Blair Bedford, Author at Clever Girl Finance Empowering women to achieve financial success. Fri, 21 Jun 2024 17:23:05 +0000 en-US hourly 1 https://www.clevergirlfinance.com/wp-content/uploads/2018/09/cropped-Favicon-06-12-400x400.png Blair Bedford, Author at Clever Girl Finance 32 32 How To Manage A Financial Windfall In 10 Steps https://www.clevergirlfinance.com/what-to-do-with-a-financial-windfall/ https://www.clevergirlfinance.com/what-to-do-with-a-financial-windfall/#respond Mon, 22 Jan 2024 15:46:07 +0000 https://www.clevergirlfinance.com/?p=63979 […]

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Receiving a sudden financial windfall can come with many mixed emotions. It’s exciting and overwhelming all at the same time! When handled with care and used wisely, receiving a large sum of money provides a great opportunity to improve your financial situation.

Financial Windfall


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Windfall money might materialize in the form of gifts, bonuses, settlements, inheritances, lottery winnings, property sales, etc. No matter the source of funds, getting any kind of financial windfall can immediately send your mind reeling with possibilities.

So, what would you do if you received a large lump sum of money? Would you save it, invest it, or treat yourself to a handful of nice things?

In this article, we’ll be looking at ten windfall finance tips to help you make the most of that extra cash. And use it to benefit your future!

What is a financial windfall?

Well, a windfall is usually like a surprise gift from the financial universe—it’s a sudden and unexpected influx of money. 

This money might not always be a complete shock. However, it is generally a fairly large sum of money that doesn’t come to you in a traditional way.

The best way to understand is to look at some examples.

Examples of financial windfalls

Here are a few of the diverse ways windfall money might come into the picture:

  • Generous gifts from people in your life.
  • Inheritances from family members who pass on.
  • Extra bonuses at work that weren’t already factored into your total compensation.
  • Winning the lottery/contests/sweepstakes (we all wish, right?)
  • Settlements from legal proceedings.
  • Tax refunds that are more than you expected.
  • Successful investments that gained value suddenly/rapidly.
  • Profits from selling something valuable, like an heirloom or piece of land. 
  • Finding money you didn’t realize you had—make a habit of checking unclaimed property websites for states you’ve lived or worked in!

Even winning a small amount in a contest could be considered a financial windfall. 

However they enter your life, these unexpected surges of money can be both thrilling and a little stressful. The key to success is to approach them with a clear plan.

10 steps to manage a financial windfall

A situation like this might feel like a stroke of luck—and it is! But many people follow the impulse to use their money for short-term enjoyment, then end up with nothing to show for it later. You don’t want to be in the same boat! 

Handling a windfall wisely is crucial to ensure lasting benefits for your financial future. These 10 steps can help you handle your windfall finance planning with a future-focused mindset.

1. Don’t make any sudden decisions

Before doing anything with your financial windfall, pause! Take some time to think.

Put the money into different types of bank accounts like savings or a money market account, and refrain from touching it during this waiting period. You are more likely to make better decisions about the money if you don’t immediately start spending.

When you receive a good amount of money, there’s often a tendency to purchase or do things that you wouldn’t normally be able to do.

However, in many situations, rushing causes rash decisions. It is wise to take several weeks, or even a few months, to think about your options before making plans for the money. Waiting will help you be more rational and more intentional.

2. Consult with professionals for your windfall finance planning

During the waiting period, consult with a certified financial planner, a financial advisor, and/or a CPA to determine what to do concerning taxes. A large amount of money usually comes with tax implications and/or fees that need to be figured out before you make too many plans for the windfall.

After working through the tax portion, seek advice from your financial advisor or planner to come up with a good plan of action for the rest of the money.

Using your financial goals as a guide, work with a professional to establish (or update) your financial plan. They will be able to provide advice about the best ways to use the financial windfall to achieve your goals. That might include assessing your risk tolerance, helping you build an investment strategy, or figuring out how to save money for short-term objectives.

They can also help you determine which accounts are best to hold any savings that you don’t want to put into investments. 

3. Update or create your estate plan

If you don’t already have an estate plan, now would be a great time to create one. After receiving a significant amount of cash, your net worth and financial circumstances change. It’s a major life event.

You should update or create an estate plan to reflect the change. Consult with an estate attorney to make decisions about how your loved ones will be taken care of. Also, determine how your money and other assets will be distributed in the case of an unfortunate event.

4. Save some windfall money for emergencies

Set aside some of the money to start or build up your emergency fund. It’s a good idea to have at least 3 to 6 months of living expenses saved. Depending on the amount, receiving a financial windfall can help you fully fund your emergency fund.

Be proactive and save for those “just in case” moments when you may need access to cash quickly. You never know when you may need to tap into your short-term emergency savings, if you need to live without a job for a while, for a medical expense, or for another emergency.

5. Pay down or pay off high-interest debt

Paying off high-interest debt, such as paying off credit card debt, will save you a lot of money over time. Interest rates and fees can be very high on consumer debt. Throwing a big lump sum of money at those debts can be a game-changer! 

If the amount isn’t large enough to pay off all of your debt, paying down your balances is still progress. Not only will you save money fast by paying less interest, but you will also reduce the amount of time it takes to repay your creditors.

Paying off or paying down debt helps your regular monthly cash flow as well. It frees up income that you would normally allocate to debt repayment and allows you to use that cash elsewhere or invest it.

So, if you decide to use part of your money towards your debt, be sure to craft a debt reduction strategy for it!

6. Save for a large expense or upcoming goal

If you have a large expense coming up soon, you can use part of your financial windfall to jumpstart your savings for that expense. Or maybe there’s something that you want to purchase in the future that has a hefty price tag.

Acquiring a big amount of money can provide cash to set aside for that as well. Perhaps you are someone who desires homeownership. This would be a great opportunity to get your down payment and closing fees squared away.

Or, if you already own a home, you could put the money towards your mortgage. For those with high-interest rates on their mortgage, it can be smart to pay your loan balance down faster.

7. Invest your money

Take advantage of increases in value and compounding interest by investing to have money stashed away for the future. Get help from your certified financial planner with creating an investment strategy and setting up your investment accounts, such as index funds. 

Whether you want to invest for retirement, income, or growth, they can assist you in creating an investing plan that fits your goals and needs. Dollar-cost averaging is one simple way to make sure you’re diversifying your purchases across the highs and lows of the market.

Of course, investing doesn’t have to mean the stock market alone. You can also invest in a way that provides passive income to you now through an avenue like passive real estate investing or other income-producing assets. 

No matter your goals, please consult with a pro to determine the best way to approach investing for your particular situation. (Check out our article on what to do with 50k for ideas!)

8. Use your money to invest in yourself

Your cash can also be used as an opportunity to invest in yourself. You may want to invest in your education. Using your money could give you a chance to further your studies or make a career transition. 

Or maybe you have a unique side hustle that you’ve been working on. A large amount of money may be what you need to take it to the next level. 

If you have a viable idea for a business but haven’t had the capital to make it happen, maybe consider using a portion of the windfall to invest in yourself and your endeavors.

9. Do something nice for yourself

Many of the points that we have touched on so far aren’t inherently fun or exciting. There are a lot of “business” types of decisions that you’ll have to make, but don’t forget to treat yourself a little bit.

Set aside a small portion of the money to do something nice for yourself. Purchase something that you’ve had your eye on.

Take a nice family vacation. Take the opportunity to do something fun and exciting that you have been waiting to do or that you otherwise wouldn’t have had the chance to do. While a windfall is a great opportunity to make some financial strides, it also provides the chance to live a little.

10. Donate to a cause you’re passionate about

Help out others and donate to those who are less fortunate. Not only will you be doing a good deed for your community, but this may also lower your tax liability. Be sure to discuss this with your financial planner or financial advisor for specific guidance.

Pick a foundation or organization that you believe in and are passionate about, and bless them with a donation. They will be grateful for your contribution. And you will feel good about using your blessing to help those who are less fortunate.

Expert tip: Keep living your life normally

This little psychological tip can make it easier to handle a sudden influx of money: act like you don’t even have it! An attitude like this will help you avoid lifestyle inflation, aka “lifestyle creep.” 

Continue budgeting and spending just like you did before the financial windfall. Resist the temptation to immediately upgrade your living standards with the newfound funds. 

With this approach, you’ll be able to stay grounded and not get swept up in various short-term impulses and desires. Make your windfall finance plan, stick to it, and then put it out of your head.

Factoring in taxes

Before any visions of spending dance in your head, it’s crucial to consider the tax implications. 

Different types of windfalls may have different tax treatments. Inheritances, for instance, are generally tax-free, but windfall money from a lottery win or a bonus is typically taxable. 

Discussing with a tax professional can help you understand your obligations and plan accordingly. The last thing you want is to earmark all the money for other purposes, then get hit with a huge tax bill and scramble at the end of the year!

How do you deal with sudden financial windfall?

Handling a sudden financial windfall requires a thoughtful and strategic approach. Start by resisting the urge to make impulsive decisions. Give yourself a cool-down period to process your feelings before you take action.

While you wait, take the time to assess your financial goals and find examples of financial goals, whether it’s paying off debt, saving for the future, or investing. Make a list of priorities balanced between your wants, needs, and goals.

Another idea is consulting with a financial advisor to create a comprehensive plan tailored to your individual circumstances.

What should you do with a $1,000 windfall?

A $1,000 windfall is a great opportunity to establish or boost your emergency fund. Having a solid financial cushion can provide a sense of security and prevent you from going into debt in case of unexpected expenses. 

Alternatively, consider using it to pay off high-interest debt to save on interest payments and improve your overall financial health.

If you want to treat yourself a little, take $50 to $100 for lunch or dinner at a restaurant you like!

What should you do with a $5,000 windfall?

If you find yourself with a $5,000 financial windfall, you have more room to make impactful financial moves. 

Consider splitting the amount between debt repayment, savings, and investing. Tackling high-interest debt first can free up future income, while allocating a portion to an investment account can help your money grow over time.

If you want to take 5 to 10% of this amount for the “treat yourself” fund, that gives you $250 to $500 to play with. The windfall money could turn into a fun weekend away or a purchase of a bigger item that’s been on your wishlist.

What should you do with a $10,000 or more windfall?

A windfall of $10,000 or more opens up significant opportunities. Consider diversifying your investments and exploring a mix of stocks, bonds, and real estate. Paying off (or paying down) any substantial debts, such as student loans or a home mortgage, can also be a wise move. 

If your windfall is on the larger side, you could earmark a portion of it for a dream vacation, a newer car, or other pricier short-term goals. But be careful!

Decide how much you want to spend for personal enjoyment, prioritize your wants, and stay disciplined so you don’t exceed that amount. Otherwise, your money can have a way of disappearing quickly.

It may also be a chance to invest in your future dreams. Look into further education or business opportunities so you can turn that money into long-term financial stability.

If you found this article about being smart with your money and any financial windfalls helpful, check out these other posts next!

Manage your large sum of money smartly!

Depending on the size of the windfall, doing a combination of the things listed above may be the best way to make the most of the situation.

However, no matter what, please remember to pause and take some time for your excitement and other feelings to level out.

It is exciting to acquire a financial windfall. It is exciting to think about all of the things that you will be able to do with that lump sum of money and how it will help you improve your financial situation. But without careful thought and consideration, it is also very easy to misuse the money and later regret it as a bad financial decision.

So if you receive a windfall, consult with financial professionals, be intentional, make progress towards your goals, and don’t forget to have a little bit of fun along the way!

Learn how to grow your money even more with our completely free “How investing works” bundle! For more great money tips, tune in to the Clever Girls Know podcast and YouTube channel!

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]]> https://www.clevergirlfinance.com/what-to-do-with-a-financial-windfall/feed/ 0 26 Things To Do Instead Of Watching TV! https://www.clevergirlfinance.com/things-to-do-instead-of-watching-tv/ https://www.clevergirlfinance.com/things-to-do-instead-of-watching-tv/#respond Tue, 03 Oct 2023 14:08:11 +0000 https://www.clevergirlfinance.com/?p=59566 […]

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Have you ever wondered about what to do instead of watching TV?  When the working day is over, you may find yourself reaching for the remote control. Television consumption usually doesn’t require much cognitive effort and it’s a way of shutting down while trying to relax. Keep reading to learn more!

Things to do instead of watching tv!


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While there’s nothing wrong with kicking back and catching up on your favorite shows, too much of anything is unhealthy. When you’re working towards your goals or looking to achieve overall wellness, watching television may not be the best use of your time. 

If you feel like you don’t have enough hours in the day, there’s a simple way to find more. Cutting back on your television time will open up new space in your calendar. In this article, we will talk about what to do instead of watching TV but first let’s discuss over-consuming TV and your mind!

Revealed: What over-consuming TV does to your brain

We all love a good TV show but you may have also heard the saying: “Watching too much TV rots your brain”. But, is it really true? 

There’s a body of research that reveals how this so-called relaxing habit could be impacting your mind. According to Scientific American, over-consuming television can be linked to antisocial behavior, a new structure in your brain, and even lower verbal IQ.  

To break that down, watching hours of TV could hinder your brain and your verbal skills. Luckily, there is an answer. You don’t have to cut out the television completely. However, finding things to do instead of watching TV will give you more options. 

As you will see in the following section, there are loads of fun and productive things you could be doing rather than binge watching shows. You can use the below ideas as inspiration if you always feel tempted to reach for the TV remote!

26 Fun and productive ideas of what to do instead of watching TV

Rather than spending your free time in front of the television, be more intentional with your time to make the most of it. Here are 26 productive things to do instead of watching TV:

1. Journal

Take some time to journal and get your thoughts and ideas out onto paper. Journaling helps to clear your mind and may even bring about new ideas and goals.

It is also a great way to decompress. If you need some inspiration, check out these 60 journal prompts for self-discovery.

2. Read a book

Whether you’re reading something educational or getting lost in a novel, reading is a great alternative to watching television. Reading non-fiction gives you the opportunity to learn or improve upon something. Your relaxation levels will go through the roof. 

Reading fiction opens up your imagination and provides a deeper, less superficial form of entertainment. So read a good book during your free time.

3. Go for a walk

Being out in nature is beneficial for your physical and mental health. You’ll get the benefits of movement and exercise while also giving yourself time to think without too much external stimulation.

You may even discover things that you may not have noticed or paid attention to in your neighborhood.

And if you’re up for it, a hike is a fun idea for weekends or after work in the summertime. The fresh air and exercise will keep you from wondering what to do instead of watching TV.

4. Go for a drive

Maybe there’s an area in your city that you’ve been longing to explore. Get out of the house and drive around for a while. 

Go somewhere that’s new to you and familiarize yourself with the area. You may uncover some hidden gems and find some other things to do instead of watching hours of TV.

5. Spend time with your friends

Host a dinner party or game night to spend some quality time with your best friends. You could even go and get manicures and pedicures at a local salon. Enjoy some time being social and conversing with others.

Being isolated can be overwhelming, and seeing and spending time with your friends can be a better alternative to watching movies alone.

6. Complete projects around your house

There may be some home improvement projects, either big or small, that you have started or want to start. If you’re wondering what to do instead of watching hours of TV, get to work on those projects.

You may have put them off due to a lack of energy or time. Make some time to complete them by cutting back on your TV time.

7. Deep clean and organize your home

When looking forWhen looking for things to do instead of watching TV, organizing and decluttering is a great task to take on. Spending time cleaning & organizing will reveal things that you no longer want or use.

You can then donate or sell those items at a garage sale or online to free up space in your home. You may even find things that you do need or want that were misplaced in the clutter.

You can even take the time to organize your closet and who knows, you might discover new outfit ideas you didn’t consider before.

8. Listen to music

Pull up your favorite albums or playlists and listen to the music that you love. Some of this music may be tied to memories that spark and inspire conversations.

Listen to music from certain eras of your life, and allow it to inspire thoughts and feelings from that point in time.

Take some time to belt out and dance to your favorite tunes. The music may also make you feel productive and help you get other things done.

9. Learn something new

When it comes to achieving your goals, increasing your knowledge or learning a new skill may be a big part of the necessary work.

Maybe there’s something that you’ve always wanted to learn but you’ve never had the time to do it. Like learning to play an instrument, learning how to cook, or finding out how to invest, and be better with your money. 

Putting some time into your education is one of the most useful things to do instead of watching TV. Discovering something new not only increases your knowledge and skills but also gives you the opportunity to experience new things.

Instead of watching tv 1

10. Practice meditation

Turn inward and bring your awareness to the present moment via meditation. Meditation will relax your mind and can clear your brain of racing thoughts.

