While it can’t purchase joy, money indeed affects our sense of wellness. Financial pressures are among the main causes of distress and depression in our current society. Are you comfortable with your financial state?
Understanding how to handle money and being satisfied with your existing financial situation is vital. The idea of being content with our financial standing may appear difficult, yet it isn’t. In this article, we will explore five pointers for achieving financial contentment, no matter your financial progression stage.
1. APPRECIATE THE POSITIVES
To find contentment with your finances, it’s necessary to pause and appreciate the positives. Regardless of your circumstances, there’s always something for which to be grateful. A couple of years back, I began keeping a gratitude diary – a transformational exercise that needs only 1-2 minutes every morning. This simple routine shifts my focus from what I lack to what I possess. Reflect on something in your finances that’s progressing well. Were you able to meet your housing costs? Did you come across a bargain in furniture shopping? Did you have a coffee date with your partner? Begin to appreciate these things. We all yearn for things beyond our current financial reach, but if that’s where our attention is anchored, we will never be satisfied. Rather than lamenting the restaurant meals you’ve missed out on during the past month, be thankful for the capability to buy groceries and prepare delicious, homemade dishes.
2. DEFINE ACHIEVABLE OBJECTIVES
The next step to financial contentment is setting achievable goals. It’s easy to weigh your finances against those of friends or relatives, but keep in mind, financial situations are unique. Take the time to examine your current financial state and set attainable objectives. I personally find ‘microgoals’ appealing. These are small, attainable goals that can be realized in 30 days or less. Here are some examples:
– Monitor your spending for 30 days
– Resist 5 impulsive buys
– Transfer $25 to your savings and let it sit
– Start keeping tabs on your credit
– Get 3 quotations for affordable car insurance
– Switch to a more cost-effective prepaid phone plan
Setting large, unrealistic goals can lead to stress. Keep your financial targets manageable, celebrate your achievements, and foster a sense of progress.
3. ADOPT A WORKABLE BUDGETING PLAN
Once you have a clear picture of your income and outgoings, craft a budget — but not just any budget — one you can actually follow. A budget is simply a plan that allows you to know where your money is heading so you can use it purposefully. Thankfully, you have multiple budgeting choices. You may choose to list all your monthly income and expenses or opt for percentage-based budgeting to split your needs, wants, and saving targets. Find a method that suits you and stick to it. Remember to incorporate a small amount for leisure so you don’t feel deprived. An effective budget may even allow you to save a little each month. Reducing unnecessary expenditure, like dining out or entertainment, can increase savings. Though the savings might appear marginal, the cumulative effect can be significant over time.
4. LIVE ACCORDING TO YOUR MEANS AND AVOID THE COMPARISON TRAP
Oftentimes, comparison steals joy. Prioritize living according to your means and resist the urge to compare yourself with others. When we purchased our first home, we ensured it was a house we could afford comfortably. It was a great first home, without many extras. We had to forgo some luxuries initially, but I am grateful it did not make us financially stressed. We made a conscious choice to live within our means, irrespective of others’ opinions. We even made minor enhancements to the house, decorated it, and created precious memories within its walls.
It’s important to match your financial capacity with your expectations. Overspending breeds financial distress and dissatisfaction. By designing and abiding by a budget, prioritizing essential expenses, and leaving space for leisure, peace of mind follows. If comparison is a struggle, note that everyone is on a different journey and comparing is futile.
5. RECOGNIZE YOUR PROGRESS
Lastly, appreciate the journey. Don’t dwell on what you lack; celebrate your achievements such as clearing a debt or reaching a savings milestone. Also, acknowledge how far you’ve come. After reaching a financial milestone, don’t rush onto the next big thing; pause and celebrate your progress.
To summarize, contentment with your finances is achievable with the right attitude and empathy for your situation. Ensure to set achievable objectives, select a suitable budgeting technique tailored to your needs, and cultivate gratitude for your current situation. These suggestions can assist you in managing financial pressures and leading a cheerful, satisfying life. Assume control of your finances and strive for contentment, irrespective of how challenging or financially strained times may become.
(Resource: SmartAsset.com)
