Sometimes we lose our way…. sometimes we are shown a different path… sometimes we haven’t a clue about what to do next to get some of our house in order. Today I want recap a simple process you can use to get started tapping into where the biggest stress lies in your regular, normal financial life!
What’s more, to begin to have a little more fun in your life! Let’s get started.
1. Practice asking for a whole bunch of “wanting.” That’s right – dream big! Sit down and make a list. This doesn’t take a lot of time – so go for it! Then, notice if any beliefs and little voices come up that tell you to stop, or you’re wrong to dream! What do you want? more of $$, time, energy, love, things, relationships, and what else?! I’ll speak to how to remove some of those voices and beliefs – next article!
2. Next, do a visual breakdown of your current financial state of affairs – you need to know where you are before you can move to where you want to be! Find a simple net worth template and fill in how much you own, how much you owe and subtract the 2 to find your net worth.
3. Using this simple formula, calculate to find out where you “could” be if you saved and invested over the past decade: Your age x .01 x your annual salary.
These first 3 exercises are designed to paint a visual of your net worth. So for the first exercise, net worth, you want to see your overall picture of how things are in the present moment. They also show you where you are the most stressed right now. It’s important to narrow this down.
Then exercise 2, wealth indicator formula helps calculate accumulating assets only and offers you an idea of where you could be.
This Stanley formula (taken from Dr. Thomas Stanley who wrote “The Millionaire Mind”) by multiplying your age by 10% of your annual income is a reality check to find out how much assets you have saved, invested in, or in some way built for your future.
So for example, filling in the net worth spreadsheet allows you to see for real where you stand financially.
Then calculating the formula gives you a perspective of where you could be with assets.
If the 2 are way far away from each other, there are leaky holes! And those are found doing this next step – list of expenses exercise.
4. List as many expenses as you can think of that are actually leaky holes – I think you know what leaky holes are, right? They are those habits and holes where your money seeps away from you without you even knowing – like spending too much on special coffee when you don’t have the extra in your pocket. Or shopping with you don’t need it! Or paying for a service you don’t use, or giving your kids money every time they ask… even if you don’t have it!
5. Now we’re going to go a little deeper. What do you want that has even more emotional impact for you? Here’s how to find these. Check through your list of “wantings” and narrow down the reasons behind the items you want so badly – these then become your top 3 values: things like freedom, independence, love, joy, harmony and so on.
6. Take your values a step further… develop some goals on how to meet the values – pick just one to begin with and create some goals.IFor example, if you want more fun or joy, set a games night with your family at least once a week. That’s a goal.
7. Now… narrow down that goal. A goal that is reasonable you can achieve in these 30 days or so, and maybe another one in 6 months, 1 year, and so on. All these goals meet a value. So in order to have a games night, check with each family member and set the dates. Fnd out when each of you can meet, shift your plans to accommodate and decide what to do to have more joy and fun! See what I mean?
8. Finally, the biggest challenge is to find out what blocks, roadblocks, energy walls get in the way of you taking action steps to show the universe you are serious! Will you plan, but not take action to speak with each one to find out when to do this. Maybe they don’t want a fun night. But you do! Even if you are alone, what can you do to have some fun at least one night a week?!?
9. And don’t forget – enjoy!!!