It also improves your mental health and self-awareness which can help you be more productive and work towards achieving your goals. If you’re looking for a way to combine relaxation with a productive activity, this is the way to go. 

11. Improve your finances

Instead of watching TV, spend some time working on tasks that will improve your finances. Set financial goals or make a written plan to meet the goals that are already in place.

Take a few moments to create or update your budget so that you’ll have more control of your money and where it’s going.

Use this time to improve your knowledge of personal finance. You can research and read about financial management, budgeting, investing, etc. with your time not spent watching television.

12. Make more money

One of the most beneficial things to do instead of watching TV is to make more money. If you have a side hustle, put some work in to bring in more extra cash. If you don’t already have a side hustle, take this opportunity to start one.

There are several different ways to bring in extra income such as blogging, starting a business, passive income streams, selling on Amazon or Etsy, and joining the gig economy. Cut back on the hours of TV to do something that will bring in extra money.

13. Volunteer your time

Take some time away from the TV to volunteer and make a difference. Find a cause that you’re passionate about and volunteer to help out.

Volunteering is also a great way to socialize and meet new people while doing your part!

14. Rest and relax

We spend a lot of our day mentally stimulated in one way or another. How often do you get some time to relax and just be without any sort of stimulation?

Resting is one of the most productive things to do instead of watching TV. Yes, rest is productive.

Your mind and body aren’t meant to always fire on all cylinders, so resting is a cheat code to help you be more productive. Instead of watching TV, just relax and do nothing for a little while.

15. Get more sleep

Cut back on TV in favor of getting more sleep. If you’re watching a show or movie late at night while the day is winding down, you’re cutting into the time that you have to sleep. Turn off the TV and get some rest instead.

Watching TV whenWatching TV when you’re about to go to sleep increases external stimulation and you may get caught up and continue watching even if you told yourself that you would only watch an episode or two.

Limit yourself to how much TV you watch before bed, and set a time when you turn off the TV and go to sleep.

16. Find new hobbies

If you find that you’re spending your time watching too much television, it’s a great time to find a new hobby. Take up rock climbing, write poetry, try a craft like learning how to knit, or do any other fun things you can think of.

And even better, get a friend or two to start a new hobby with you. That way you can be social and try a new hobby at the same time.

If you’re not sure where to start with this one, take a look at Pinterest and see what catches your eye. You might be surprised by what you find there.

17. Listen to some podcasts

Trading Netflix for podcasts is a great idea! You can laugh and be entertained, or find out more about a subject you care about.

So next time you’re tempted to reach for the remote, grab your headphones and tune in to a podcast instead. You can binge a podcast series and learn something new at the same time.

18. Take a class

When you’re wondering what to do instead of watching TV, you can try out a class for a subject that you find interesting. Whether that’s painting, writing a book or freelancing, or playing piano, you’ll gain a new skill.

And taking a class, either online or in person, can introduce you to a whole new network of people. You may find people to cheer you on in your career, finances, and life.

Instead of watching tv

19. Cook or bake something

Try out a new recipe or two instead of watching television. Go shopping, or see what you have in the fridge or pantry and work with that.

It’ll get you off the couch and instead, you’ve discovered a fun way to spend an hour or two. And who knows? Maybe you have a hidden cooking talent you didn’t even know about. You can even start creating meal plans to save yourself some more money.

20. Work out

A workout at the gym or at home is the perfect thing to add to your evening routine. You might take up running, tennis, a yoga class, or other fitness activity.

The point is to get moving and find a good alternative to TV. As a bonus, you’ll likely feel better and be healthier.

21. Start a garden

Spend time outdoors in the fresh air by starting a garden. If you have a lot of space, you might try growing tomatoes and other plants that take up a lot of room.

But even if you don’t have a yard, you can still create a small herb garden in a window box or even indoors. You can make watering and care for your garden part of your daily routine instead of TV.

22. Go to a local event

Find out what’s happening in your city and go check out an event. A concert, restaurant opening, or some other fun activity is a great way to get out of the house and do something interesting.

Invite friends or family to join you to make it even more fun.

To find out what to do instead of watching TV, check out the interesting places in your town or city.

Visit an art gallery, or try out a museum for a fun and educational experience. Or you can always visit the library and check out some books.

24. Take a bike ride

A bike ride is a fantastic way to get some exercise and explore your town. You can even take some friends or family with you and make it an adventure by bringing along a picnic.

You can start out with an easy path, or if you’re an expert bike rider, challenge yourself with a more difficult trail instead.

25. Spend time with a pet

Instead of sitting around, take your dog out in the backyard for a game of frisbee, or teach your pet a new trick. Not only do you get to spend quality time with your pet, but pets also lower your stress levels.

26. Start a photography project 

Photography is a great hobby that could also make you some serious money. If you’re a creative person, it may be worth looking into this side project. You can start taking pictures of the environment around you, go on nature walks, or even create some portraits. 

Get started by looking into photography courses, investing in some equipment, and learning as you go. You might find that you have a natural knack for taking epic photos. 

Expert tip: Start monitoring how much TV you watch 

Chances are, you have a few TV shows you enjoy watching. You don’t have to cut them out completely. Start tracking how much time you spend watching tv and then aim to cut back by a few minutes (or hours) each time.
 
Based on your assessment, you may find that it’s helpful to only watch one hour per night (or every two nights!). You could spread a TV series over a few weeks, rather than binge watching it. Being aware of how much TV you tend to watch will help you to dedicate less time to it.

Another option is to use “rules” to determine when you watch TV. For example, you can choose to avoid watching it after 9 PM. Or you can watch shows once a week on a Friday. Whatever you choose to do instead of watching TV, can be a positive move.

How do I stop myself from watching TV?

If you are trying to stop yourself from watching TV, self-discipline is the answer. Watching TV can be addictive. So start by working out how long you spend watching TV first.

When you know that, it can help you to curb your screen-time. Next, create a list of things you can do instead of watching TV. Try a few of them for yourself the next time you are tempted to start watching a show. 

Are there other activities that are healthier than watching television?

Yes! There are certainly several other activities that are healthier than watching television. For example, you can join a gym or a sports team. Physical exercise not only supports your body but it helps to boost your brain power.

If you’re not into physical fitness, you can to take up another type of hobby. Reading can help to broaden your vocabulary, for example. Gardening can also give you a chance to spend time in the fresh air. Consider what interests you have — other than watching TV — and start exploring them now. 

What happens when you quit watching TV?

When you quit watching television, you will find that you have more time than ever. The average American spends 294 minutes per day watching TV. Think about what you could do with that time.

If you’re not sure where to start, consider things like meditating, volunteering your time, reading or listening to books, working out, or even decluttering your life and home. 

How do I stop watching TV and start reading?

If you want to stop watching TV and start reading more, focus on making reading a habit. The good news is that reading books can be a great habit to build!

Let’s say that you tend to watch TV each evening. You finish your dinner and then turn on the television. Well, rather than turning on the TV, pick up a book. Start by trying to read for five minutes. You can set a timer to help you along the way.

Chances are, when the alarm goes off, you ill be absorbed in the story and want to carry on reading!

If you’ve enjoyed this article on what to do instead of watching TV, check out this related content!

Leverage this great list of what to do instead of watching TV!

There’s nothing wrong with enjoying TV, but too much of it has proved to have some unhealthy consequences and can be detrimental to achieving your goals.

Over consuming TV can cause you to be antisocial, unproductive, and anxious, among other things. So rather than spending several hours in front of the TV each day, think of better ways to spend and maximize your time.

You don’t have to cut out watching TV completely, just cut back a bit and use that time to do other things that contribute to your productivity, your goals, and your overall quality of life.

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Signs your boss wants you to stay

When you want to quit your job, every day feels like a Monday. You drag yourself from meeting to meeting while fighting through boredom, trying to get through each day. Even though you may be ready to quit, signs your boss wants you to stay are probably there, especially if you are a great employee.

If you are considering quitting your job, you are not alone. According to CNN, over 47.4 million Americans voluntarily quit their jobs during what is now deemed “The Great Resignation.”

Employees now more than ever are feeling the urge to quit their jobs in search of better opportunities, to stay remote, fit their new lifestyle, or make a career change.

Although employers are now offering more incentives to stay, employees are taking their career paths into their own hands with new opportunities to freelance, jobs that are more flexible, and turning their side hustles into full-time careers.

If you see signs your boss wants you to keep working for the company, but you are considering quitting, assess what your motivation is and what your next steps are, either at your current job or in preparing for a new one.

How to know it’s time to quit your job despite the signs your boss wants you to stay

Quitting your job is a major career decision. Questioning your career path is one telltale sign that it might be time to quit your job and consider a new career.

In recent years, over 50% of Americans considered making a career change, according to the career website Zippia. Here are a few signs it may be time to quit your job, despite the signs your boss wants you to stay!

You want to find a career you love

If you found a new career you’re interested in or are looking to start your own business, it may be time to consider whether your current job is still right for you.

You spend a lot of time at work and there is nothing wrong with wanting to find a job you actually love. Not liking your job or career field is an obvious sign it's time for something new.

You are working long hours and don't get paid enough

Many employees face the same battle with their companies, from burnout to a lack of promotional opportunities.

These are external signs that it may be time to quit your job, even though there are signs your boss would prefer that you stay.

Feeling overworked and underpaid are some of the biggest factors when considering quitting a job. Have your workdays gotten longer?

Are you taking on more responsibility with no increase in pay or promotion in sight? Consider if it’s time to maybe quit.

You have a toxic boss

Half the battle of working is the people you work with and for. If your management is difficult to work with and learn from, it may be time to consider quitting your job and moving on. Working with difficult managers and coworkers can make each workday unbearable.

You deserve to wake up and love going to work. Who you work for is a big part of that motivation. If you aren’t receiving the support you need professionally, consider searching for a new job that can provide that.

Your work-life balance continues to decline

Work-life balance is very important, and everyone deserves to have a separation between their work life and their personal life.

But perhaps your habits have become more and more work-focused, even when you're off work, like checking emails before you're at the office or taking work phone calls on weekends.

If your work-life balance is declining due to more responsibilities from your manager and less time away from the office, it’s time to reconsider your career and where it fits into your life.

7 Apparent signs your boss wants you to stay

There's a little voice inside of you urging you to quit, but your boss wants you to stay. It might be difficult to decipher the signs.

Here are a few signs your supervisor wants you to stay even though you are considering quitting.

1. Your boss gives you more responsibilities

Your boss might be showing you signs that they want you to stay by trusting you with more work duties. Unfortunately, more work typically means easily feeling overworked, which could make you want to quit even more.

It is a common sign that your boss sees potential in you as an employee but doesn’t realize how more work impacts your well-being and work-life balance.

2. They offer incentives

If your boss is giving you incentives frequently it's another sign they appreciate you and want you to stay. But all the paid time off and free lunches won’t change your workload or make it easier to stay at your job.

If you’re being offered company incentives with no relief from a heavy workload, it may be time to consider a new job that will respect your work-life balance.

3. Your boss talks about your future at the company

Does your boss discuss your career aspirations and try to help you achieve them? Is there a clear path to where your current job is going?

Has your boss given you guidance as to how you’ll advance as an employee? It is one of the biggest signs your boss wants you to stay long-term.

However, your career future is no good without the proper guidance from your manager to get there. If you are receiving little to no guidance from your boss about career growth, it’s time to plan your own.

It's also time to look for something new if you don't want to stay at the company long-term, even if your boss does discuss your career future.

4. You’re offered more visibility

If your boss is raving about you to their colleagues this is another one of the most apparent signs your boss wants you to stay. You are finally getting to sit at the table and increase your visibility around the company.

However, if the opportunities to advance are not there to match your level of effort, that's a problem. Advancing as an employee in terms of experience, but not on paper is a sign your boss wants you to stay but isn’t valuing your contributions enough to pay you what you’re worth.

5. They ask what you think

Does your boss seek you out to ask your opinion on things? That means they value your input and see you as an asset to the company.

This is a huge sign they want you to stay. So, now you know why your boss is always leveraging your opinions and ideas on matters! But it may not be enough to keep you at the company if you don't see a future there.

6. You have a high level of independence

Another sign that your boss is happy with your work is if they give you autonomy. Are you free to make choices about how you do your work and make your own schedule? If your supervisor trusts you to get your job done and do it well, they probably want you to stick around.

However, if you dislike your job, even with having lots of freedom, you won't necessarily want to stay.

7. They offer you pay increases

Pay raises or a bonus are good indicators that your boss wants you to stick around. After all, they aren't likely to give someone more money if they don't believe they're making the company better. Making a higher income is a definite signal that your boss wants you to continue at your workplace.

But if that pay raise is coupled with very long hours or a career you don't enjoy, it may still be time to quit.

Leverage the signs your boss wants you to stay to your advantage!

Your boss is urging you to stay at your current job, even though you feel differently. Use the signs your boss wants you to stay to your advantage.

Discuss opportunities to enhance your skills

Open the lines of communication with your boss if they are showing you signs that they want you to stay. Touch base with your boss to discuss any opportunities to enhance your experience.

Take growth opportunities from your boss to lead you into your next job. If there are opportunities to take free courses at your company, attend conferences and receive more certifications or training, use these to your advantage.

Soak up and take advantage of as much knowledge as you can before deciding whether to stay or quit.

Negotiate incentives and benefits

Negotiate incentives that will encourage you to stay like shorter work hours or more paid time off. Bring tangible examples of how your contributions have helped the growth of the company. It shows your boss the value you bring to the table.

Use new job offers as leverage

If you are currently job hunting and interviewing for new roles, use new job offers as leverage with your current employer. You can use an offer from another company to negotiate a better position or more pay.

A job offer shows your boss that you are highly valuable in the job market. Use it as great leverage to get what you want.

Ask about cross-training or different roles

You might take the time to discuss other options with your boss. Perhaps you can see what resources are available to help you train for a different role or use different skills that are more in line with your career goals. It's possible that a shift like this will make you much happier at your company.

How to leave a job professionally

If there are signs your boss wants you to stay but you want to quit, it's okay to trust your gut and move on to something new. However, when you quit, there are some things to keep in mind for a smooth transition.

Give them time to find a replacement for your role

Don't walk into your boss's office and announce that you're quitting that day. This sort of behavior is sure to make emotions run high and make things challenging for your co-workers and supervisors. Instead, give at least two weeks' notice, and more if your role is one that will require longer to fill.

Be gracious

Even if you can't wait to quit your job, it's best to be respectful and polite. Remember that when you leave a job, people will remember your behavior. So be sure that you quit with professionalism.

Make sure you have another offer first

If possible, don't leave your current job without another job offer. It's probably best to wait until you have secured a new position somewhere else. Otherwise, you run the risk of not being able to pay your bills unless you have a large amount of savings.

Don't burn bridges

Unless your working environment is incredibly toxic, it's best to not burn any bridges when you leave. You never know if you might run into your colleagues or supervisors at another point in your career, or if you may need to work with them again. So be sure to be respectful and open to constructive feedback.

Make the best decision for your career even though there are signs your boss wants you to stay!

The decision to leave your job or stay is something that shouldn’t be taken lightly. Weigh the pros and cons of each outcome, regardless of the signs that your boss wants you to stay.

Your career path is in your hands; listen to yourself, pay attention to the signs of when it’s the right time, and make the best decision for you. And to be sure you're prepared, read more about career success and networking.

The post 5 Signs Your Boss Wants You To Stay: Leverage These Signs! appeared first on Clever Girl Finance.

]]> 19 Passive Income Ideas For Students https://www.clevergirlfinance.com/passive-income-ideas-for-students/ Wed, 16 Nov 2022 14:09:00 +0000 https://www.clevergirlfinance.com/?p=15609 […]

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Passive income ideas for students

Are you a student trying to figure out how to boost your income but don't have much time to do it? Then our list of passive income ideas for students is what you've been searching for! Beyond tuition, housing, and books/supplies, students incur many expenses that require a source of income.

Without a job, loans, or assistance from family, it can be difficult to stay afloat on a student’s budget, especially if you don't want to max out your credit card. It is also difficult to devote time and energy to a full or part-time job while managing a course load.

Passive income is a great way for students to manage their time and make money to support themselves. So, let's dive into what passive income is and what the best passive income ideas for students are!

What is passive income?

Passive income is income from a source that doesn’t require you to be an employee and, after a certain point, requires little to no continuous effort.

There could be some upfront work involved, but it is an opportunity to bring in income without trading in 8 hours of your day at a traditional job.

For example, rental properties are a type of passive income because they may require initial work and set-up but you continuously earn income from them afterward.

