful speaker, he counseled his audiences that they should “do what you have to as soon as you can so you can do what you want as long as you can.”
Work On Yourself
You cannot change your environment or the economy. But, you can change yourself.
This should be a lifelong mission. Your limitations are self-imposed. If you develop the habit of reading and listening to those that have found a way to lead a satisfying life. That is a start.
Your life, your skills, your potential, will be different than all others. You are special! So, learn how to identify what you need to improve on. Then, try to develop good habits to keep growing. Allow this to be a continuous process. Continuous improvement is truly a mindset that can bring you great satisfaction in both your work and your family life.
Your Income May Need a Plan B
You need an income to provide for everything that you are responsible for paying. Obviously, you have choices to make about where and how you live that will dictate how much income you will need.
Once you commit to where you live and how you will live, in terms of defined expenses, the effect can be long-term. However, some income opportunities do not last like you hoped. That will be when you will need a Plan B.
Your primary job, which covers your primary needs and, hopefully, some of your wants (and some fun things!), is your Plan A. With the realization that things can change, you need to protect your interests by having a backup plan, a Plan B.
What Does a Plan B Look Like?
Your Plan A was to get an income to cover your planned expenses. And with a good stewardship mindset you had set your limits on expenses to allow for savings.
Your Plan B will be your reaction to the loss of your primary income. The reality is that your primary income may take a while to replace. Are you prepared for that?
There are some hard questions that will help you decide if you are prepared and give you considerations for steps you can take to be better prepared.
Some of these questions and considerations are easier with reserves on hand. Savings and investments build flexibility into your financial planning and options for your Plan B.
If you hope for income replacement appears to be unlikely soon, you should be asking yourself the following questions about your expenses:
- Can you reduce your housing expenses? In the short term, your focus can be on using less utilities, delaying maintenance expenses, and a possible refinance on your mortgage.
- Can you reduce your transportation expenses? Financing is a consideration, along with the operating expenses. Can you trade for a less expensive, more fuel-efficient model?
- Can you reduce your food budget? That includes eating out. Most of us get too relaxed about eating out, to be able to save time on cooking and cleaning up the kitchen. That is an expensive habit. Even our eating at home can be modified. Fewer steaks and more filler foods like rice and beans (as Dave Ramsey likes to say!).
These are hard choices, I know. I have been there. However, if you think of these things before you must do them, then the choices are easier to make. That is planning, a Plan B.
That is being proactive.
Other Signs of Proactive Living
Other proactive living decisions are a matter of perspective on what will be valuable to your welfare. The first and most important, in my perspective, is the value of savings to your future financial independence. Remember that savings and investments will give you more flexibility in your financial decisions.
If you decide to buy a home, you must keep a couple of concepts in mind. First, the condition of a house depends on the care given by the previous owner. So be cautious. Maintenance adds to the cost of a home, and you have to pay for that, unless you are handy with tools.
Second, everyone likes to think of their house as an asset. However, a house is not an asset until it is paid for. Until then, it is a big part of your living expenses. So, pay extra on your payments to make that happen quickly. Your house will be a good asset to have.
Then, there is the less obvious and often ignored aspect of risk management. By management I mean the legal wall you can put around your assets and your family in the form of insurance, wills, and other legal documents. You have to be proactive to assure these are in place.
Want to Live Longer?
We are our own worst enemy when it comes to our health. Remember the fun we like to have? Gaming, streaming on TV, etc. They all relate to sitting and unhealthy snacks. So how do we be proactive about that?
Do you want to live longer and in good health? Silly question? Yes, we all want to live as long as we can. The discouraged might say otherwise. However, if we ignore healthy habits, which is easy to do, we might become discouraged, as well.
If you are proactive about your health, you will do regular walking and other forms of exercise to keep your muscles toned up. Good eating habits will accumulate to your benefit, as well.
If you recognize the importance of proactive living, then you have a better chance for a long and prosperous life!