The process of getting out of debt is as much physical work as it is mental. Making changes in our life style and our mindset is such a difficult but important step.

I have found that there are four very important aspects to this process that need to be remembered and achieved in order for you to reach the level of success that you strive for.

Those aspects are the four “p’s” of debt reduction

1. Positivity
2. Planning
3. Practicality
4. Perseverance

Like many of you, I am in a great deal of debt. In fact, I am in more debt now that I was when I decided to start tackling my debt. It hasn’t been an easy road for me due to divorce, unemployment, loss of a car and a move that was out of my control. It was until recently that I had my first real success in my debt reduction.

I paid off my first credit card!

It was a great day to see that account balance at zero but part of me kept thinking “you have so much farther to go.” I wanted to share with everyone my success but kept adding in a “but” every time I told it.

That had to end and I had to remember the first “P” in debt reduction: Positivity!

Keeping a positive attitude during my debt elimination process has been difficult at times. I have fallen to frivolous spending and impulse purchases. I have spent money that could have gone towards debt when I needed a “pick-me-up.” I have spent times feeling down and depressed over my situation.

Whenever I have let those feelings seep in, my dedication to becoming debt free wanes. Maintaining a positive attitude is essential to this process. It is normal to lose that feeling from time to time but it is important to have steps in place to regain your positive attitude as quickly as possible.

Everything is easier when you have a buddy. Debt reduction is no different. Whether is a girl friend, a spouse or an entire message board, find someone who will allow you to vent but then help pick you back up.

Keep an arsenal of ideas in mind for when times get tough. What can you do to build your positivity back up?

• Is it spending the day at the park in the sun?
• Will volunteering with those who are less fortunate than you help?
• Is it coffee with a friend that helps cheer you up.

Whatever it is use those times when positivity is less to do them.

Planning is essential for the success of your path to freedom. Having a plan for where your money will go and how you will earn extra money is key. Have a plan that celebrates your progress and continues to push you forward in these efforts.

Have a plan for what to do when you want to spend money.

• Are you going to contact your buddy or spouse whenever the bill at Target reaches $50?
• Maybe you need a plan in place for what to do when you just really want to eat out for dinner (I suggest you have a list of some super easy meals that you can make within 30 minutes that keeps you from eating out. Perfect time for “Breakfast for Dinner” night!)

Plans can change and you should expect that. As you learn more about yourself and your relationship with money, your plan will evolve. This is great. As long as you always have a plan in place, your opportunities to lose momentum will decrease.

Practicality can come in many forms. It can mean being honest with yourself and about what you REALLY need.

• Is it practical to have cable AND Netflix?
• Is it practical for you and your family to have $200 a month in an entertainment budget?

It can be the devil’s advocate to impulse purchases. Asking yourself “is this practical” can save you from buying something you can survive without. For example, I was at Target the other day looking at kitchen gadgets. I am an avid cook and have been slowly trying to accumulate what I need in my kitchen. I wanted to buy a vegetable chopper (you’ve seen them on informercials, it dices the veggies perfectly every time) but I stopped myself to ask “is this practical?” The answer was “no.” While it would have been great to have because it would save me time in the kitchen, I do not need it. I can take an extra 10 minutes to chop up veggies.

And that easily I avoided spending $24.99. Practicality!

Perseverance is the final “p” of debt reduction. It is also the only way you will accomplish your goal of being debt free.

Perseverance is the result of failing and then picking yourself back up and trying harder. Let’s face it, at times you will fail. We have all done it (and more than likely will again). Anyone who has fought their way out of debt has had a weak moment and given in to impulse. The important thing to remember is to not backslide, just get back in the saddle and try again the next day.

Every time you fail and pick yourself back up, you grow stronger. You become more determined and you increase your momentum. Failures spur on the process when you do not allow them to take over. Use those moments to grow as a person.

The journey out of debt is a difficult one. At times it is depressing and can feel like it will never end. But staying positive, sticking to your plan, remaining practical and persevering will make this journey something you will never forget!

photo credit:

1: The Consumerist (text added by me)

2: LifeSuperCharger

Last week Team EOD member, Jana gave you some great ideas for free or inexpensive indoor activities that you can do this summer. Today I want to give you some activities to do outdoors that are budget friendly and super fun!