And unlike active income or a full-time job, creating passive income streams can bulk your bank account without taking up a ton of your time!

Why passive income for students is a good idea

Passive income is great for students because it frees up time to manage all of the other responsibilities on your plate and allows you to enjoy student life. It also helps cover expenses and prevents taking on more debt. While it will eventually require less effort, most passive income ideas for students require time or money upfront.

Once the ball is rolling, you can step back a bit and watch the earnings start to flow in. When one income stream brings in money consistently and you can spend less time on it, you can create another stream to continue to grow your income.

These passive income ideas for students provide an opportunity to allow your initial investment to cover your living expenses while you focus on making the best of your time as a student.

Passive income for students: 15 ideas

So, are you ready to start bringing in more cash and boost your income? Here are our favorite passive income ideas for students!

1. Affiliate marketing

If you have a platform and have built a following, you can promote a company’s products and receive income from each sale. When you promote the product(s) to your following and someone purchases using your unique link, you get paid a commission.

If you have a nice-sized following on social media, a blog, YouTube channel, podcast, etc., affiliate marketing can be one of the best passive income sources for students.

2. Rent out your car

Many students can get around campus easily without a car and don’t necessarily need to drive every day. If you have a car on campus that you don't use daily, you can bring in passive income by renting it out.

Listing your car to be rented is simple. It usually just involves inputting some information about your vehicle and uploading pictures. You can join sites such as Turo and Getaround to list your car rental for free.

3. Use your car to advertise

There may be several reasons why you aren’t able to or don’t feel comfortable renting out your car. In that instance, you can use your car to advertise.

Your car will be wrapped in, or display decals of, a company’s advertisement. The company essentially pays you to be a mobile billboard for them.

The pay will depend on your location and the number of miles driven. So if you do drive a lot, this may be a better option than renting your car. It’s an easy, low-risk way to make money during your normal commute, which is why it's one of the top passive income sources for students.

4. Rent your other belongings

Many people are looking to rent items and equipment short-term for projects or events. These could be things such as cameras and camera equipment, music equipment, bikes, tools, and other electronics and household items. You may own items and equipment that could be useful to others.

You can make money by renting them out. It's one of the simpler passive income ideas for students that have valuable equipment that isn’t used daily.

You can make money from things that you already own! List your stuff on sites such as fatllama.com.

And if you don't have much stuff you want to rent out but you have space, consider renting storage space to people that need it. They pay you in exchange for you storing their stuff, which works great if you have an attic, an extra room, or even just a lot of closet space.

5. Sell stock photos and videos

Selling photos is one of the easiest ways to earn passive income for students. Businesses and brands need images and videos for their websites, social media content, and other marketing materials.

They often turn to stock photo sites to obtain this imagery. If you're a good photographer who can take nice pictures and shoot nice videos, then you can sell them on stock photography websites.

You don’t have to be a professional to do so! All you need is some basic camera and editing skills.

Sign up to be a contributor for sites such as Shutterstock or Adobe Stock. Submit photos and/or videos and earn a commission when your images or videos are purchased.

6. Sell merchandise

Use your ideas and creativity to create and sell t-shirts, mugs, hats, phone cases, posters, or other types of merchandise. Instead of buying and storing your inventory, you can upload your designs to a print-on-demand site and let them handle all of the logistics.

After you create and upload your designs, all you have to do is promote your items. When items are purchased, the print-on-demand company takes care of the printing and shipping of the product.

They’ll even handle returns, making this a no-hassle and low-risk way to make passive income as a student. Check out sites like printify.com and zazzle.com.

7. Start a blog

Starting a blog will require a small financial investment, time, and consistency upfront. However once the ball is rolling, a blog has the potential to bring in income for years to come.

Once there’s an audience, there are many ways that a blog can provide passive income for students. You can use Google Adsense to bring in ad revenue or promote products and/or services to bring in affiliate income.

You could even sell your own products or services, such as an online course, to your audience down the line. Setting up your blog and creating good content will take time and consistency, but once you’ve grown your audience most of the income will be passive.

Passive income ideas for students Passive income ideas for students

8. Start a vlog

Vlogging can be a great passive income source for students. With some basic camera and editing skills, you can start by just turning on your camera (or using your phone!) to film your everyday life.

Vlogs are very popular on YouTube. You earn income once your audience and viewership reach a certain level.

Beyond making money from ads, you can also partner with brands for affiliate marketing and brand sponsorships. It will take some time and effort to grow your viewership, but similar to blogging, it will be easier to make money after you build your audience.

9. Rent textbooks

Once you are done with your textbooks, rent them to someone who needs them for the next semester. Instead of selling them for much less than you paid, rent your textbooks for several semesters to bring in more income.

Your fellow students will be looking for a less expensive option than purchasing books, and you will have a source of passive income. A win-win for both parties!

10. Use cashback or shopping rewards apps

There are many things that you have to purchase to take care of yourself and provide for your needs and wants. Why not earn some money while doing it? With cashback and rewards apps, you can get paid or receive rewards for your purchases.

To get credit, you just shop at your favorite stores through the app or upload a photo of your receipt(s). Check out apps such as Ibotta, Rakuten, and Dosh to earn cashback or rewards for your purchases. Cashback apps are excellent passive income sources for students.

11. Invest with a Robo investor

Robo investors take the guesswork out of building an investment portfolio. With a series of questions and preferences, the Robo investor makes suggestions for your portfolio and helps you grow your assets.

Several Robo investor apps have fairly low minimums, so this is a good passive income source for students who may not have a lot of money to invest.

It is also a good way for those who aren’t familiar with investing to get started. While there are many apps to choose from, Acorns rounds your purchases to the nearest dollar and invests the change. They also make it simple by managing your portfolio for you.

There are many different types of investing, including real estate investments, exchange-traded funds (ETFs), and mutual funds. When you invest, in addition to earning interest, you can also make money from stock dividends depending on what you invest in.

And if you aren't quite ready to invest, you can at the very least open a high yield savings account, so you make a bit of interest from your money. Or start small with bonds and certificates of deposit (CDs).

12. Try peer to peer lending

Peer-to-peer lending is risky but if done right can be great passive income for students. You can manage your risk by lending to borrowers with strong credit, but always be aware that there’s a risk that some borrowers won’t pay their loans back. While this doesn’t require much of a time commitment, it of course requires a financial investment.

Do your research and never put money into peer-to-peer lending if you aren’t prepared to take on some risk.

The returns that you receive will be based on the amount borrowed and the creditworthiness of the borrower. You will receive income by earning interest on the money that you lend.

13. Create and sell an ebook

Selling eBooks can be one of the best passive income sources for students. So, why not write an eBook or guide about something that you’re knowledgeable about and can teach others?

If you have some type of skill or knowledge that is in demand and valuable to others, you can create and sell it as a digital product.

Once your eBook or guide is ready, you can sell it to your audience on social media. You can promote and sell it using your website and/or email list. You can also list your eBook on Amazon to reach a wider audience and increase your sales and income.

14. Housesit

Housesitting is another great, and very simple, way to make passive income as a student. Although this is considered semi-passive it's still an excellent way to bring in cash.

It usually consists of taking care of a client’s home while they are away for a while on vacation or a work trip. Often you will need to stay overnight, make sure the house is safe, possibly do some light housekeeping, and take care of their pets.

It's a great opportunity for students because you will be able to complete your schoolwork while housesitting.

While you will be spending time away from your own home and taking time to complete your duties, it doesn’t involve a huge time commitment.

You will likely have plenty of time to work on any other work or projects while staying in your client’s home and getting paid to do so. If you need to know where to start, this list of best housesitting sites will help.

15. Sell your notes

Your notes could be beneficial to your classmates or others taking the same courses. You’re already taking notes for your own use, so selling them to others is a nice, painless source of passive income. Your notes can provide value to others, and they will be willing to pay for your help.

Beyond selling your notes on your own to your classmates, you can also sign up for a site like Study Soup. Study Soup provides the opportunity to become an elite notetaker and make up to $800 per course by selling your notes and study materials.

16. Rent out a room in your home

You may have a spare room in your apartment or house. If so, consider a roommate.

It can help you to make rental income each month from a tenant. Which is great passive income for students that are extremely busy. Especially if you need to make money for rent or mortgage payments!

You can also consider Airbnb if you have the room. Or if you don't mind renting out your whole house for a few days at a time.

Maybe you love real estate but aren't able to rent out your space. In this case, you could start investing in a real estate investment trust (REIT), and make money as they pay dividends.

17. Become a YouTube creator

There are lots of ways to earn with YouTube as part of your passive income strategy. You can stream video games if that's something you already like to do. It won't feel like work but you can make money.

Another idea is to make YouTube videos with music playlists. If you have the skills, this is one of the best side hustles! You can even do something like this long-term after you finish college, and continue to earn an income.

18. Make your own app

If you know a lot about technology and you have a great idea, creating an app is one way to make passive income for students.

You can bring in income from advertisers and in-app purchases. While it is an investment of time, it has the potential to bring in cash.

19. Start your own vending machine business

You may have some money saved to invest and want to improve your personal cash flow. If so, you can purchase a vending machine and make money passively.

You'll need to restock the machine, however. So there's a time investment as well as a monetary one, but not too much.

Who knows? Maybe you can even put your vending machine on your college campus. You'll save yourself even more time while making extra cash!

Try these passive income ideas for students!

When it comes to making passive income as a student, get creative with the resources that you already have. Whether it’s a skill, items that you own, or your audience, you can leverage what you already have to create passive income streams.

Unlike working a traditional full or part-time job, passive income is not limited by the number of hours that you work. Therefore, there is no limit to the amount of income that you can make.

Building at least one stream of passive income will put you in a great situation to make money while not sacrificing too much of the time that you need to focus on being a student. There is some work involved, but you won’t spend a large portion of your day completing it.

These passive income ideas for students allow you to make money consistently without doing a lot of work.

Some of your income streams will eventually get to a point where they will require less effort and will continue to pay you based on the time, consistency, or money that you invested upfront.

So, take some time to explore and build out some of these passive income streams. Look beyond the traditional, finite sources of income and invest in something that has the potential to pay you for years to come.

Also, be sure that you're creating a budget that works for you as a student, and continue to find ways to earn more money.

The post 19 Passive Income Ideas For Students appeared first on Clever Girl Finance.

]]> 20 Debt Free Quotes To Inspire You! https://www.clevergirlfinance.com/debt-free-quotes/ Mon, 20 Jun 2022 00:49:41 +0000 https://www.clevergirlfinance.com/?p=28467 […]

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Debt free quotes

The journey to becoming debt free has its ups and downs. Whether you’re budgeting for the first time to curb your spending or tackling credit card debt, paying down debt can get stressful. It’s normal to sometimes lack the motivation needed to achieve your financial goals. That's where these debt free quotes come in handy!

We could all use some inspiration at times, so read on for some great debt free quotes to get you through your journey of becoming debt free!

Why quotes about debt can be motivational

If you second guess yourself and your progress during your debt free journey, you’re not alone. The impacts of debt are almost as old as time! Quotes about paying debt have been around for years and are great motivators to keep you on track.

Debt free quotes are a great inspiration to start your journey

Want to live debt free, but can’t seem to find the inspiration to start getting rid of debt? These quotes about debt will inspire you to start heading towards becoming and staying debt free with tips and advice you can use every day.

Quotes about debt are simple affirmations to keep you inspired

Affirmations are great daily reminders to keep you inspired. As you pay off debt, use these quotes to give you the motivation to keep going.

Whether it’s finding the discipline to not use your credit card or the self-control to stick to your budget, these quotes will spark new energy in your journey.

Debt quotes remind us that becoming debt free is possible

There is a way to become debt free. Debt quotes remind us that lots of people have gone through the journey and many have succeeded. With quotes from famous actors, politicians, and more, becoming debt free is possible!

Quotes about debt to jump-start your journey 

Need the motivation to start your debt free journey? These eye-opening quotes about debt can help shift your mindset and kickstart the journey to becoming debt free. (Be sure to check out our favorite money slogans after this article for more motivation!)

1. “You must gain control over your money or the lack of it will forever control you.” - Dave Ramsey

This quote from popular financial guru Dave Ramsey is a great reminder of how important it is to control our finances. If we lack control of our money, it will eventually control the way we spend, putting us further into debt.

A great way to control your money is by establishing a budget. A budget helps you manage your spending to ensure you are tracking what comes in and what comes out after every paycheck. When you have a solid budget in place, you control how much you need to maintain your finances.

2. “If you buy things you don’t need, you will soon sell things you need.” - Warren Buffett

The Warren Buffet quote about debt is a great example of how frivolous spending can spiral out of control. Consider this quote when you are thinking of using your credit card to make a big purchase.

Everything you purchase using credit or a loan has a larger price that you will eventually have to pay back. Don’t sacrifice your future wealth and go further into debt for something you don’t need.

3. “Bad debt is sacrificing your future day needs for your present day desires.” - Suze Orman

When kickstarting your debt free journey, it’s good to remember this great Suze Orman quote about debt. Going into debt and making impulsive purchases or emotional purchases puts future financial plans on hold.

Digging out of a mountain of debt spent on clothes, shoes and other purchases keeps you from a future free of debt.

Remind yourself how important your future goals are before going into debt further on something you may desire right now.

4. “Debt is the worst poverty.” - Thomas Fuller

No one likes to struggle financially or live from paycheck to paycheck. Debt can sometimes feel like poverty, spiraling out of control before you know it.

This Thomas Fuller debt quote reminds us how close debt can feel to poverty, robbing you of your hard-earned money until there is none left to enjoy. Let this quote be a jumpstart for your debt free journey!

Insightful quotes about paying debt 

These debt free quotes are universal tips anyone can use as advice to get out of debt. Try using the advice given in these quotes to help you achieve financial freedom.

5. “Never spend your money before you have earned it.’ - Thomas Jefferson

This quote from former American President Thomas Jefferson is a great lesson to only spend the money you have earned rather than go into debt.

Controlling your spending using a budget helps manage what you can spend based on what you make rather than using credit or other forms of debt.

6. “Pay off your debt first. Freedom from debt is worth more than any amount you can earn.” - Mark Cuban

Billionaire entrepreneur Mark Cuban said it best: being free of debt is worth more than any amount of money, so pay your debt off first.

This is an inspirational debt quote that teaches us that paying off debt lifts a weight off of your shoulders. Enjoying the freedom of being debt free is priceless, so be inspired to continue your journey using debt quotes like this.

7. “We say we value the legacy we leave the next generation and then saddle that generation with mountains of debt.” - Barack Obama

Former President Barack Obama made great strides over the course of his presidency. One of his major insights was about the debt crisis. Student loan debt in particular has crippled many Americans, and potentially still will for generations to come.

This quote about debt is inspiring and eye-opening, as many of us foresee generations of debt being passed down to us and our children. Let this quote inspire you to stop the generational curse of debt by aiming to be debt free.

8. “It’s not what you make but what you save that gets you out of debt.” - Suzanne Woods Fisher

Saving is an important part of the financial journey. When you save while also paying off debt, you have funds in case of emergency without sacrificing the progress you’ve made on your debt.

This Suzanne Woods Fisher quote teaches us to continue to save as much as we can while paying off debt to remain financially secure.

9. “Americanism: Using money you haven't earned to buy things you don't need to impress people you don't like." - Robert Quillen

Trying to keep up with your neighbors is a major problem, as Robert Quillen states in this quote. Spending money to keep up with the latest lifestyle trends, especially on social media, can drag you further into debt.

Be mindful of how the “influencer lifestyle” impacts your spending. Surround yourself with positive influences that will encourage you to spend more wisely and within your means.

Funny and entertaining debt quotes 

The journey to becoming debt free can be lighthearted and fun too. These funny sayings show us entertaining and comical ways to look at debt.

10. “I wasn’t worth a cent two years ago, and now I owe two millions of dollars.” - Mark Twain

This hilarious Mark Twain debt free quote shows just how debt can mount up quickly. This quote also shows how debt impacts your overall net worth. Owing more money than you have leaves you poor and can be a struggle to get out of.

Continue your journey to becoming debt free so that you’re worth more than your liabilities.

11. “Ok. don’t panic. Don’t panic. It’s only a VISA bill. It’s a piece of paper; a few numbers. I mean, just how scary can a few numbers be?” - Sophie Kinsella

An excerpt from the book Confessions of a Shopaholic by Sophie Kinsella makes for one hilarious debt quote. Although sarcastic, this quote illustrates how having a laid-back mindset about spending can cause debt to mount up very quickly.

Debt can add up over time if you aren’t focused on paying it off versus spending more. Take your debt journey seriously and avoid frivolous spending.

