Financial Tips

Derek Notman, CFP |

8 Financial tips for financial freedom and a happy life.

We all dream of financial freedom, but somehow, it seems too good to be true.  After all, we have mortgages, car payments, school fees or student loans and the never-ending credit card balances to juggle.   Is it any wonder that we’ve just surrendered to and accepted the fact that debt is just part of our lives?

But have you asked yourself if it needs to be that way though?  Wouldn't it be great if we could just wave a magic wand and make all our financial woes disappear? 

Well, I’m here to tell you that it is possible to be debt free and to spend your money on the things that really matter to you.  The things that help you and your loved ones create memories that last a lifetime. So, imagine being free and having the financial means to book that holiday or that cruise your wife would enjoy for her 50th birthday.

To become debt free is entirely possible and I’m going to share a 8 financial tips to help you get on the right track.

8 Financial Tips

  1. Define your ideal future dream

Have you found your purpose in life and determined who you want to be in twenty years from now?Moreover, what would you like to be doing as a career in twenty years from now?If you’re not happy with what you’re doing, then it’s time to put pen to paper and make a few changes.

You’ve heard the saying ‘bucket’ list, but in order to achieve your future dream, its important to list your goals.Think of these goals as your dream list and label them as such.Don’t just keep these goals in your mental filing cabinet – write them down and place them where you’ll see them and be able to acknowledge them.

In terms of financial goals, speak to your financial advisor to assist you with a goal plan that you can implement and more importantly, stick to.By working with a financial advisor who understands your financial health, together you can devise a strategy to ensure the goals you list and dreams you dream become a reality.

 

Thumbnail
  1. Be specific on what dreams you want (income, type of home and car, how much money you have, etc.)

Some people just seem to be very gifted in life and almost always get what they want.How does this work?They can’t all be magicians waving their magic wands – surely?As a species navigating our way around the globe, culturally, we don’t know how to ask for what we want.And when we do, we usually botch it completely!

Learning how to ask are two skills that successful people learn how to do really well. When you ask well, you can get what you want more quickly — saving you time and energy. 

I’ll share a few tips with you in helping you be to be more specific about your wants:

 

a)  Firstly, identify what you want

This is such an obvious step – but one that is often overlooked. It’s not always clear to you what it is, exactly, that you’re in need of.  The more clarity you have about what you want, the better. Take the time to learn, figure out, or discover exactly what you want.

b)  The aim is you must ASK for what you want

It sounds so simple in telling you this, but there are so many who do not ask for what they want.People would rather tell you a story or email you and spend hours talking in circles about their ideas and their goals and somehow amongst all of this, hope the person they’re speaking to will be able to figure out what it is you want and help you solve your problem.

People are not psychic mind readers so therefore, you need to put what you want out there.

c)  Be direct and specific about what you want

Make it clear what you’re asking for. Be direct about what you want, who you want it from and when you need it.Define a desired outcome looks like. Remember, the more specific and direct you can be, the better.And let’s not forget that you should also know what you are willing to give in return for what you are asking.There is no free lunch here!

Thumbnail
  1. Create a vision board with pictures of the dreams you want in life

A vision board is a collage of visual images or words that represent the life you want to live. Quite literally, it is a tangible representation of the vision you have for yourself.  You can make one by hand—think old-school magazine cut-outs on a bulletin board—or you can make one digitally, via a website like Pinterest.

What matters is that you manually create it yourself and that it excites you when you see it.  You need to resonate with the board.

It can represent your vision for a particular area of your life, such as your finances, career or your life in general, but the more specific you are the better.  These pictures speak to your sub-conscious mind which will start to work on getting them without you even realizing it, the power of the mind is remarkable!

 

  1. Research how much each dream will cost

Is your dream too expensive?You hear it frequently from Oscar winners, how they stuck with it through adversity and finally triumphed in the end. You hear it from novelists who kept revising and kept sending out their manuscripts until they finally got published. You hear it from CEO’s who took chances, displayed entrepreneurship, and made it to the top. Apparently if we persist and never give up on our dreams, they will come true.

Research what it is that you want to achieve and set goals as to how you will attain the goal.If the dream is out of reach, think about what changes you need to make to ensure you will fulfill your dream.

Find out exactly how much that dream house, car, etc. is going to cost.Then set up a plan to start saving for it each month, you must take action to make things happen.

Thumbnail
  1. Assess your current cash flow

Engage the services of your financial advisor to assess the health of your cash flow and what strategies you can put in place to cut out unnecessary expenditure. By taking control of your finances, you empower yourself to realize your dreams.

  1. What is your income, what are your expenses, and do you have positive or negative cash flow?

By taking control of your finances and working with a certified financial planner, you get to weed out the debt and by having a tangible plan to work with, you have a dashboard view of your current financial status.  Having a disciplined approach will ensure your dreams and goals are achievable.

  1. Review progress weekly, monthly, and annually; are you on track?

If you are not on track with your progress, it’s time to act – and sooner rather than later.  In collaboration with a financial advisor, you can review weekly, monthly and annual progress.  This is about empowering yourself to take charge of your financial success, goals and dreams.

 

  1. Celebrate each dream when you achieve it

Thumbnail

Reward yourself!  Yes, you read that correctly.  Dream Big and then, take all the little steps to achieve It.

Here are some possible ways to celebrate when you achieve a dream:

  • Celebrate with friends who will cheer you on and who know what you have sacrificed and how hard you’ve worked to achieve your dream goal.
  • Do something to replenish yourself and your spirit.
  • Do something fun and adventurous.
  • Spoil yourself and buy something nice.
  • Get excited about the next goal!

If you are looking to figure out how to become financially savvy, then I encourage you to get in touch with a professional that you like and that understands your plans for the future.  Putting a financial plan in place to assist you achieve financial freedom will ensure peace of mind and financial security.

Thank you for reading!

Cheers,

Derek Notman