Keep with What Works

The traditional outdoor activities should definitely not be over looked. A trip to the park for a picnic and romp on the playground will never get old. You can take the fun up a notch but being a kid yourself. Nothing gets those kids laughing more than watching their grown-ups acting silly and having a good time.

To make a trip to the park different, add an extra element to it. Go on a walk around the park in search of items that can be used for a nature collage. Find leaves, sticks, unique looking rocks or maybe even a feather or two that you can add into the art. Snap a quick pic of the kids playing and print it out then frame it with items from the park for a keepsake to remind you of the fun you had.

Have Fun in Your Own Backyard

Some of my most fond memories of childhood involve my backyard. My brother and I staged some huge productions along with our mom and neighborhood kids. I can remember having outdoor forts with sheets that had been draped over the swing set, the fence or a tree. This was perfect for enjoying some shade and having a picnic.

We had a large outdoor grocery store one summer too that I will never forget. None of that plastic food for us either! My mom saved boxes, jars, cans and even a bread bag for us to use in our store. I always thought it was great the way she put a brown paper sack in the bread bag to make it look like wheat bread was actually inside. We had a blast playing this outside.

Bike washes were fun too. Get some soap and water in a bucket to wash it all down. Then hang a water hose up on the fence or a tree branch and drape it down, ride your bikes through like a car wash. If you end up in a water/soap fight, even better!

Stop and study the clouds. Lay down in the backyard and find pictures in the clouds. Then when you are finished, complete and art project that reminds you of the fun you had.

Volunteer Your Time for Fun

Want to have fun and do something good for others? Take the kids out to volunteer in the park picking up trash; whomever picks up the most trash wins the “Volunteer of the Day Award.” Or check out the area animal shelters, the dogs love taking walks around the area and the cats wouldn’t mind a few minutes outside for a brush down. Whatever you choose for your kids to do, make it fun, volunteering shouldn’t be something people dread doing.

Go on a Treasure Hunt

One of my most favorite and inexpensive ways to enjoy times with the kids is through GeoCaching. In my house, we call it “treasure hunting.” GeoCaching is a great way to enjoy the outdoors, build relationships and work as a team. You’ll need some sort of mobile GPS, most smartphones have this capability now (handheld GPSs are not cheap) but otherwise this is a completely free activity.

GeoCaching is like a treasure hunt. Someone has hidden a box or container, a cache with something inside at a specific location. They will upload the coordinates to a website so that others can begin searching for it. Many will have themes, I once saw one that contained only orange items. They will have small trinkets inside and maybe a notebook too. When you find the cache, you will typically leave something with it and sometimes take something with you. Some families have a signature item that they always leave, others may bring a calling card. What you leave is up to you and the theme of the cache.

To go on your first treasure hunt, log into the official Geochacing website and type in your zip code to find caches in your area. I live in a relatively small, rural town and there was nearly 2000 caches listed within 25 miles of my zip code. Each listing is ranked according to it’s level of difficulty to find and will also have a dated listed to let  you know when it was last found. You will need a premium membership in order to do everything with the site and it may be worth the money down the road (Take it from your entertainment budget!) if your family finds that you really enjoy this activity.

This is just one of many other websites like it on the internet. You can find loads of information about this fun activity. You can also add this to your vacation plans. Find caches that are local to your destination. If you are going on a long car ride, break the trip up part way to find a cache and get the kids out of the car. Even better, plan your entire vacation around finding caches! Imagine the fun you could have and the places you could see along the way!

There are so many things to do and enjoy this summer that doesn’t have to cost a lot of money. These are just a small handful of ideas. Are there any that you enjoy doing with your kids, friends and family?

Enjoy the summer!

Photo Credits: Pic 1 from dirk.olbertz  and Pic 2 from luis perez

So you are in debt (I am too!). Are you following a plan like something that Dave Ramsey lays out? I know Brad followed it and it was super successful for him.