12. “The only man who sticks closer to you in adversity than a friend is a creditor.” – Unknown

Creditors will quickly become your best friend when you’re in need financially. Although tempting, be mindful of using credit when in a bind.

Avoid getting into debt further when you are struggling financially. Stick to your debt repayment plan and readjust your budget as needed to avoid using credit to stay afloat.

13. “If you think nobody cares if you’re alive, try missing a couple of car payments.” - Earl Wilson

This Earl Wilson debt free quote is just as true as it is entertaining. From student loans to credit cards to car loans, companies are motivated to make money from you when you’re in debt to them – and they will be very persistent about it.

Missing payments hurts your credit and will have creditors banging down your door. Make sure to stay on top of your debt repayment plans.

There are many methods of debt repayment, from the avalanche method to the snowball method. Avoid penalties and paying more in interest and fees by being self-disciplined and paying your bills on time.

14. “Debt is normal. Be weird.” - Dave Ramsey

One of Dave Ramsey’s most famous quotes is a hilarious take on how to view yourself when on your debt free journey. Debt can seem like the norm, with 8 out of 10 Americans in some form of debt.

Debt might be common, but it doesn’t have to be that way for you. Break the cycle and “be weird” by striving to become debt free.

Debt free quotes to keep you inspired 

The journey to becoming debt free can get difficult, especially when you must make sacrifices, like turning down dinner plans to save money or postponing a major purchase. These quotes about paying debt will inspire you to keep going when it gets tough.

15. “He who is quick to borrow, is slow to pay.” An old German proverb

Remember this quote when getting into debt. Getting into more debt can slow down your progress. Practice self-discipline and avoid spending and borrowing money to maintain your finances.

16. "Remember this: debt is a form of bondage. It is a financial termite." - Joseph B. Wirthlin

This Joseph B. Wirthlin debt quote is great to remember when the journey to becoming debt free gets difficult. Debt can keep you from financial freedom and eat away at your hard-earned money. Be inspired to live debt free so you can enjoy more of your money.

17. “If you’re thinking of debt, that’s what you’re going to attract.” - Bob Proctor

Getting and staying debt free is all about the right money mindset, and this Bob Proctor debt quote reminds us of that. Be mindful of focusing on spending money you don’t have.

Your mindset influences your focus. Attract wealth and become debt free by staying focused and keeping the big picture in mind.

18. “No man’s credit is as good as his money.” - John Dewey

This practical John Dewey debt free quote reminds us to prioritize money we have over using credit. Keep inspired during your debt free journey by only spending the money you do have.

Maintain your spending so you don’t have to use credit and pay off purchases in the long term. Your money will always be better than using credit.

19. “If you will live like no one else, later you can live like no one else.” - Dave Ramsey

Debt can keep you from living the life you want and deserve. This very popular saying from Dave Ramsey is the perfect debt free quote to keep you inspired.

When you limit your spending, stay focused on your goal to pay off debt, and sacrifice things you don’t need, you’ll be able to live a more financially secure and free life in the future. Stay focused on paying off debt so you can reap the rewards later!

20. “The most important investment you can make is in yourself.” - Warren Buffett

No investment is more important than the investment you make in yourself and your financial future. The journey to becoming debt free isn’t always easy, but the light at the end of the tunnel is a life where you can invest more into yourself and your family.

Remember this Warren Buffett quote during your debt free journey to inspire you to keep going so that you can start to focus on the important asset you have: yourself.

Debt free quotes can inspire you to continue your journey! 

There are plenty of debt free quotes that will inspire you to start your journey. Know that it is possible to live life debt free and have financial freedom.

Creating and sticking to a budget, having a debt repayment plan, and keeping positive reinforcements like these debt quotes are essential to staying motivated to become debt free!

In addition to these quotes about debt, check out our favorite funny money quotes!

Don't forget Clever Girl Finance is here to help you with your debt payoff journey through our completely free courses and informative articles.

The post 20 Debt Free Quotes To Inspire You! appeared first on Clever Girl Finance.

]]> How Work Bonuses Work And How To Spend Yours https://www.clevergirlfinance.com/work-bonus/ Tue, 24 May 2022 14:31:11 +0000 https://www.clevergirlfinance.com/?p=25568 […]

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Work Bonus

Many companies offer a variety of great benefits. This can include affordable medical benefits, stock options, workplace perks, and sometimes, occasional financial rewards like work bonuses. Getting compensated for your work is a great reminder of how hard you’ve worked for your company.

In the U.S., the typical work bonus is about 11% of the average exempt employee’s salary and 6.8% of a non-exempt employee’s salary. For many, that’s a generous amount of additional income that could really help achieve financial goals.

If you’re qualified for a bonus with your company, prepare to spend it wisely. Below are tips on how to spend your work bonuses wisely. But first, let's talk about what they are and how are bonuses calculated.

What are bonuses, and how are bonuses calculated?

So, what are bonuses? A work bonus is compensation from your employer outside of your income. This is based on individual or company performance over a certain amount of time. Work bonuses are a reward for achievements in the workplace.

This can also include overall company performance or as an incentive for a potential employee to accept a job offer.

With bonuses, workers are rewarded annually, quarterly or yearly by their company. How bonuses are calculated is up to the company, but typically adds up to a percentage of your base pay.

You pay tax on work bonuses

If you are qualified to receive a bonus at work, be mindful that this additional pay is taxed. According to U.S News & World Report, bonuses are taxed at a flat 22% of the total amount. Employers may also add your bonus to your paycheck.

Bonuses added to your paycheck are taxed based on your regular tax withholdings. You will also need to claim your work bonus as income during tax season.

Note: It's important to do your research to find out whether your bonus will increase the amount you owe during tax season. An accountant can help.

Common types of work bonuses

Receiving a bonus at work can come in many forms. Here are the most common types of work bonuses employees offer:

Annual bonus and quarterly bonus

An annual bonus or quarterly bonus rewards employees once a year or quarter. Employees receive a bonus based on their overall performance during a period of time. That performance is then assessed and a reward is given annually or quarterly.

Year-end bonuses

Year-end bonuses pay employees at the end of a calendar year. Like annual and quarterly bonuses, year-end bonuses are based on milestones created at the beginning of the year. Once those milestones are met, employees receive a bonus at the end of the year.

Holiday bonuses

Some employers give out work bonuses during the holiday season to show their gratitude. Holiday bonuses are for all employees, regardless of performance goals.

Holiday bonuses boost morale, reward hard work, and increases productivity going into the new year.

Profit-sharing bonuses

Profit-sharing bonuses are bonuses based on the success of the company. Employees earn a portion of the company's profit made during a period of time.

Profit-sharing bonuses motivate employees to boost the company’s earnings, then shared with all employees.

Commissions

Commissions are another common type of work bonus. Commission bonuses are based on very defined performance goals. This type of bonus is common in the sales industry.

Spot bonuses

Spot bonuses are given “on the spot" for achieving a certain goal. These types of bonuses encourage employees to work to receive additional income almost immediately. As a result, spot bonuses are typically less than annual, quarterly, or year-end bonuses.

Signing bonuses

Many companies offer signing and referral bonuses. These bonuses are based on recruiting and retaining new employees. If you are in the market for a new job, ask the company whether they offer a signing bonus.

A signing bonus encourages applicants to accept a job offer. Once a new hire is on board, employees receive a signing bonus after a certain period of time with the company. Try negotiating a signing bonus with a new company if they are looking to hire you.

Referral bonuses

Referral bonuses acknowledge employees who bring new talent into the company. Afterward, that employee receives a bonus for bringing in qualified talent.

6 Ways to spend your work bonus wisely

If you are qualified to receive a bonus, prepare in advance for the expected windfall. Plan to spend your work bonus wisely when it hits your bank account to help reach your financial goals.

1. Pay down debt

Whether you are receiving an annual bonus, a quarterly bonus, or a bonus for bringing in new talent, use it to pay down personal debt. It's a good idea to plan ways to pay down debt from credit cards and loans with your bonus.

If you are already working towards paying down debt, a work bonus can help speed up your progress. Find a debt repayment method that can help you achieve your goal of paying down debt.

As an example, one debt repayment method is the snowball method, where you pay the smallest amount first. In addition, another debt repayment method is the avalanche method, which focuses on debt with the highest interest rate.

In short, with an extra couple of dollars from your bonus, you can spearhead paying off your debt in full.

2. Save your work bonus

Costs of living expenses are currently putting a strain on everyone’s finances. That said, your work bonus could be just the extra cushion you need. Save your bonus for sudden emergencies.

Give your emergency savings a boost and save your work bonus for a rainy day. You can also save your extra funds toward a bigger financial goal as well.

Looking to purchase a home in the future, or finally buy your own car? Put your bonus away to help reach your future savings goals.

Find a savings account with a high-interest rate so that your money continues to grow. This will allow your money to accrue interest over time.

Be sure to do your research on the best savings accounts and their current interest rates to get the best bang for your buck.

3. Turn your work bonus into an investment

It's a good idea to continue to invest in yourself with your work bonus. Start or increase your contributions to a 401(K) or Roth IRA with the additional money from your bonus.

Contributing to an investment plan with your work bonus has its benefits. Your 401(K) contributions are tax-free. Additionally, it compounds interest over time, so you can watch your bonus grow. In turn, your work bonus will contribute to the growth of your overall portfolio.

Maxing out your investments also pays off during tax season. Investing your money into your 401(K) plan reduces your taxable income in time for next year's tax season.

So if you’re looking to start diversifying your portfolio using your work bonus, research different types of investments. For example, stocks, funds, bonds, and even cryptocurrency are all types of investments to look into.

4. Give your work bonus as a donation

You could also give back financially using the extra money you receive from your work bonus. For instance, you could donate your work bonus to a charity or organization that could use the extra financial assistance.

This would allow you to contribute to a meaningful cause with your unexpected windfall. Your contribution could help someone else in need. Be sure to use any sizable charitable donation you make as a deduction during tax season.

Don't forget to document your contribution to the charity or organization for tax purposes.

5. Contribute to a bigger investment plan for your family

Have big plans for your family's future? Use your annual bonus to invest in your family for a more secure financial future. For example, consider opening a college savings plan for your children to prepare them for a degree debt-free.

A 529b college savings account is a great way to set aside money for your children’s future education.

Consider saving your work bonus for upcoming major purchases too. For instance, save your bonus to put a down payment on a home for your family. You can never go wrong with putting aside extra funds to invest in your family’s future.

6. Start your own business or side hustle

Why not use your work bonus to make more money? Use your bonus to help start a new business or side hustle. Invest in yourself and get the tools you need to kickstart your own business.

Additionally, look for ways to enhance your skills. Use your work bonus for classes or trainings to propel your side hustle. Set aside your work bonus to prepare yourself for your next business venture!

Use your work bonus to achieve your financial goals!

Work bonuses can help speed up or achieve your financial goals and are a great perk at any company. However, bonuses are not promised in every company or job level.

If you are not sure you are qualified for a bonus at your job ask your manager about work bonuses. Be intentional about using any bonus you receive to propel your financial journey forward!

The post How Work Bonuses Work And How To Spend Yours appeared first on Clever Girl Finance.

]]> Keys To A Successful Marriage: The Money Edition! https://www.clevergirlfinance.com/keys-to-a-successful-marriage-the-money-edition/ Thu, 05 May 2022 12:20:17 +0000 https://www.clevergirlfinance.com/?p=23046 […]

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Keys for a successful marriage

The wedding bells have rung for you and your partner, and you are looking at the next steps of your lives together. Whether it’s purchasing your first home, starting a family, or traveling the world, you have now merged your lives. And this merge likely includes your finances too. But what are the keys to a successful marriage especially when it comes to money?

Well, it can be overwhelming to think about merging your finances. For example, merging bank accounts, combining incomes, and even debt. Although it can seem overwhelming, it's important to remember that your partner’s financial success is also your own.

So in this article, we'll discuss what makes a successful marriage but very importantly, what makes a financially successful marriage!

Why building a financially successful marriage is important

Building a financially successful marriage is very important. Money disagreements and financial infidelity are real and can threaten the success of your marriage.

Financial infidelity occurs when couples omit or lie to each other about their financial situation. It is extremely common in relationships and can stem from or lead to money disagreements.

In fact, according to a recent survey conducted by U.S News & World Report, as many as one in three couples deal with financial infidelity. That’s a staggering number of people who may be lying about their income, hiding personal debt from their partners, or borrowing money without their partner’s consent.

Keys to marriage success include financial honesty, faithfulness, and intimacy. So let's get into these tips in more detail!

6 Financial keys for a successful marriage

Every couple wants to have a successful marriage. And below are some keys to a successful marriage that will help your relationship thrive.

1. Openly communicate about finances and money management

One of the most important keys to a successful marriage is communication. It's important to communicate with your partner about your personal finances. You also want to give them a safe space to communicate with you too.

Make time in your marriage to have open discussions about money regularly. Important financial topics you should discuss include everything from personal debt, spending, managing your budget, as well as your long-term financial goals.

Being transparent about your financial situation is a great way to build financial intimacy with your partner. And financial intimacy is one of the most important things in marriage.

Here are a few essential questions to bring to the table when discussing money with your partner:

  • How do you plan to tackle each of your personal debts?
  • How will you manage your household budget? Does it need to be updated for your lifestyle and goals?
  • What are your long-term financial goals separately and together?
  • What is your plan to build joint emergency savings? 
  • Are there any lifestyle changes you need to make to achieve your joint financial goals?

2. Establish financial goals together

Short-term, mid-term, and long-term goals for your finances are great ways to track and measure your financial success. Establish financial goals you can achieve together to create generational wealth.

Your goals could be to become debt-free, save up to buy your first home, or retire early. Having clear financial goals will strengthen your bond.

Plus establishing financial goals together helps you keep each other motivated and focused on the greater good for your family. These things are important keys for a successful marriage.

3. Create a joint budget

With marriage comes the responsibility of planning your day-to-day finances. And this means creating joint budgets to make spending, paying bills, and tackling debt easier for you both.

A joint budget takes your income, personal debt, bills, and other expenses, and combines them. You'll need to decide together how you would like to budget. This could involve using a budgeting tool like a finance app or managing your budget using a spreadsheet.

It is incredibly important to have a budget so you can make sure you stay on track to achieve your joint goals. Most especially if one or both partners are spenders!

Here are a couple of things to keep in mind when creating a budget as a couple:

Choose the right budgeting method

One key to a successful marriage is budgeting together. First, decide which budgeting method works best for you and your spouse. There are various budgeting methods you can consider.

Here are a few popular ones to consider:

Zero-based budget

With a zero-based budget, your joint expenses, including discretionary spending, will never exceed your income. When using a zero-based budget, 100% of your income is accounted for. This helps decrease unnecessary spending and gives every dollar a job to do.

Reverse budgeting method

Another style of budgeting is reverse budgeting. Reverse budgeting focuses on your savings and investments first, then allocates the rest of your money to bills and expenses. This is an ideal budget method if you and your partner are saving for a major goal, like purchasing your first home.

70-20-10 budget

A popular percentage budgeting method is the 70-20-10 budget. In a 70-20-10 budget, your joint income is broken out into three categories: 70% for your bills and spending, 20% for savings and investments, and 10% for debt repayments.

There are many different types of budgets. But it's also essential to choose a method that is easy for your both to stick to.

Decide who will manage the expenses

When creating a budget together, decide who will be responsible for paying bills. This will ensure your bills are paid on time.

You can have a reoccurring discussion with your partner to go over your joint expenses and make sure your budget is up-to-date.

Every marriage and financial situation is different. So find a comfort level when combining your finances into a joint budget. It's all about creating a budget that works for your marriage.

4. Be transparent about your spending

Be transparent with your partner about your spending habits, and let them feel comfortable enough to communicate their habits with you as well.

Do you have a daily Starbucks habit, or find yourself using your credit card a little too much? Be transparent with your partner about how you are spending money before it becomes a problem in your marriage.

There should be no surprises about where your money is going. So open up to your partner about your spending to make sure you are spending wisely and within your budget. Honesty is the key to a successful marriage, especially when it comes to your joint finances!

5. Tackle debt together

When you are married, you share a lot more with your partner than just a home and a family. You also take on each other’s personal debt as well. So prioritize tackling your joint debt as a team to achieve a financially successful marriage.

Have a discussion with your partner about how much debt you both have, the types of debt, and how you can tackle it together. Next, come up with a plan to repay your combined debt.

There are a couple of debt repayment methods you can consider. You could decide to pay off your debt with the highest interest first or tackle your smallest debt first. Both are effective and so the decision is to decide on the approach that works best for you both.

