So, you’ve shifted your mindset: you see the potential for abundance and your life and you’re ready for the cash to roll in. But now what? It’s time to take action. By getting the wheels in motion, you get closer to earning what you deserve. This is the second in a series of posts on the seven strategies used by high earning women Barbara Stanny interviewed in her book Secrets of Six Figure Women. You can check out the first post on shifting to an abundance mindset here! According to Barbara’s insights, here are a couple action steps you’ll want to take.
Step One: Get Clear
The first step is to get clear on where your finances are right now. You need to know what you have in the bank, how much you are spending monthly, and what and whom you owe. If you are currently ignoring this information, you cannot move forward until you face these numbers. In her book, Barbara gives many examples of women who have changed their patterns with their finances. Many had to stop overspending in various areas, some had to pay off credit card debt or stop using credit cards altogether. But they all had to first examine their current behaviors and then think about where they wanted to end up and make the decision to make change. If you’d like a guide for this step, check out my post Three Steps to Financial Clarity.
Step Two: Make a Change
Making changes may include trying new strategies with your spending and saving. It may mean not using credit cards at all, or seeking out someone to partner with to make change, like a money buddy or accountability partner. One of the women interviewed actually set up a system of saving one third of her income, setting aside one third for taxes and living off of one third. This may not be a feasible option for every income level, but setting up and automating some percentage of saving is a great place to begin. You can read my article about automation for more resources. The author points out that when you do make a change, “each step builds to the next, increasing confidence, competence and resources.” With that in mind, the best thing to do is pick an idea, try it, and see if it does some good for your financial situation.
Once you’re on your way to making changes, it’s good to know the keys to managing your money. Barbara points out three key steps to successful money management: spend less than you earn, pay yourself first, and then put your money to work. This last step is often the trickiest. Many people are tripped up by fear when it comes to investing and building wealth. That’s why we’ll going in depth about it next week, when we’ll talk about wealth building. I haven’t talked a whole lot about this here, beyond a few ideas about retirement prep, so I’m excited to get more into it!
If you think you’d be able to take more action with the guidance of an accountability partner, I’m always here to help. Take a look at my services, book a call, and let’s have a chat!