Build a Good Relationship with your Money

Life is hectic. Sometimes we have to juggle so many things at the same time. This is why most people don't have the time to build a relationship with their money.

Building a relationship with your money means constructing good spending habits. Make the right choice about your wants and what you really need. It is also very important that you know the financial products that you have knowledge is key, awareness about the financial products that you use can be the difference between a happy life and a life fraught with financial anxiety and trouble.

What to do:

• Go on a financial diet
• Live within your means
• Say no to your kids at the grocery store(tough one)
• Buy what you need and only take on debts that you can afford
• You have to spend time to know and understand your finances

Financial knowledge is a powerful force that can help you gain an holistic control of your life. Your ability to make good financial decisions could be a deciding factor to your well being.

A good relationship with your money is better than a good relationship with your bank. When you are so loyal to a particular bank, you will stop paying attention to your service charges. There are  people who have 4 unlimited chequing accounts at 4 different banks and with a monthly service charge of $14.99 each. Having 4 chequing accounts is excessive because the extra paid fees can be directed towards a savings account.

What not to do:

• Don't put money management on the back burner
• Don't buy things because they are on sale
• Don't ignore your monthly bank statement

Building a long lasting relationship takes time. Education is key!
Please free to email me at margmortgages@gmail.com for any question(s). You can also leave a comment below and subscribe to the blog for future updates.

 

Financial Freedom

-The borrower is a slave to the lender

Proverbs 22:7

If you own one, pick up your bible and read Proverbs 22:7. if you're not a Christian you can Google it. The best way to have financial freedom is to be debt free. When you're debt free, you will be in control of your earnings.

I want to ask that you spend today or tomorrow to look at all your credit cards, loans and lines of credit. Add up all you owe, who you owe and list how much you're paying in interest  on a monthly basis. Once you are fully aware of how much debt you have and the amount of interest rate, it will be easier for you to understand that your income gets deposited into the bank by the company that you work for. Then the money passed through your hand back to the bank, mortgage companies, and credit card companies.

My goal is to help you get out of debt and stay out of debt because debt is a big burden that won't let you get ahead or achieve your financial goals. Can you imagine what you can do with all the money that is spent on the interest rate?

I want you to start imagining a life without debt and a life with emergency funds, liquid cash in your chequing account, investment properties, kid's education funds and a retirement plan. A debt free life is not far away from you, all it takes is self-discipline.

Self-discipline is easier said than done but it can be achieved when you realized or pay attention to how much you owe and how much you're spending. And the truth is, you might just need guidance on how to stay on track or get out of your current situation so that they can start afresh.

Don't become servants to your lender, don't just work and pay bills, say no to living from pay cheque to pay cheque. If you find yourself in this situation, seek help before it's too late.

Feel free to call me on 7809018060 or email: margamortgages@gmail.com

Make sure you subscribe to my blog to get updates on personal finance.

Overspending

Have you ever walked into a grocery store to pick up cookies for your kids or to get one item that was left out of your previous grocery list? You only planned to  spend a few bucks, but instead of buying one item, you left the store with 3 bags of groceries that you didn't plan for. Then you sit in your car, pondering why you have 3 bags of groceries instead of one box of cookies.

Do you go grocery shopping because your coupons are about to expire? Maybe you are a compulsive spender who keeps your spending habits a secret from your partner for months to avoid conflict.

You've probably repeated this phrase to yourself multiple times' I'll never spend like that again". Sorry to be the bearer of bad news, but the truth is that most of the time, you will do it again. I would know since I have been down that path before and I know that it always happens again.

One of the reasons why you might overspend more than once is that budgeting is not that easy and it takes a lot of willpower to say no to all the clever advertisements and sales that you may see in the stores.

Here are two common reasons for people overspending and ruining their monthly budget:

• Sales, Bargains, and Promotions                                                           An obsession with bargains is a big problem for many people. You will buy things that you don't need if you focus on sales or promotional items. I like telling my clients to stop and think before they buy things that are within their budget for the month. You can definitely take advantage of good bargains but it is not a bargain if you have to put the cost on a credit card. Buying a sales item with a credit card means you can't afford it and you will likely be paying more for the sales item with the cost of an interest rate on the credit card. If your child needs a pair of shoes for school and you didn't plan to buy a shoe, then it will make sense to buy the shoe that you found on sale. But you see a pair of jeans that you don't really need and choose to buy it because it is 50% off, that means you are buying the jeans for no reason. Keep in mind that bargains are used by retailers as an incentive to get you to spend more than you anticipated.

• Spending based on emotions                                                                                 If you go shopping because are upset about something, or if spending money is a form of therapy for you then you might be an emotional spender. An emotional spender isn't necessarily looking for bargains but shops because it makes them feel good. If you are someone who buys expensive things just to be accepted as part of a group, you will be challenged with keeping to a budget.Material possessions do not define who they are. People will love and accept you if you are genuine.

A finance coach can help you structure your monthly spending, create a budget and holds you  accountable for your spending habit.

Please feel free to email me at margmortgages@gmail.com if you have any question(s). You can also leave a comment below and subscribe to the blog for future updates.