6. Review and reassess your finances on a regular basis

Losing your job, vying for a promotion, or racking up credit card debt is never easy to discuss. But as discussed, it's important to be open and transparent with your partner. Doing so is key to a successful marriage.

You could plan a “family meeting” to reassess your finances frequently with your spouse. This reassessment should include any changes in your family budget and changes in your income or debt.

This will help you both stay on track with your financial goals. It will also allow you to make adjustments if your financial situation changes.

That said, you can make discussing your finances fun! For instance, have dessert or a yummy drink when you sit down to talk about your finances. This way, talking about money won't feel like a chore. Finding ways to make things enjoyable is part of what makes a successful marriage.

Ingredients to a successful marriage

Now that we've talked about the keys to a financially successful marriage let's discuss overall success in marriage.

A successful marriage requires time and effort to make it work So here are some important ingredients to a successful marriage:

Communication and transparency

Every marriage needs to have communication and transparency. Open and transparent communication is key to a great relationship.

When you and your partner feel comfortable talking about your feelings and thoughts, it creates a marriage that is long-lasting and trusting. It is essential that you both know you will be heard and understood by each other.

Support and encouragement

A marriage thrives when you both feel supported in your goals. So you want to do your best to be supportive of your partner's dreams and goals. Be their biggest cheerleader in all aspects of their lives including their personal and financial growth.

By supporting each other, you make room for both of you to grow and change. You'll provide motivation and encouragement for each other. This ultimately leads to a stronger marriage.

Gratitude and appreciation

Showing your partner gratitude and appreciation are also keys to a successful marriage. So it's important to do this on a regular basis. You can show your appreciation and gratitude to your partner by using their love language to express your love.

You can surprise your partner with gifts. But gifts are not everything. An even better way to express your love is by making time for your partner. For instance with date nights.

You could give them a small break from their household tasks. For instance, you could make dinner or do the laundry if it's something they always do.

Now you have the keys to a successful marriage!

Every marriage is different, but these ingredients to a successful marriage can help you make the best of your relationship. Successful marriages don’t happen overnight. They take time and effort to build. And you want the success in your marriage to be on your own terms and not anyone else's.

The keys to a successful marriage require understanding your partner, being open and transparent, and having a team mindset. By staying committed to your joint happiness and growth, you'll see your marriage not only survive but thrive!

Which of these tips will you implement today?

The post Keys To A Successful Marriage: The Money Edition! appeared first on Clever Girl Finance.

]]> 7 Steps For Reframing Negative Thoughts https://www.clevergirlfinance.com/reframing-negative-thoughts/ Wed, 23 Mar 2022 21:35:26 +0000 https://www.clevergirlfinance.com/?p=18379 […]

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Reframing negative thoughts

Guilt, shame, fear, stress. These are all intense feelings that derive from negative thoughts. One minor setback or judgment could have us spiraling into a dark hole of negative thoughts, impacting our progress and our outlook on life. Reframing negative thoughts helps you climb out of that dark hole to improve your outlook.

Negative thoughts are normal and will arise from time to time. They could, however, begin to affect you emotionally, physically, and even financially. According to a recent research study, repetitive negative thoughts were linked to declines in brain function and even memory over time.

Our thoughts hold the key to our personal success and growth. How we think about ourselves and our progress impacts our motivation. Learning to practice reframing negative thoughts will help you stay grounded, driven, and optimistic.

Why you should reframe negative thoughts

Before we get into how to clear your mind of negative thoughts, let's discuss why you should. Negative thoughts impact more than just your mental health. It can also affect your physical health and emotional well-being. Your thoughts have a big impact on how you see yourself.

Thoughts that are less than positive and empowering can also hinder your personal growth and success. Negative thoughts can fester and cause you to stop yourself from progressing. Maintaining a positive mindset helps you continue to grow and evolve.

So with that being said, let's get to how you can start challenging negative thoughts and change your mindset!

7 Actionable steps for reframing negative thoughts

Don’t let negative thoughts impact your outlook on yourself, finances, and progress. Reimagine the way you think with a few steps on reframing negative thoughts. Let's dive into how to clear your mind of negative thoughts!

1. Identify your thoughts and validate them

Once a negative thought pops up, we often try to suppress it. However, it’s important to acknowledge those thoughts. Point out when and how negative thoughts arise. Is it typically around payday, when the stress of covering your bills mounts up?

Is it right before a major presentation at work? Validate your feelings related to those thoughts. Suppressing feelings around your thoughts can do more harm than good.

It's normal to have these feelings when negative thoughts take over. Identifying your thoughts helps you understand and recognize them so you can reframe your mindset. This is the first step of challenging negative thoughts!

2. Practice emotional intelligence to reframe negative thoughts

Practicing emotional intelligence is a great skill to have when reframing negative thoughts. Emotional intelligence is the ability to control and evaluate your emotions objectively. You can use emotional intelligence to perceive and respond to your thoughts differently.

Thoughts are often fueled by our emotions and, sometimes, are not based on facts. Remember a time when you received criticism at work? Rather than negatively thinking about your performance as an employee, see it as a crucial learning experience to help you grow in your field.

Practice leading with your logic and not with your emotions to tackle negative thoughts.

Challenging negative thoughts 1 Challenging negative thoughts 2

3. Challenge your negative thoughts with positive affirmations

How do you start challenging negative thoughts easily? Use positive affirmations for negative thoughts! Affirmations are positive phrases or statements used to challenge negative or unhelpful thoughts. Affirmations have been proven to boost your mood, decrease stress, and actively change the parts of your brain that activate happiness.

Take negative thoughts and turn them into something positive by rephrasing them. Reciting positive affirmations is key to reframing your negative thoughts before they arrive.

Positive affirmations for negative thoughts

Here are a few positive affirmations for negative thoughts to help you challenge and reframe them:

  • "Every day I am getting better and better."
  • "I'm capable and ready for any challenge that comes my way."
  • "I deserve to be loved, respected, and heard."
  • "I am more than enough and don’t have to prove my worth to anyone."
  • I’m grateful for the opportunity to learn something new.

So using affirmations is how to clear your mind of negative thoughts! Be sure to check out our posts "50 Morning Affirmations To Change Your Life!" and "55 Financial Affirmations You Should Tell Yourself" to get started.

4. Give yourself patience and grace

Negative thoughts, especially around self-worth and comparing yourself to others, can cause you to be hard on yourself. Practice self-compassion when reframing negative thoughts. Give yourself grace and patience when challenging thoughts that are pessimistic and unconstructive to your growth.

We are all human and will experience negative thoughts from time to time. Ultimately, we are in full control of how those thoughts impact us and show up in our self-talk. Be kind to yourself and change the narrative around your thoughts.

Are you hard on yourself about sticking to your financial journey? Reframe negative thoughts around your finances by tackling your budget one step at a time. Then, celebrate each step you make along the way. You deserve to give yourself credit for your progress.

5. Depersonalize negative thoughts

Negative thoughts can get personal, framing the way you feel about yourself and your worth. Reframe your negative thoughts by avoiding personalizing the negativity. Avoid taking negative thoughts to heart; thoughts are often only temporary and do not always reflect who you truly are.

Depersonalize negative thoughts using positive self-talk to reshape your mindset. Thoughts are meant to come and go, so quiet your inner monologue by letting them pass. Let go of any thoughts that don't serve you in a positive, healthy way.

6. Create healthy outlets to clear your mind of negative thoughts

Negative thoughts create a spiral effect that can alter the way you take care of yourself. Creating healthy outlets for yourself like mediation or exercise is how to clear your mind of negative thoughts. Focus on your mental and physical health first.

Do something you enjoy, whether it’s listening to new music, taking a walk, cooking, or exercising. A healthy and positive self-care routine is a good antidote to combat negative thoughts.

It also helps you to stay present and in the moment. Distract yourself from negative thoughts with things you truly enjoy.

7. Spend time with family and friends to encourage yourself

It helps to get a different perspective when reframing negative thoughts. Look to your friends and family for a better outlook on your negative thoughts. They are a great resource to help you see your thoughts more clearly and challenge those thoughts with affirming ones.

Turning to your loved ones also helps shift your focus away from negative thoughts. Spending time with friends and family can distract you when negative thoughts surface. Spend quality time that’s fun and enjoyable with your friends and family to help clear your mind of negative thoughts.

Start reframing negative thoughts and improve your outlook!

Don’t let negative thoughts impact your progress and outlook on life. Learn to reframe your negative thoughts so that you can achieve more and give yourself the credit you deserve. Remember, to also use positive affirmations for negative thoughts to improve your outlook on life!

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]]> 7 Reasons Why You Are Never Too Old To Learn New Things https://www.clevergirlfinance.com/never-too-old-to-learn/ Thu, 10 Mar 2022 10:35:06 +0000 https://www.clevergirlfinance.com/?p=18030 […]

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Never too old to learn

Time seems to wait for no one. We all continue to get older and wiser in our personal lives, our finances, and our relationships. Getting older doesn’t have to mean learning stops at a certain age or point in your life. We are all constantly growing and changing, and no matter how much you’ve accomplished, you’re never too old to learn new things to better enhance your life!

It could be difficult to master something new as you get older. We get comfortable in what we’ve always known, and sometimes, we get stuck in our own way, not making room for anything new.

Fear can also leave you stuck from learning new things, convincing you that it’s too late to try something new. However, it’s never too late to learn new things and increase your knowledge so that you live a better and happier life.

You're never too old to learn: 7 Reasons why

Who says you can’t learn something new? You’re never too old or too late to pursue knowledge that will enhance your life. So, here are a few reasons why it's never too late to learn:

1. Technology makes it easier to learn

Technology can be a great tool to help us to pick up new things easier and faster. As you get older, technology gets more and more advanced.

As a result, we are able to use technology to enhance our lives in so many different ways. By using some of these innovative tools, you can better improve what you already know.

You can also benefit from how technology can make your life easier and more efficient. For example, instead of budgeting from a spreadsheet, you can now use smartphone apps that are easy, portable, and link directly to your account and expenses to create a more detailed budget. So take advantage of technology to learn new things and let it work for you.

2. Getting older comes with more wisdom and experience to learn more

Remember the first credit card you applied to, or the first student loan you paid off, and what you learned about personal finance from those experiences?

Now that you’re older, you’re wiser and able to use your past experiences to help you grow and be more knowledgeable about your finances. Take from your past experiences and continue to learn new ways to make your next money move better than your last.

3. Learning and growing as you age increases your lifespan

You are never too old to learn new things, and learning might even increase your life expectancy. According to a study led by the Yale School of Medicine and University of Alabama-Birmingham on life expectancy, those who were more educated tend to live longer. Therefore, education was the biggest difference in those who lived longer.

When you continue to learn and grow, you not only enhance your life more, but you can add to your lifespan as well.

4. You progress more professionally and financially

Learning new things helps you progress in your professional and financial life. New skills and tools help propel your growth forward, whether it’s developing a new skillset for work or trying out a different approach to managing your finances. As you learn, you acquire more knowledge that you can use to be a better, more skilled professional.

5. With age comes discipline to tackle your goals

The older you get, the more discipline you start to master to tackle your goals. Just because you are getting older doesn’t mean learning stops. Your past experiences can help propel your goals even more.

As you get older, the discipline to achieve your goals only gets stronger, and learning something new helps you reach your goals in a new way. (Check out these specific examples of self-discipline).

6. Personal growth is constant

You are never too old to learn new things because growth is always constant. You will always be challenged to explore new opportunities and grow not only professionally, but personally.

Pursuing personal growth is beneficial to your life, so always take the opportunity to retain more.

7. Learning new things can benefit your family

Learning new things can have a generational impact on your family. By acquiring new skills and tools to use to enhance your life financially, you can begin to create generational wealth for your family.

You can also pass down what you’ve learned and your new experiences to your family, encouraging them to grow and change and create more generational wealth as well.  

5 Key tips to start learning new things

So, are you looking to learn a new skill or expand on skills you already have to enhance your knowledge? Here are some key tips to begin your journey to learn new things.

1. Start with a goal or new skill in mind

Assess where in your life you can learn something new, whether it’s professionally or personally, that will maximize skills you already have. Looking to transition at work or start a side hustle? Set a goal to learn a new trade or get training on an area of work you’re unfamiliar with.

Want to increase your savings or focus on how to improve your finances for example? Make a goal to seek out new tools to help you along your journey. Starting with a goal in mind helps you look forward to tackling something new to enhance your life.

2. Start small

Start with small, manageable ways you can pick up something new to grow from. Whether you are looking to learn something new or enhance skills you already have, start small by making measurable goals to gain more knowledge.

For example, if you are looking to know more about personal finance for example, start small by looking up resources online or at your local library to help you. You could even enroll in our completely free financial courses to get started!

3. Seek resources and professionals you can learn from

Seek out professionals and resources you can learn from to help you on your journey. There are many resources online, at your local library and through your professional network you can leverage.

Don’t be afraid to reach out to professionals to continue expanding your skillset. Subsequently, pick their brain on skills they already have and make some time to learn something new from them.

4. Learn from past experiences

Your past experiences can help guide you when learning something new. Tap into your past experiences and skills to tackle new challenges. Take what you already know and apply it to a new skill.

Whether it’s changing how you budget, going from old Excel spreadsheets to using new technology, or updating your skills with training. You are never too old to learn from your past experiences to make your future better.

5. Embrace growth and change

Change can sometimes be scary and unnerving, but learning something new requires you to growth and shift your mindset. Embrace the growth in studying something new.

It’s never too late to find new ways to become a better person and to enhance your life. Keep a support system around you that encourages your growth and pushes you out of your comfort zone.

Remember you are never too old to learn!

You may be getting older, but remember it's never too late to learn and you should never stop learning! Challenge yourself by learning something new often, and embrace the growth it creates. So make it a goal to start learning new things today!

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]]> What Is A Susu (AKA SouSou) And How Does It Work? https://www.clevergirlfinance.com/what-is-a-susu/ Sun, 27 Feb 2022 13:37:59 +0000 https://www.clevergirlfinance.com/?p=17628 […]

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What is a susu

What is a Susu and should you try it to help you build your savings account? Well, the journey of building and improving your savings can feel like a solo mission at times. Also, it can be difficult to strive to meet the goals you’ve set for yourself all on your own.

The process of saving can get tedious and sometimes calls for a new approach. Are you struggling to save the traditional way? If you’re looking for a better approach to reach your savings goals or need more accountability as you save, Susu savings is an option to explore.

But exactly what is a Susu and how do you start one? In this article, you will learn what is Susu, how they originated, and how to start one!

What is a Susu?

So, what is Susu? A Susu (AKA Sou-Sou or su-su) is a community-style savings practice. A group of people help each other achieve their savings goals by pooling their money together.

A popular savings practice in African, Caribbean and even some Asian cultures, a Susu encourages friends and family to build wealth together.

Each member contributes an equal amount of money at a set period of time. Then they receive the lump sum of every contribution at least once. As one of the oldest types of savings clubs, the Susu savings approach helps fund each person’s financial goals over time.   

The history of Susu

This may be a new term to you, however, Susu is not new or uncommon in many different cultures. Originating from West Africa, the practice of it derives from the Yoruba term “esusu".

Esusu details traditional forms of community contributions in African societies, where family and friends get together to contribute to one savings to accomplish the goals of each member of the group.

Often called by many names including Sou-Sou, asue, and su-su, Susu is practiced by many different cultures. In fact, the Caribbean, African and Asian countries around the world have practiced this savings approach.

Its practice was born out of the lack of access to traditional banks and savings accounts in many countries. Susu is a tradition many cultures still take part in. It fosters a sense of community-building, discipline, and accountability.

How does a Susu savings work?

A Susu is a rotational savings practice where a group of family members or friends contribute an equal amount of money, popularly known as a “hand,” on a weekly, bi-weekly, or monthly basis for a set of time.

So, one member of the group will get to collect the full lump sum each time until everyone gets their turn to disperse, known as a “draw'". The terms of the amount of each contribution, the length of time, and the schedule for who gets to disperse when is agreed on as a group.

For example, let's say a family of five starts a Susu, where each week for five weeks, each member of the family contributes $100. Each week, one family member collects the full $500, while every person puts in $100 again until the fifth and last week. Everyone contributes equally and gets the full amount once.

The pros and cons of a Susu savings

So, just like most things, there are a couple of pros and cons to this savings approach. Let's start with the benefits:

Pros of a Susu savings

A Susu is a savings approach that helps promote accountability in your savings journey. Being a part of a trusted group of people contributing to your goal helps you to practice saving while also helping others.

