What if you only needed one shortcut to improve your finances? Before answering this cryptic query, Finance Expert, Brian Bonar points out that nothing comes easy, and rewards don’t appear overnight, but one shortcut could speed up the process. Check out Brian Bonar’s About.Me profile.
According to Brian, the one shortcut everyone can perform immediately is stopping the financial bleeding. What does that mean? Financial bleeding translates into overspending. Take a look at the credits and debits that flow in and out of your bank account. Brian says he can tell without even a glimpse of a bank statement that you give yourself too many perks, and just about everyone does it.
Identifying Your Expenses
Before work, you stop at Starbucks. For lunch, you run to grab take out. On the way home you buy a $2.00 pack of gum – every other day for your commute home. And the weekends are worse.
Take a look at all of those money-draining expenses, and then start on plan B. Now, Brian Bonar has been consulting on finance issues for more than two decades, and he says, for most consumers, hearing about their financial mistakes is a lot easier than stepping up to the plate to fix them. Brian says when you become accustomed to a certain lifestyle, you naturally resist if you need to scale back. It requires determination!
Plan B: Fixing Financial Mistakes
The first item on your agenda should be to rein in your spending. Unfortunately, the typical cutbacks people make, like suspending the runs to Starbucks, or cutting out the daily take-out lunches will only make a nick in the crisis. You have to snatch the band-aid off, and put in some real work. It will sting a little, and it’s a shot to the psyche, but very soon you’ll find yourself in a better financial position.
You need to identify every expense you can cut back on, and then apply those extra funds to debt.
Second, you need to simplify your financial life. Freeze the credit cards, and downgrade your lifestyle while you play catch up with your debt. If you require one credit card for emergencies then keep that one and toss the others.
According to Brian Bonar, you must automate your thinking – No Spending. It’s a tough goal that requires willpower, but just ask yourself, who’s in charge? Check out his Dalrada Financial profile.