I have a problem following Dave’s plan for a number of reasons. Number one being motivation.

I am definitely motivated to get out of debt. However, I lose that intense, uber-addicted-to-debt-reduction feeling from time to time.

I do a lot of thinking about the psychology behind debt and money. I’m very intrigued by the differences in how people relate to money. I think there are many different ways to become debt free and you really have to find what works best for you.

Brad and many others have found that following the plan Dave Ramsey sets forth to be a great way to get debt free. And it truly is a great plan. The end result of being debt free comes quicker than most other plans but during the time you are paying on your debt, you will make a great deal of sacrifices. Those who are following a plan like this can usually keep their eye on the prize and that is motivation enough.

But there are some people who need a break in their debt repayment plan. They may choose to go with another plan. One option is to pay off your debt, still live modestly but also put some money aside that is earmarked for something else. Whether it is a new-to-you vehicle, a vacation or a new outfit, saving up for “something” may be enough motivation to keep your head in the game.

I have a friend who has been working very hard at eliminating all of her consumer credit card debt. She finally paid off their last debt and was so happy. Now she’s left with student loans and a mortgage. She is worried, though. They have 3 kids, a home and aging cars. She wonders if it would be wise to save up a 3-6 month emergency fund before diving into her student loan debt, the way Dave Ramsey suggests.

I reminded her that there is nothing wrong with doing something different than DR’s plan. There is a reason that this is called “Personal Finance.” That is because it is PERSONAL to each person. What worked for Brad does not work for me and what is working for me may not work for you.

I am struggling with paying off my debt. I have only just got my snowball to do a little rolling and I’ve been very excited about that. However, I’ve been debating how I’m going to keep moving forward. I have opportunities ahead of me that involve spending money. Money that could be going toward debt. I have held A LOT of guilt over spending that money because I feel like I “should” be doing absolutely everything I can to pay on my debt. I’ve felt like I had to follow what DR says and put every penny towards debt while I continue to pass on some fun times.

I have begun to let go of some of the guilt.

I have come to realize that I don’t have to follow what people like DR say, no matter how much sense it makes. I need to do what works best for me and what will keep me moving forward in the long run. I have two chances to travel coming up in the next 6 months and I’m going to take them. I’m still going to work very hard to pay on my debt and put extra money towards my debt when I can. But I’m also going to continue to put money aside for these trips.

What works for me, may not work for you and that is ok.

The goal for those of us in debt is to NOT be in debt. The route you take to get there can be different for each one of us.

Photo Credit: aussiegall on Flickr

You may have heard that the Mega Millions Lottery has a HUGE Jackpot tonight!

You did hear that right? It’s not really talked about all that much.

If you are anywhere near the television, internet, radio, a store or people in general then you’ve heard. The internet is full of blog posts where people talk about all the things they would buy if they won.

I wrote a post today too. I didn’t focus on what I would buy because I found out something about myself.

I’m not mentally ready to be wealthy!

I know it sounds weird to say that given I’m in debt, a lot of debt. I should want to be wealthy, and I do WANT to be wealthy. I just don’t think that I’m mentally ready to be wealthy.

I had a conversation about winning the lottery with my children. Our topic of discussion centered around what we would buy. A new car? Check. A house, maybe two? Check. Someone to clean those house? Big time check! The kids wanted to go to Disney World and buy all the Lego’s that they could find.

What is the common denominator in all of that list?

Stuff! I am still wired to consume.

I’m disappointed that my first thought wasn’t in helping others (Although it was in paying off all my debt, that is still my financial priority.). No one needs a $600 Million in the bank. $100 Million will be just fine for the next four or five generations of your family.

The remaining $500 Million (yes I’m ignoring the tax ding here, go with it.) could be used to send people to school to learn a trade and improve their lives with better work. It could help set up homeless families who need a hand up to set them on the right track. It could be donated to the many wonderful research foundations who are trying to end diseases like cancer, Aids, heart disease and stupidity. It could fund financial literacy curriculum’s in hundreds of school systems across the country (Imagine providing all those children with the tools they need to never have to dream about winning the lottery in hopes of avoiding debt.)