It brings communities together to promote savings and build wealth. The whole group benefits from contributing at the same time towards each other’s individual goals.

Cons of a Susu savings

Even though the practice of a Susu can help build towards saving for your financial goals in a practical, hands-on way, this savings method requires trust in the group and clear expectations for it to successfully work for everyone.

The group you choose is key to a successful Susu; being able to trust that each member will continue to contribute towards saving is the key factor.

Also, being a part of a Susu requires patience; each member of the group has to wait their turn. So, the cons are having to find trustworthy members and also having the patience to receive your funds.

How to make a Susu savings approach work for you

The practice of Susu is a traditional community savings approach that continues to work for many today. So, you can decide if a Susu savings is right for you with a few tips on how to make the system work:

1. Evaluate your saving goal and a timeline that works for you

Before deciding to join a Susu, decide what savings timeline you are comfortable with and the goal you’re looking to achieve. A Susu is a great way to save a good amount of money in a set amount of time in a supportive group.

Also, having a plan and evaluating the right timeline for you can help determine if the Susu savings approach is right for you.

2. Gather a supportive, trusting group to begin one

A Susu is only as successful and reliable as its group. Be mindful of who you choose to be a part of one. A traditional Susu typically includes close family or friends who you trust but can be made up of whomever you decide.

Ensure that you assemble a group you can trust to contribute regularly. If you are looking to join one, make sure the members of the group are reliable, supportive, and trusting.

3. Decide together on a contribution amount and timeline

The group would need to decide together the details of the Susu. The amount each person will contribute and how often everyone will contribute will need to be agreed on.

The group would need to pinpoint who would be the person in charge of collecting and distributing the money according to the schedule. Every decision about the Susu should be collaborative.

4. Stick to the Susu and your savings goal

A Susu is a commitment to yourself and others to save as a team for everyone’s benefit. Stick to the savings practice by contributing each time and on time for the full length of the Susu.

Remember your overall saving goal and your “why". Is it to pay off a small amount of debt, or to help build your emergency savings fund? This will help you continue to focus and save efficiently.

Give a Susu savings a try!

Now that you know "What is a Susu?" you can decide if it's the right method for you! A Susu savings approach is a great way to save and encourage others to save as a collective to reach your financial goals and help others do the same.

It promotes community wealth building and a savings approach that advances everyone in the group.

Each person contributes equally and receives an equal payment of the full savings to put towards their financial goals. Practice better savings by making a Susu savings approach work for you.

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]]> Advantages And Disadvantages Of Budgeting You Should Know https://www.clevergirlfinance.com/advantages-and-disadvantages-of-budgeting/ Sat, 12 Feb 2022 05:30:59 +0000 https://www.clevergirlfinance.com/?p=17446 […]

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Advantages and disadvantages of budgeting

Are there really advantages and disadvantages to budgeting? Budgeting brings about polarizing thoughts and feelings. People usually either love it and sing its praises or dread it. While the advantages far outweigh the disadvantages, you should explore the pros and cons of budgeting.

Then you can determine where you stand, and find a budgeting method that works well for you. Remember budgeting is the basis of your financial wellness. So with that in mind, let's dive into the advantages and disadvantages of a budget!

Common advantages and disadvantages of budgeting

Most people know of the advantages of budgeting and how it can improve finances. Some people hate it due to common misconceptions. Beyond perception and mindset, are there any disadvantages of budgeting that warrant not giving it a shot?

As we discuss the pros and cons of budgeting, consider how you can change your perception and take advantage of the right budget!

Advantages of budgeting

The advantages and disadvantages of a budget are worth considering as you embark on your own budgeting journey. Before we explore whether or not there are any real disadvantages of budgeting, let’s talk about some of the many advantages:

Gives you control over where your money is going

One of the advantages of budgeting is that it is a plan for what you’re going to do with your money. Spending aimlessly without a budget in place makes it very difficult to see where your money is going.

If you’ve ever felt broke while knowing that your income should cover your needs, then you may need to take control of your money. Having a budget or spending plan will help out with that. It gives you the opportunity to track your income and expenses while also helping you plan effectively.

Easier to see and understand your spending habits

If you notice that you are consistently overspending in some areas, then budgeting will give you a good idea of where you need to adjust your budget or your spending. It’s more difficult to be aware of your spending habits if you don’t have some sort of system in place.

Having a budget makes you pay more attention to your expenses and how much you are spending. It helps point out areas where you are spending more than allotted and gives you the opportunity to make adjustments.

Budgeting allows you to examine your habits and do what’s necessary to push you towards a balanced budget.

Prevents you from living above your means

The advantages of budgeting also include helping you live within your means. Living within, or below, your means is an important part of making progress financially and being able to achieve your goals. However, budgeting isn’t meant to restrict you. Rather it is meant to help you plan and make choices for your money.

It helps you determine how much you’ll need to cover your expenses, how much you can save, and how much you’ll have available to spend.

Once you figure out what works for you and you have a budget in place, it becomes much easier to live within your means and not overspend.

Budgeting helps prevent stress

When you have a budget and a plan, taking care of your finances becomes less stressful. Spending time working on your budget means that you’ve had time to figure out how you’re going to take care of your obligations and work towards your goals.

From there, it’s just a matter of being consistent, updating your budget every month, and sticking to the plan. Budgeting and preparing your finances alleviates some stress.

Helps prepare for emergencies

One major thing to consider when comparing the advantages and disadvantages of budgeting is your ability to pay for unexpected expenses when they arise.

There are many unexpected expenses that pop up that you’ll want to prepare for. Budgeting, and having an emergency fund, will help you cover those expenses when they arise.

When preparing your budget, saving for emergencies should be one of your line items. Set a goal for how much you want to save, and make progress towards that goal each month with the help of your budget.

Helps you work towards and achieve your goals

Budgeting helps you determine what your goals are, and make a plan for meeting them. It gives you the opportunity to create a more concrete plan to keep you on track as well.

No matter what your financial goals are, including them in your budget and treating them like an expense will keep you on the right path.

Another advantage of budgeting is that you can create or use a budget/goal tracker to physically mark your progress. Seeing yourself heading in the right direction and getting closer to achieving your goals will give you that extra push if/when you need it.

Disadvantages of budgeting

There are many misconceptions about budgeting. Beyond the mindset shift, budgeting isn’t always easy for those who are just starting or haven’t done it consistently. The pros outweigh the cons, but there may be some disadvantages of budgeting as well.

Difficulty finding a budgeting method that works for you

When comparing the advantages and disadvantages of budgeting, many people push budgeting away because they haven’t found a method that works for them.

Although budgets serve a key purpose, figuring out which method works best can be difficult. It requires some trial and error, but there are many different methods and strategies to choose from.

Budgeting methods such as the 70-20-10, zero-based budget, 30-30-30-10, reverse budgeting, etc. are all worth exploring and testing out.

Instead of getting frustrated when one method doesn’t work out, try out several methods and make tweaks as necessary to make it work for you.

You may think it’s too rigid

A lot of people think of budgeting as something that limits them rather than a tool that gives them more freedom. When you think of putting yourself on a budget, it’s usually perceived as cutting spending or being strict.

So with this mindset, the perceived inflexibility and rigidness are viewed as a disadvantage of budgeting. But it isn’t meant to be restricting.

Budgeting is meant to give you the opportunity to be in control and make choices regarding your finances. So consider that when weighing the advantages and disadvantages of a budget.

Budgeting takes time and effort

Creating a budget, at least initially, can be time-consuming. It’s fairly easy to maintain once set up, but it does take time and effort to update it each month/pay period. It takes time to sort through your income, expenses, and goals to figure out a plan.

It takes trial and error to determine what type of budget works best for you. Although you will have to put in some time and consistency to prepare and maintain your budget, it is absolutely worth the effort.

You may be resistant to change

Budgeting will help you pinpoint adjustments that you need to make within your finances. If you are resistant to change and resistant to making those adjustments, then getting the hang of budgeting may be difficult.

Being committed to making those changes isn’t always easy. It may also take some time to see the results of budgeting and the changes that you’ve made, and that can be discouraging.

Your motivation may dwindle, making it difficult to be consistent. However, if you stick with it and make adjustments where necessary, you will see progress and be able to celebrate your wins in no time.

Start a budget and watch your finances improve!

Before writing it off, weigh the advantages and disadvantages of budgeting and work on finding a method that works for you and your situation.

Despite the disadvantages and common misconceptions of budgeting, the pros outweigh the cons. It is definitely worth figuring out which method works for you and budgeting consistently to see improvements in your finances.

And if you face any of the disadvantages, don’t give up! The advantages of budgeting will help you achieve your goals and make progress with your finances. Find what works for you and stick with it. It’s worth it.

Take things a step further by checking our list of best books about budgeting!

The post Advantages And Disadvantages Of Budgeting You Should Know appeared first on Clever Girl Finance.

]]> 5 Simple Steps For Organized Finances https://www.clevergirlfinance.com/organized-finances/ Tue, 08 Feb 2022 14:14:36 +0000 https://www.clevergirlfinance.com/?p=17308 […]

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Organized finances

We’ve all been there before, and it’s a scary place to be: your paycheck arrives or hits your bank account, and suddenly, after a few bills and more than a few unplanned expenses (a brunch here and a holiday there), you look up and are struggling to make it to your next payday. Having organized finances puts you at ease so that you’re not panicking from paycheck-to-paycheck and all of your expected – and unexpected – expenses are covered.

So, we are going to cover how to organize your money but first let's discuss the importance of organizing your finances!

The importance of having organized finances

Having organized finances is important because it gives you a better sense of where your money is going so that you’re not surprised by unexpected expenses. When you keep track and organize your finances, it gives you a better sense of control over your financial life.

You can also identify areas of improvement and achieve your financial goals more efficiently when your finances are organized. You get a clearer picture of your finances so that you can make the next best decision with your money. 

Being financially organized also contributes to overall better mental health. When you control how your hard-earned money is working after each paycheck, the stress of worrying about paying your bills eases. It helps you feel better and more secure financially and mentally.

5 Key steps for organized finances

To better know where your money is going and achieve your financial goals, here are 5 simple steps on how to organize your money.

Steps for organized finances

1. Automate your bill payments

One simple step towards organized finances is to automate your bill payments. Automating your bill payments ensures that your bills are paid on time as soon as they are due.

You can automate the payment of your bills by logging into the account of each of your bill providers or calling to set up your monthly payments.

However, if you don’t have enough funds for a specific month to cover your automated bills, you need to proactively call your bill provider. They will work with you to change or cancel your auto-payment so that it doesn’t cause you to overdraft before you have the funds to pay.

That said, automating your finances is still one of the best ways when it comes to how to organize money. It's all about planning accordingly!

2. Establish a budget

A good, solid budget is the cornerstone for how to organize your money. A budget helps track your spending habits, giving you a glimpse of how much your bills and expenses are and where you’re spending the most.

With a great budget, you can see your finances in a more organized way so you can meet your financial goals.

It's a good idea to plan out your budget in advance before your next pay. Start by breaking out reoccurring bills from general spending and put your bills in categories to track how much you are spending in each area of your life.

Be sure to account for and adjust your budget often for miscellaneous spending like eating out or shopping, vacation and holiday gift spending, and for your savings goals.

There are various ways you can break your budget down each month or even biweekly:

The 70-20-10 budget

The 70-20-10 budget is where your break your take-home pay up into three different categories. Use 70% of your income on monthly expenses and bills, 20% for savings and investments like your retirement fund, and 10% on giving or for paying off debt. This budgeting method is an excellent way how to organize money that's simple and effective.

The Zero-based budget

A zero-based budgeting system is another way you can establish your budget. The zero-based budget is where you allocate your entire paycheck to each specific budgeting category until you have nothing left.

The zero-based budget helps you assign an expense to every dollar so that you are spending only what you allocated for each category. It allows you to avoid the temptation of overspending and spending too frequently just because you have money left over.

3. Track your spending

Tracking your spending is a great way how to organize your money because it helps you manage where your money is going. There are many tools you can use to help track your spending that will also ensure you have organized finances:

Build a spending tracker in Microsoft Excel

Microsoft Excel has quite a few free templates you can use to help you track your spending more wisely. Many of the templates include built-in formulas that make tracking your spending easier. It’s as simple as building a sheet and listing out your bills and expenses.

Enable transaction alerts from your bank

Use your bank’s alert system to help track your spending by turning on alerts every time your spend from your account. This helps keep you accountable and aware of every penny coming out of your bank account.

Use a free budgeting app

There are many budgeting apps that are free to use on your phone to organize your money. Apps like Credit Karma's money management tool, Truebill, and YNAB (You Need A Budget) are primarily free to use. You can link your bank accounts, investment accounts, and more to help track your spending right on your phone.

4. Keep track of your bill’s due dates in one central place

Another way how to organize money is to track your bill due dates. When organizing your finances, it helps to track your bills closely to know when your money is coming out. Keeping track of the due dates for your bills helps to avoid potential late and overdraft fees from your bank.

It also helps you ensure you are paying your bills on time, which ultimately helps your credit score. In fact, 35% of your credit score is your payment history.

One way to keep track of your bills and their due dates is by using a budgeting app on your phone. Most budgeting apps have features that help you keep track of your bills, how often they are due, and when.

Use your personal calendar, to help organize your bill payments and when they are due. Set reminders on your phone to alert you when your bills are due so that you don’t miss a payment.

Put your bills in one important, visible place where you can see them regularly. Be aware of where your bills are to make sure they are paid on time as they come in.

5. Separate your money to better organize your finances

Tangibly track your spending better by separating your income to organize your money. Separating your spending money from the funds you use to pay bills sets limits on how much you can use.

Cash envelope system

Using the cash envelope system is a fantastic way how to organize your money. The cash envelope system is a budgeting tool where you take out only the cash you need after your bills are covered. The cash-envelope system helps you only use what you’ve taken out in cash after paying your bills, and nothing more.

Separate bank accounts

Open up a separate bank account and automatically separate your take-home pay between 2 or more accounts. One account would be for bills, and other accounts for weekly necessities, miscellaneous spending, and more.

A separate bank account helps keep bill payments from other spending. There's no risk of overspending or over-drafting; all of your funds are in different accounts and only used for their intended purpose.

Have more control over your money with organized finances!

Now you know how to organize money so you can stay on track with your finances! Organizing your money gives you relief to further tackle your financial dreams and goals. You now hold the reigns to your financial success by organizing your money.

Make your hard-earned money work for you, and not the other way around. Make it your goal to have organized finances!

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]]> How To Start Prioritizing Yourself (Including Your Finances) https://www.clevergirlfinance.com/prioritizing-yourself/ Wed, 26 Jan 2022 10:37:32 +0000 https://www.clevergirlfinance.com/?p=17011 […]

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Prioritizing yourself

As women, we often don’t prioritize ourselves or practice self-care regularly. Add in being a wife and/or mother, and the amount of those women who prioritize themselves drops drastically. However, ignoring your own needs is mentally and physically straining and you can’t continue to show up for anyone without taking care of yourself first. Prioritizing yourself, being able to determine when your cup is empty, and figuring out how to fill it back up is important for your self-care and overall wellness.

Why does prioritizing yourself matter?

Prioritizing yourself is often believed to be selfish and it’s hard to prioritize your life when you feel guilty for taking care of yourself. But it’s important! You’re important, and you deserve to nourish and pour into yourself. Here are some reasons why you should prioritize yourself first:

You can’t be your best self when you are drained

Being exhausted and sluggish all of the time weighs on your mental and emotional state. One of the reasons you should prioritize yourself is so that you can be at your best.

You can’t fully show up for yourself or those around you when you are depleted and attempting to pour from an empty cup.

You drain those around you when you aren’t taking care of yourself

Presenting as your best self requires that your needs are being met. Prioritizing yourself first ensures that you are taking good care of yourself so that you can be at your best.

If you aren’t prioritizing yourself and your needs, then those around you can feel and respond to the unfavorable energy that you are giving off.

You need (and deserve) to practice self-compassion and to be recharged

Prioritizing yourself matters because you aren’t always meant to be “on” and on the go. You deserve to rest and recharge. Remember that you are worthy of positivity, excitement, and the joy and energy that comes along with nurturing yourself in all ways. 

You deserve to be stress-free (or at least less stressed)

Stress impacts your mental and physical health. You deserve to take care of yourself to relieve and prevent some of the pressures and tensions of life. Prioritizing yourself in all areas reduces stress, burnout, and the harmful effects of both.

How to start prioritizing yourself

As you move through the work required to begin prioritizing yourself first, permit yourself to be selfish sometimes. Don’t talk down on yourself or feed into any guilt that may arise as you shift your perspective and behaviors.

