Perhaps you can relate? Your life and finances feel out of control.
Maybe your car needs a repair, you have some unexpected medical bills, and then your A/C goes out. Ouch!
You feel behind, and things kind of spiral from there. It’s almost like, “Oh well, I guess we just put it on the credit card and deal with it later.”
Sometimes, your life feels like a mess. Or maybe you are overwhelmed with your finances. In these instances, it may feel easier to put your head in the sand and ignore the noise.
But I’m here to tell you that can’t do that. It will eventually catch up to you, and the consequences will be amplified.
What you want is to do a complete reset — start with a blank slate, wipe away all of the mess, and begin to build a life you’re proud of.
But how? It can all feel so overwhelming.
I recommend starting with small actions.
Start small, but start. Focus on the power of small actions.
It sounds so simple that it can’t be that important, but it’s perhaps the most important thing you can do.
It changed my entire life. I was once in a similar situation, feeling overwhelmed by my finances. But by taking small actions, I managed to turn things around. And I’ve seen it change the lives of my clients, too.
Let’s take a look at how it works.
To Start: Lay Out a Simple VisionÂ
Before we get to the small action, I’d like to advocate for something important: create a very simple vision of what you’d like your life to be like.
It might seem daunting, but I’m talking about a very simple vision. If you could start with a blank slate, what would you want? It could be as straightforward as being confident about your retirement savings or being debt-free.
For example, maybe you’d like to be confident that you will have enough money to retire, you want to break free from your mountain of debt finally, you want to be able to spend freely without guilt, you want to be able to put your kids through college debt-free or you want to be able to take that dream trip to Europe.
It can be that simple: think about the life you’d like.
Take a walk, sit in nature, and let yourself dream. What would make you feel really good? As you think about this vision, imagine that it can happen. How does it make you feel? Let yourself be inspired.
You don’t need a detailed vision, nor does it need to be complete. Just something to start with.
As you think about this vision, imagine that it can happen (set aside the doubts for now). How does it make you feel? Let yourself be inspired.
Now Practice Small Actions
Most people will stop here because they feel intimidated, overwhelmed, or resigned to the idea that it’s not possible. Don’t stop here!
What I encourage you to do is start to practice really small actions, every day. These are actions that are so small, they might seem insignificant. But they’re not. They’re manageable, and they add up over time.
Just pick something small and do your best to take that action. Do it several times a day – up to 10 times a day if you feel motivated. If you’re not motivated, take just 1-3 small actions that day. But try to take at least a small step or two just about every day (and forgive yourself if you miss a day).
What are small actions? Here are some examples:
- Use an online calculator to get an idea of how much you will need to retire
- Write down all of your debt balances
- Dedicate some fun money to spend without guilt
- Skip the lunch out and apply that money towards your debt
- Open a 529 account for your kid’s college and contribute a small amount
- Research what your trip to Europe would cost you and what your itinerary would be
- Find a financial coach who can support you
As you can see, most of these (if not all of them) are super easy. Sometimes they might feel too easy.
That’s perfect! Do a bunch of actions that feel way too easy.
If an action feels too hard, then do a smaller, easier version of it. For example, if you want to open a 529 account, but it feels too hard, start by just taking 10 minutes to read about the benefits.
Track Your WinsÂ
Money is emotion, and winning with money is even so. If you’re beating yourself up for your current financial situation, it makes it difficult to overcome those feelings.
Please write down your small money actions when they happen. I use the notes feature on my phone to keep track. Over time, you will begin to stack up a lot of wins. And those wins will translate to progress. Progress will become momentum. Momentum is life-changing. Seeing your wins on paper can be a powerful motivator and a reminder of how far you’ve come.
In the end, these small actions create a “financial reset” – you are making a new life, one tiny action at a time. Instead of doing your default, you’re trying something different. Give this financial reset some time – a few weeks, a couple of months – and you’ll see a ton of change.
