We live in a time where finance is not only a subject for business students but a skill each one of us needs. The goal is to avoid the rat race, which can leave you living from hand to mouth. Regardless of how much you earn, if you practice these personal finance tips you could end up making some major changes in your life and becoming more self-aware, which is a step closer to good decision-making and better financial habits.
You probably have come across quotes and witty words that give you a sense of awakening, leaving you to search for who is behind them. Adopting a mantra will help you have a rule you can fall back on, in times of temptation and when you want to remain steadfast on what you need to spend. This is for thrift shoppers, Ngara, Toi and Gikomba market enthusiasts. “If you can’t see yourself wearing it with more than five outfits and to more than five places, don’t bother.” This is mine. What’s yours?
Set short-term financial goals
The further away a goal seems, the more we tend to give up. After you establish that ultimate goal, have short-term goals/objectives, that will get you quicker results as you work to build upon your dream. 6 Financial Goals That You Should Work Towards
The art of gratitude
Learn to savour what you have now rather than miss out on the present as you try to acquire more. Have you noticed how money is never enough? Before my friends and I had a salary, we used to think of how ahead in life we would be if we earned an income. We saw ourselves accomplishing our goals and even saving for the future. I cannot elaborate further on what happened.
The thing about money is that it prompts status. If you were earning 100,000 Ksh and you suddenly start earning 500,000 Ksh, you will tend to adjust your lifestyle to your new salary. Therefore reward yourself and be grateful for what you can afford this moment and now.
“Gratitude encourages patience—and, thus, a more forward-focused outlook when it comes to your money.” Forbes.
After a few months of budgeting and keeping track of your expenditures, you become conscious of the adjustment you might need to make in your finances. This can work in your favour, especially if you are negotiating for your salary in a new company or you just need a raise. Working for less than you spend is a recipe for living beyond your means. This will only lead you to debts and you might not be conscious of the cause, due to lack of knowledge on personal finance and balancing.
I am a writer with interest in hair, beauty and fashion. I also like telling stories, but most of all I enjoy listening and reading them. If I'm not doing any of the above, I will be trying to crack a game of chess or monopoly. My biggest fear is being ordinary.