Slow down and take your time. Learn and appreciate yourself and the things that you enjoy while figuring out ways to recharge and prioritize yourself. With that being said, let's dive into how to start prioritizing your life!

How to prioritize your health

You can start prioritizing yourself by making time to improve your mental and physical health. You can prioritize your health by:

Prioritizing rest

Getting enough quality sleep is important to feel rested and to keep your brain and body functioning at a healthy level.

Lack of rest impairs your ability to reason, to be productive, and affects your mood. You should aim for 7 - 8 hours of quality sleep each night to take advantage of the benefits of good, deep rest.

Treating yourself

Treating yourself goes beyond just purchasing something that you want. You can treat yourself by taking a break and taking time to do nothing. You deserve some downtime and it is good for your mental health and happiness.

Prioritize yourself in other ways by treating yourself to your favorite foods, more healthy and complete meals, and by fueling your mind and body in a way that promotes good health.

Treating yourself and taking care of your health improves your mood and allows you to prioritize yourself first and your well-being.

Prioritizing movement

Overall, we spend a lot of time being sedentary which can lead to a host of issues. Prioritize yourself and your health by working in some type of movement each day.

Create a workout routine, plan to stretch, do yoga, dance, etc. to reap the benefits of exercise and being mobile. Find a budget-friendly online trainer if you need some help staying motivated!

How to prioritize your time

Prioritizing your time to get some time to yourself and also accomplish the things that you need to get done is an essential part of prioritizing your life.

Make time to be alone

As busy women, we often don’t get to spend time alone. Depending on your circumstances, making time to be alone may mean waking up before everyone else or staying up a bit later to have some time to yourself.

Whether it’s 10 to 15 minutes or a couple of hours a day, making time to be with yourself is important. You need to spend some time alone to connect with yourself and your needs and also to increase your productivity. So prioritize yourself first by allowing yourself some alone time each day.

Don’t be afraid to say no

Being a “yes person” will have you spending time doing things that you don’t want to do. You don’t have to spend all of your time pleasing others. It is ok to say no to prioritize yourself and how you choose to spend your time.

Use a to-do list or calendar to plan out your day

Of course, all days don’t go as planned, but having an idea of what you need and want to do in a day can keep you on task. Make the most of your time by setting a goal for each day and prioritizing your time so that you can meet that goal.

However, be easy on yourself if you don’t get everything done. We all know that things don’t always play out the way that we plan. So if you don’t get everything done, give yourself grace.

How to prioritize your finances

Prioritizing your life also includes prioritizing your finances! As you work through prioritizing yourself, don’t forget to take some time for your money matters as well.

Pay yourself first

You work hard for your money, and you deserve to keep some for yourself. Whether you are saving for a purchase, to invest in yourself, or to achieve a goal, prioritize yourself by prioritizing saving.

Pay yourself first by saving towards your future and/or saving for your goals and purchases before expending. If you aren’t sure about how things will pan out if you save first before paying bills and spending, prepare a budget to help guide you.

Pay off your debt

Paying off debt increases your cash flow and allows you to do more, like invest in yourself and your future, with your money. So prioritize your finances by making a plan to become debt-free.

Place special focus on your high-interest debt that’s costing you money and taking away from other things that you could be doing.

Stash money away for upcoming expenses and emergencies

To reduce some stress, save a bit of money each pay period to take care of known, upcoming expenses and emergencies that will arise.

You deserve to worry less, and planning will help with that. Prioritize your life and save yourself some stress by preparing for these occurrences.

Prioritize yourself first by setting goals that excite and inspire you

What are your financial goals? Maybe you want to be debt-free, increase your income, or save enough money to take a special vacation.

Prioritize yourself, your wants, and your needs by making a plan to achieve your financial goals. Prepare a budget, or some type of written plan, to map out the steps that you will take to achieve your goals.

Take control and start prioritizing yourself today!

Being selfless and always giving to others without prioritizing yourself and being self-compassionate can lead to you losing yourself and not being your best.

Prioritizing yourself first doesn’t seem as selfish when you think about how important it is to take care of yourself so that you can show up as your full self for those around you.

Your wants and needs are important as well, and you deserve to nurture your personal growth, joy, and well-being. For those reasons among others, making yourself a priority is one of the most selfless things that you can do. So start prioritizing your life today!

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]]> Why Can’t I Save Money? 10 Possible Reasons Why https://www.clevergirlfinance.com/why-cant-i-save-money/ Mon, 10 Jan 2022 00:38:20 +0000 https://www.clevergirlfinance.com/?p=16684 […]

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Why can't I save money

Have you ever asked, “Why can’t I save money?” and found yourself wondering about the reasons why? Most of us have been there. In fact, less than 40% of American adults have enough savings to cover a $1,000 emergency. The concept of saving is simple, but the actual act can be hard for some. If you can’t save money, it’s important to assess and realize why you aren’t able to save.

So don't get stuck in the "I can't save money" mindset! Use this list to figure out what your pain points are and how to combat them so you can start saving!

10 Reasons why you can’t save money

To be able to save money and do it consistently, you have to take control of your finances. Once you determine why, you can implement changes and start saving. Let's dive into the reasons for your burning question "Why can't I save money?"

1. You don’t have a budget

A big reason why you can’t save money is that you don’t have a plan for your money. Don't feel bad, I can't save money either if I don't budget. Without a budget, it is difficult to keep track of your money.

You are able to manage your money better when you know where it is going. Budgeting makes it easy to see your income in relation to your expenses and to determine how much you are able to save. Having a budget also allows you to see where you can cut back on spending and save instead.

To switch from passively expending money to actively managing your finances, create a budget that fits your needs. Make a list of all of your income and expenses and the amounts of each.

Don’t forget to include savings in your budget as well. Creating a plan for your money puts you in control and is an important step in being able to save money consistently.

2. You can't save money because you have a lot of debt

Making payments towards debt takes away from the amount of money that you are able to save. Whether your debt is due to necessity or a bad decision, repayment ties up your income and is a reason why you can’t save money.

Often we get into a cycle of debt that makes saving even more difficult. You’re paying off debt instead of saving. So when an expense comes up, you have to take on more debt to cover that expense because you don’t have the savings for it.

Taking on more debt means more payments, and so this cycle repeats itself. Since you have to make these payments, use your budget to figure out where you can make cuts so that you are able to afford to pay off your debt and save.

3. You’re living beyond your means

When your expenses outweigh your income, it is impossible to save. You can’t save money because you’re spending more than you’re bringing in, and you don’t have anything available to save. It is very easy to spend more than you can afford when you have credit cards and treat them like cash or income.

Making purchases that stretch the limits of what you can afford doesn’t seem too bad when you can’t see the cash leaving your hands or your bank account.

There are many areas where you can change your habits and cut back on your expenses. Your housing costs may be too high for what you can comfortably afford. Maybe you’re eating out too often or overspending on shopping.

Looking through your bank and credit card statements will help you determine areas where you’re overspending. Giving yourself a spending limit via your budget curbs your spending and will hopefully prevent overspending. You can’t save money while spending more than you’re bringing in and living beyond your means. 

4. You don’t earn enough money

So far we’ve talked a lot about finding areas where you can cut back and save money. But you may be thinking "I can't save money because I don't make enough."

It is true that you can only do so much in terms of cutting expenses. If you’ve cut back to your basic, barebones expenses and you still can’t save money, then it’s time to increase your income.

You can increase your income by negotiating a raise, starting a side hustle, creating streams of passive income, or moving to a job that comes along with a pay increase. Being in a position where you outearn your living expenses will make it easier for you to begin saving money consistently.

5. You can't save money because saving is not a priority

If you aren’t where you want to be financially, then you may think that you should put off saving until you’re in a better situation or making more money. You can’t save money because you haven’t built the habit and saving isn’t a priority.

Saving something, even if it’s a small amount, builds the muscle so that the habit will already be formed when your financial situation does improve. Plus, small amounts add up, and having that money stashed away is better than not having anything saved at all!

When creating your budget, treat savings as an expense that you have to pay. Make saving a priority by treating it like a payment that you can’t skip and including it in your budget. No matter how big or small the amount.

6. You don’t have a savings goal

You can’t save money because you don’t have a specific goal to work towards. Having a goal, and something concrete that your savings will go towards, gives you a starting point for making a plan to reach that goal.

It also makes it easy to see that small amounts do add up. Being able to track your progress and see yourself getting closer to reaching your goal serves as motivation and encouragement.

Come up with a specific number that you want to save and a deadline for reaching that amount. If you have a specific need or purchase that you’re saving for and can tie to this goal, that’s even better!

From there, break your goal down into smaller steps and plan out how much you need to save from each paycheck to achieve your goal by the deadline. Be sure to track your progress to see if you’re on target to hit your goal.

7. You can't save money because you don’t have an emergency fund

“Unexpected” expenses are inevitable. If you aren’t prepared for them, they will eat up any money that you planned to save.

Or you’ll end up charging the expense(s) to a credit card and taking on more debt, throwing you into the debt cycle mentioned earlier. An emergency fund will keep you from falling off track when something unexpected pops up.

If you are wondering why you can’t save money, it may be because you don’t have a safety net to cover expenses that you know will come eventually. Having emergency savings in place for these situations makes it easier to save money for other reasons.

It is recommended that you have at least 3 to 6 months' worth of your expenses saved in case of emergency. But even if you don’t have 3 to 6 months saved up yet, it’s still a good idea to set aside some money to help offset emergencies. Make it a goal to save your first $1,000 and build from there.

8. You’re paying for subscriptions that you don’t use

Subscription services are great if you find value in and actually use them. They’re not so great if you’ve signed up for them, forgotten about, or don’t use them, and you’re wasting money that you could be saving each month. When you can’t save money and you need to be able to do so quickly, this is one of the easiest things that you can modify.

Go through your bank account and/or credit card statements and make a list of all the subscriptions that you’re paying for. Cancel all of the subscriptions for things that you no longer find value in and things that you may not have even realized that you are still paying for.

Depending on how many subscription services you have, this has the potential to save you a nice chunk of money. Services like Truebill will handle this process for you, and even negotiate some of your other bills to find more savings.

9. You’re an impulse shopper

Another reason why you can’t save money is that you spend on things that you don’t really want or need. Treating yourself is nice, but excessive impulse spending is taking away from money that you could be saving. Especially if you’re purchasing things that you don’t need and they just end up collecting dust.

When you feel like making a purchase, take some time to think about it before spending impulsively. Give yourself a day or two to think it over and determine if you really want to make the purchase. Mistaking wants for needs is a common issue, and when having trouble saving, this is a great area to begin cutting back.

10. You aren’t paying yourself first

If you find yourself asking, "Why can't I save money" but aren't paying yourself first, then that's a big reason why you can't save. Saving money first before spending is a cheat code to being able to increase your savings consistently.

Often, saving is left for last, and you end up only saving what is left over after expenses and spending. Paying yourself first prevents this. Setting aside savings before anything else ensures that you don’t spend all of the money that is available.

Once you’ve created your budget, you will know exactly how much money is needed to cover your expenses. After making sure your expenses are covered, you can determine how much you can afford to save. When you receive income, set aside your savings first! Rather than spending first and then saving what’s left, save first and then spend what’s left.

Change your habits and start saving now!

Hopefully, you’ve recognized some reasons why you can’t save money and discovered tips for how to start saving consistently. Although a simple concept, the application, and act of saving, can be difficult.

Recognize and assess why you can’t save money, use these tips to change your habits, and start saving money today!

The post Why Can’t I Save Money? 10 Possible Reasons Why appeared first on Clever Girl Finance.

]]> Why Do I Feel Guilty After Spending Money? https://www.clevergirlfinance.com/why-do-i-feel-guilty-after-spending-money/ Tue, 21 Dec 2021 13:58:43 +0000 https://www.clevergirlfinance.com/?p=16442 […]

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Society, messages from the media, and pressure from family and friends can make you feel guilty about spending money. Even your money mindset makes you feel like you should be doing other things with your funds. It’s as if you should only be spending money on the things that you need, and not ever treating yourself to the things that you want.

Let's get into how to manage those feelings of guilt when you spend money.

Why do I feel guilty after spending money

There’s guilt about spending too much, not saving enough, and guilt about spending money on the “wrong” things. When you start to feel guilty about spending money, especially spending money on yourself, remember that money is a tool.

As you work through this process, remind yourself that you shouldn’t feel guilty about using what’s available to you.

Why do I feel guilty spending money?

There are many reasons why you feel guilty after spending money. Your guilt could be stemming from childhood, a lack of planning, or a shift in priorities.

Knowing the source of the guilt is beneficial as you work on combatting it. Whatever the cause, it is important to ask yourself “why do I feel guilty spending money?” to get to the root of the issue. 

You have a scarcity mindset

The way that you treat and feel about money is often based on a money mindset stemming from childhood. So, for instance, if you grew up seeing your family struggle financially then you may still feel guilty after spending money today. Even if you have the means to spend freely!

Money and financial wellbeing are tied to emotions. You feel good when you are able to take care of what you want and need. You feel bad when you fall short. Guilt creeps in when you feel like you shouldn’t be spending money on something or spending on yourself at all. And that guilt feeds into the scarcity mindset.

To combat guilt, you will need to shift your mindset away from thinking that spending money on things that you enjoy is a bad thing. Limiting beliefs cause you to feel guilty about spending money. However, treating yourself is important and you shouldn’t feel bad for doing so.

You feel like your money should be put to better use

You may also feel guilty about spending money because you feel like you could be putting it towards something better. Maybe you feel pressured to save your money or put additional money towards a goal or expense.

Spending doesn’t feel safe, especially now in a time of uncertainty, and you feel guilty about spending money because you are afraid of not having enough of it.

Guilt arises from a lack of planning. You feel worse about spending when your ducks aren’t in a row and you don’t know where you stand. Better planning permits you to spend by making you aware of your situation and the money that you have available to spend.

Make a plan to be sure that your financial goals and responsibilities are taken care of, and also plan for spending so that you don’t feel guilty about it later.

You’re buying things that don’t align with your values

In a world fueled by social media and influence, you may feel guilty after spending money because of the things that you buy. When you purchase things that don’t align with your wants, needs, or values, you may feel guilty after spending money.

Making purchases because of someone’s influence or to keep up with your peers can cause buyer’s remorse if those purchases don’t reflect your desires.

These feelings of regret and guilt can even cause you to feel guilty about spending money on things that you do actually want. After making a financial decision that you regret, that guilt can carry over and prevent you from spending on things that do align with your values and priorities.

How to not feel guilty about spending money

To be able to spend your money guilt-free, it is important to identify your triggers and make plans to handle your finances responsibly. Enjoying the benefits of your hard work is important too, and there are steps that you can take to encourage guilt-free spending.

1. Take care of your responsibilities

Check in with your financial responsibilities and your goals. Being able to see that you are still on track and making progress helps alleviate guilt. Many times when you’re thinking “why do I feel guilty after spending money?”, it’s because you feel like you’re not taking care of some other need or responsibility.

Track your finances to make sure your necessities and goals are being met, and to get an overall picture of where you stand. When you feel like you have a good handle on things, spending freely and without guilt becomes easier.

2. Determine what causes you to feel guilty after spending money

To answer the burning question "Why do I feel guilty after spending money" you need to determine what is causing this guilt. Is it your money mindset? Are you comparing your financial situation to others? Do you feel guilty about spending money on certain things?

It’s important to figure out what is triggering the guilt. Identifying what’s causing your guilt gives you a point of focus as you work through getting rid of it. You need to understand what it is about spending money that brings about these feelings so that you can eliminate those triggers moving forward.

How to not feel guilty infographic

3. Make a plan for your money

Now you know where you stand financially, and you know what causes your guilt. After eliminating those triggers, it’s time to take control of your money by making a plan for it. Budgeting helps take away the stress and feeling guilty about spending money.

Creating a budget is not meant to be seen as negative or restricting. It’s meant to provide guidance and help you see that you can afford to spend money. It also helps to eliminate you feeling guilty or feeling like you are always running out of money.

After making sure that your needs and goals are handled, give yourself a monthly allowance with the specific intent of spending freely.

Setting aside a portion of your pay to spend on things that you want cultivates a shift in mindset that alleviates guilt and anxiety.

For times when you feel like treating yourself, create a list of things that you want to buy. Since these are things that you want and are planning to purchase, you won’t feel guilty about spending the money.

You’ll feel better about spending on these things when it’s planned and there’s less room for impulse and buyer’s remorse.

If you are saving for a big ticket item, then you could consider a temporary spending freeze while you save for it or after you've made the purchase. This can also help you avoid guilt.

Proper planning allows you to get more out of your money. So create a budget to provide guidance, and cultivate an environment where you enjoy money rather than thinking that you’re wasting it.

4. Learn to be ok with spending money on what you value

Most of the time, we find it easier to spend money on others but feel anxious about spending it on ourselves. Don’t feel bad about spending on what you like, value, and enjoy! You work hard and you should be able to enjoy your earnings without feeling guilty about it.

If needed, cut back spending on things that aren’t important to make room for the things that you value. For larger purchases, plan and save money for that specific purpose so that you can spend freely and without guilt when it’s time to make the purchase.

Consider the positive aspects and feelings that come from value-based spending. What benefit will you receive from spending on the item or experience? How will it make you feel? Focusing on guilt causes negative feelings, so think about the positive aspects of spending on what’s important to you.

Stop feeling guilty about spending money!

You spend a lot of time working to earn your money, and you shouldn’t feel guilty after spending it. Budgeting and spending on things that are important and align with your values is not a waste.

Remind yourself that there’s no reason to feel guilty after spending your money on what you want. Next time you ask yourself  “why do I feel guilty after spending money?”, consider these tips to get rid of the guilt and enjoy spending without it.

Learn how to be emotionally balanced with money while working towards your financial goals with our completely free "Build a solid foundation" bundle! It teaches you how to transform your money mindset, organize your finances, create a budget, and make financial goals.

Also, tune in to the Clever Girls Know podcast and YouTube channel for money motivation and tips!

The post Why Do I Feel Guilty After Spending Money? appeared first on Clever Girl Finance.

]]> How Do I Shop My Closet Instead Of Spending Money? https://www.clevergirlfinance.com/shop-my-closet/ Sat, 11 Dec 2021 13:15:01 +0000 https://www.clevergirlfinance.com/?p=16173 […]

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Shop my closet

I decided to shop my closet, and you should do it too! Why? Because it can save you tons of money and keep you from buying clothes you don't need. How many times have you said “I have nothing to wear” while standing in a closet full of clothes? We’ve all experienced the stress that sometimes comes along with getting dressed.

All of us have had the urge to buy new clothes instead of making the most of our current wardrobes. When you get used to wearing the same outfits over and over again, you can find yourself in a clothing rut.

Although you’re neglecting most of your closet in favor of your go-to items, you may still be tempted to revamp your wardrobe. Before you spend any money on new clothes, try to shop your closet instead!

Wondering, "How do I shop my closet?" Here's how!

Shopping your closet will not only save you money, but it will help you learn to love your wardrobe. It will also help you tap into your personal sense of style while reframing your mindset about shopping.

Now that you’re ready to shop your own closet, how do you go about doing so? Here are the steps I took when I decided to shop my wardrobe!

1. Gather inspiration

I was able to shop my closet easier by pulling inspiration photos from Pinterest, Instagram, etc. You can also do this to help you determine what types of looks you like and define your style. Figure out what you like, what catches your eye, and see if you can create similar outfits by shopping your closet.

Keep your inspiration photos handy as you pull together outfits. You likely already own pieces that complement your desired style!

2. Declutter and organize your closet

If your closet is cluttered and overwhelming, it may seem more simple for you to just go out and purchase new clothes. Decluttering and organizing will make it easier to see what you already have and easier to shop your closet. Most especially if you feel like you've been hoarding clothes. As you go through the decluttering process, try on everything.

Do you like the item and enjoy wearing it? Does it fit properly and pair well with other items in your closet? Use these questions to help determine whether you should keep the piece or get rid of it.

After decluttering, organize your closet in a way that makes it easy to see what you have and find what you’re looking for. This really helps me when I shop my wardrobe!

3. Separate your basic items from your trendy pieces

Classic, basic items can be used to complete any look. Your trendy, novelty pieces are things that are worn less often or only for certain occasions. Separating these types of items makes it easier to pick out pieces that you know you need for a particular look while shopping your closet.

Put all of your timeless pieces together and all of your trendy pieces in a separate section. That way, you know exactly where to look when you need a specific item.

4. Break up your normal, typical outfits

If you find yourself wearing the same outfit over and over, try switching out one of the pieces with something that you don’t wear as often. Pair your favorite skirt with a top that you haven’t worn in a while. Or maybe pair a shirt that you wear often with a bottom that you wouldn’t normally wear with it.

By switching out one or two pieces and your accessories, you can create fresh, new combinations and outfits. While you’re creating these new looks, make the most of your wardrobe by wearing everything in your closet at least once.

The 30-day shop your closet challenge

The shop your closet challenge is a challenge where you don’t spend any money on clothes, or shoes and accessories, for 30 days. This challenge will definitely save you money, but it will also give you perspective on which parts of your wardrobe are actually necessary.

While this is a great way to learn to love your wardrobe, it can be difficult. Make it fun by creating a calendar to plan out your outfits. Or take a photo each day to track all of your looks. Follow these guidelines for the shop your closet challenge:

Use what you have

For 30 days, put together outfits using only the clothes that you already have. Instead of spending money on new items, get creative with your current wardrobe. Avoid shopping by utilizing and maximizing what you already own.

Put together your outfits

Build a base outfit using your classic pieces. Add a trendy piece to your base to complete the look. Switch out that trendy piece for another to create multiple versions of the same outfit! Don’t be afraid to step out of your comfort zone. Reach for those pieces that you normally ignore. This challenge is about saving money and sparking creativity.

Don’t buy any new items - only shop your closet!

It will be tempting to go out and pick up something new, but try to refrain! Break your shopping habit by resisting temptation for the entire 30 days. You’ll save money, become more intentional, and become more conscious of your habits and patterns. So, when you have an inkling to go buy clothes, tell yourself "I need to shop my closet instead!"

Benefits of shopping your closet

There are many benefits of shopping your closet that you will experience during and after the 30-day challenge. Here are some benefits you will reap when you shop your own closet:

You will save money

The most immediate benefit when you shop your closet is that you will save money. Since you’re not putting money towards new clothing items, you will have extra money to put towards a goal or another expense. That was the main reason why I decided to shop my closet but found that there were even more benefits to be had!

Awareness of your wardrobe

Shopping your closet also helps you become more aware of items that you want or need to purge. The overwhelm caused by closet clutter only leads to more closet clutter. Consciously shopping your closet allows you to see the areas of your wardrobe where you can afford to scale back and declutter.

Highlights gaps in your wardrobe

In addition to seeing where you can purge, shopping your closet also helps you identify where there are gaps in your wardrobe. When it comes time to acquire new items in the future, you will be aware of exactly what you should be looking for to fill in those gaps.

Maybe during the challenge, you find out that you need to invest in more classic, timeless items. Now instead of aimlessly shopping, you can be more intentional with your purchases and the items that you search for.

Allows you to be creative

During the challenge, you get to put together outfits that you don’t wear often. You get to try new pairings and get comfortable in looks that may be outside of your norm. Doing so will give you a better sense of your style and what you enjoy, or don’t enjoy, wearing.

You may even discover something new about yourself and your fashion sense while challenging yourself to think outside of the box.

Love your wardrobe and shop your own closet!

Before shopping for new clothes, challenge yourself to tap into the 70 - 80% of your closet that you usually ignore. You may be surprised what you learn about your spending habits and your sense of style while you shop your closet.

Use this as an opportunity to appreciate and love your wardrobe and to be more intentional moving forward as you continue to build a wardrobe that fits you.

Stay motivated to save more money with our completely free "savings challenge" bundle! It features challenges such as the $5 bill challenge, the 26-week savings challenge, and more! Don't forget to subscribe to the Clever Girl Finance YouTube channel and the Clever Girls Know podcast for more top tips on saving money and being fashionable on a budget!

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]]> Tired Of Being Broke? 7 Steps To Change Your Situation! https://www.clevergirlfinance.com/tired-of-being-broke/ Mon, 25 Oct 2021 11:42:21 +0000 https://www.clevergirlfinance.com/?p=14917 […]

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Tired of being broke

Have you ever felt like you were stuck in a cycle of having more money going out than coming in? Have you not been able to save consistently because of tight cash flow? Are you constantly saying to yourself, “I’m tired of being broke”?

You are not alone. 70 percent of millennials are living paycheck to paycheck and only bring home enough money to cover their expenses. That said, you can change your situation. But you'll need to plan, create better habits, and be consistent!

Why you might be tired of being broke

Living paycheck to paycheck can be stressful and make you feel like you are only working to pay bills. You may not be able to save as much as you would like or have the ability to enjoy your money without worrying. The constant anxiousness about what you can or cannot afford is exhausting and weighs on you mentally and emotionally.

Where you are currently may even be a result of something beyond your control...life happens. However, it may also be from bad financial habits or past decisions.

The good news is that your current financial situation isn’t set in stone. If you are tired of being broke and want to improve your finances, you can do so with some time and effort. Here's how to get started!

7 Steps to improve your finances if you’re tired of being broke

These seven steps to improving your finances work best if done intentionally and consistently. Over time, as you start to see results, don’t stop prematurely! Use that momentum as motivation to keep going, keep being persistent, and keep making progress.

Before long you will go from saying "I'm tired of being broke and always running out of money" to "I have all the money I need!"

1. Take control of your finances

The first step to changing your finances for the better is realizing that you are in control. No matter how you got into this situation, taking the reins and recognizing that you hold the power will lead to positive change. There may have been times when you felt or believed that money controlled you, but that’s not the case.

You have control over how much money you spend and how much money you make. You can also learn anything that you may not understand about personal finance and take action toward improvement.

2. Adjust your mindset

You have probably heard many people say that to make and maintain positive change, you need to think positively. It is really easy to see the negative when you’re broke. Shifting your mindset from negative to positive will motivate and encourage you if and/or when things get tough.

It will not always be easy, but a positive money mindset will go a long way. Additionally, actively working on adjusting your mindset will change your behaviors and help you make better decisions. You behave differently when you have your eyes set on a positive outcome.

If you find it difficult to cultivate a positive mindset, try writing down all of your negative or limiting thoughts and beliefs. Think about how these thoughts may have shaped your financial habits. After you have completed the list of negative thoughts that you have about money, see if you can counter each one with a positive thought.

The easiest way to do this is with positive affirmations. For instance, rather than thinking "I'm tired of being broke" think, "I have an abundance of money!" Shifting your mindset helps switch you into action mode. It also takes away some of the anxious thoughts about money and serves as motivation when you begin planning and budgeting.

3. Create a budget

Now that you are beginning to work through and master some of the mental roadblocks, it’s time to crunch some numbers and move into the more tangible actions.

If you don’t have a budget that you can reference, set aside some time to create one! This is one of the most beneficial things you can do in planning and digging your way out of being broke.

Start by making a list of all of the money that you have coming in and all of your expenses. To help you assess your current expenses and spending habits, look through past bank and credit card statements to see where your money has been going. This will help you to see the areas where you may be able to cut back.

Choose the right budgeting method

Once you know your current position and your spending habits, create a physical or digital copy of a budget for your next paycheck.

You can make this easier by choosing the best budgeting method that you can stick with. For instance, some find the 50/30/20 budgeting method helps them save more money.

This method has you allocate your income into percentages across your expenses, spending money, and savings. So, 50% goes to your needs such as housing, food, etc., 30% goes to your wants, and 20% goes towards your savings!

You can simplify this method even further by using the 80/20 rule. This rule is simple to follow because you use 80% towards needs and wants and save the other 20%. Other budgeting methods include the 70-20-10 rule, 60-30-10 rule, and the 30-30-30-10 rule.

There are many different budgeting methods and tools to choose from. So don't feel stuck if one doesn't work. You can try different methods to see what helps you save more money so you won't be tired of being broke anymore!

4. Be more frugal to stop being broke

Now that you’ve identified categories where you can cut back, reduce the allocations for those areas. Reducing your largest expenses (housing and transportation) instead of nickel and diming the small things will make the biggest impact when trying to get your expenses lower than your income. 

If you can do so, consider decreasing your housing expenses by downsizing or moving to a less expensive home or apartment.

You may think about reducing your transportation expenses by getting a less expensive car or, if you have a car that requires a lot of repairs and maintenance, getting a car that you can put less money into.

Also, be more frugal in the other areas where you spend the most money. Here's a great list of things to do when you are broke!

Use coupons and cashback apps

Use coupons to save on groceries and other household necessities. Apps like Ibotta and Fetch Rewards will give you rewards or cashback for purchasing certain items or scanning your receipts. Start couponing to save money if you're tired of being broke!

Meal prep and cook at home more often

The convenience of takeout will eat up (no pun intended) a lot of your budget. To be more frugal and avoid going over budget, prepare more of your meals at home. You can even save money by planning your meals around your grocery store's weekly ad.

Try a no-spend challenge

Take a break from shopping for items that aren’t necessities. A no-spend challenge is a fun way to test your discipline and become more aware of your spending habits.

It will also help you be more intentional about your spending and decide how you can get the most bang for your buck.

Overall, make a plan for your money. Take control and tell your money where you want it to go.

5. Save for emergencies

Having an emergency fund is essential if you are tired of being broke. Once you have your budget in place and have reduced your expenses, you can start saving and setting aside money for emergencies. Unexpected things will pop up, and having emergency savings will help you not go deeper into debt.

Being proactive and saving money “just in case” will reduce some of the stress when these situations arise. Use the money that you are saving from reducing your expenses and spending to start your emergency fund.

6. Increase your income

Cutting your expenses is a quick way to start seeing progress, but realistically you will only be able to reduce your expenses by so much.

You’ll eventually get to a point where you aren’t able to continue reducing. While it is going to take some time and effort, at some point you’ll need to increase your income.

If you can increase your income while simultaneously reducing your expenses, then you’ll work your way out of being broke even quicker! To increase your income and bring home more money, you can:

Negotiate a raise at your current job

Research salary data and find out how your salary compares to other salaries for similar positions in your area. Sites like Salary.com and Glassdoor.com allow you to compare salaries based on your skills and title. Make a list of your accomplishments, and be prepared to have the negotiation conversation when the time is right.

Find a new job that pays more than your current job

If you aren't able to negotiate a raise, find a job that pays more than you're making currently. Moving on to a new job is often the best way to get a larger increase in pay. Plus, you can find a job you love while you are at it, so it's a win-win!

Monetize a hobby

Do you have a hobby that you enjoy and work on when you have downtime? Figure out how you can sell the things that you create, and make some extra money in your free time. Check out these 40 top money-making hobbies for ideas!

Become a freelancer or start a business

Start a service-based business or become a freelancer using the skills that you already have. You likely already have some skill(s) that are in demand, and you can leverage your skills and knowledge to start a freelancing side hustle or begin building a business of your own.

7. Create a debt repayment plan

You have created a budget, started an emergency fund, and increased your income. Now that you have a bit of wiggle room in your cash flow, you can get more aggressive with paying down your debt. Getting out of debt is the best way to change your financial situation if you are tired of being broke!

So start by writing down all of your debts and the payments for each. From there, you can decide on a repayment method that works best for you. Two of the most common methods are:

Snowball method

The snowball method is a great way to tackle your debt. You start by paying off your debts, starting with the one with the lowest balance. You’ll pay extra towards your smallest debt and just pay the minimum payment for your other debts.

When you pay off that balance, you move onto the debt with the next lowest balance. Using the debt snowball method and watching your smaller debts disappear will build momentum and keep you motivated.

Avalanche method

The avalanche method will help you save more money because you pay off debts starting with the highest interest rate. You’ll pay extra towards your debt with the highest interest rate and pay the minimum towards the others.

Of course, this may take longer to pay off the first debt because the debt with the highest interest rate will not necessarily be the debt with the lowest balance. But it can save you some money in interest in the long run.

Whichever method you choose is up to you and what you place more value on! The snowball method is good if you need quick satisfaction with small wins.

The avalanche method is better if you want to save more money in high interest and can stay focused even though it seems like it's taking longer to pay off debt.

You can change your life if you're tired of being broke!

Being broke can be mentally and emotionally exhausting. Breaking the paycheck-to-paycheck cycle and getting to a point where you’re living within your means will come with sacrifice and some bumps in the road as well.

However, being able to save and enjoy your money is definitely worth the work. With some time, effort, a shift in mindset, and practicing better habits, being broke will become a thing of the past.

Are you ready to transform your money mindset and take control of your finances? Enroll in our completely free "Build a solid foundation" bundle! Stay motivated to change your financial situation by tuning into the Clever Girls Know podcast and YouTube channel!

The post Tired Of Being Broke? 7 Steps To Change Your Situation! appeared first on Clever Girl Finance.

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