What type of mentality would you have if you were wealthy?

Would you be more likely to spend your money like some of the lottery winners who have been featured on television shows? I saw one guy who had a house FULL of crap stuff. He bragged about the large number of knives he had on the wall and the body of armor standing by his door. He beamed when he talked about how he had a statue near his pool that was 1 of only 2, the second being at Walt Disney World.

He made a comment that has always stuck with me. (Paraphrasing here)  “If I want my money to keep growing, I just don’t buy something one day.”

Is that a healthy mentality to take? In my opinion it is not.

A recent news piece that I saw was about a woman who had won $1 Million in her state lottery. She was still using food stamps because (again paraphrasing) she “wasn’t earning an income and do you know how expensive two houses are?”

Hopefully the majority of us would do something positive with the type of money that is available in tonight’s Mega Millions Lottery. I want to think that we would all donate large amounts of money to many different charities and help out others who aren’t doing as well.

For me, I won’t be buying a lottery ticket. I already blew $10 this week on the lottery and I’d rather not do it again. Besides, the chances of winning when it’s this big is far greater than when it is $5 Million. I can still do great things with that “little bit” of money.

 Photo Credit

I have a 1994 Mercury Grand Marquis (His name is Marquis Mark!). I purchased it from a friend a year and a half ago for $500. Since that time I have put about $1,500 into it. This was done about a year ago to keep it safe and to fix a couple of oil leaks.

I have been saving money for another car once this one dies. But given my situation (living in a fairly rural town without any friends or family nearby), I am worried about being stranded should it break down on me. Therefore I have been thinking about getting another vehicle before it actually dies on me. Also, it is hell on gas consumption.

Marquis Mark is showing signs of struggle. I have to add oil to him every month, sometimes as much as 3 quarts. It has been totaled twice in it’s life time, the last of which was not repaired. Three of the automatic windows do operate properly, the material on the ceiling is hanging down in the back and probably most noteworthy is the leak. When it rains, my car floods! I have had, literally 2 inches in the back of my car. It appears to be coming in from underneath. Due to some internet searching that I have done, I think there is a leak in the rear window and the water is flowing in under the seats.

Needless to say, Marquis Mark is not going to last for very long. I have been trying to put away some money to buy another car very soon and in the meantime, I’ve had this crazy idea to help defray some of the costs. But what do I do with my car when it is time to get rid of it?

 Should I donate or sell my car?

I think I could sell my car fairly easily for about $500. Kelly Blue Book says that the value, in Fair Condition is about $1,200 but I don’t think I’d list is as fair. It runs, for right now.

I could donate my car to charity and use it as a tax write off. I’m self employed and can use all the exemptions that I can get.

So which do I chose?

When donating a car, there are a couple of points that are beneficial to know.

1. In 2011, the IRS began to require a proof of sale with your tax return when you donate your car to charity and plan to deduct more than $500 from your taxes. When doing this, you’ll need to wait until the charity sells the car to find out the sale price of the vehicle. That is the amount that you can deduct from your taxes.

2. Often times the charities need to use a third party to actually sell the vehicle. This reduces the amount of money they receive.

3. Be sure to research the charity that you are donating to, there are many who may not be using a large percentage of the revenue to benefit those in need. Contact the charity directly before donating and if you still have questions, contact the Better Business Bureau to truly determine if they are a worthy cause.

In the end, if you truly want to make a difference for the charity, sell the car yourself and give them a check for the full amount of the sale price. You will still get the tax deduction and the charity will be able to save money by only receiving the cash.

My Decision?

I think when the time comes I will sell the car and put all of the money that I make into a savings account. That way I can earn some interest on it until it is time to pay taxes. I would like to be able to donate more money to charities but right now, while I’m still in debt, I think it needs to be put on hold.

Anyone want to buy a car?

One of the main driving forces behind my own blog, The Debt Princess is to stop others from going down the dark path that debt took me down. I want to remind people of the dangers of debt and encourage them to take care of their own finances. I also try to encourage my readers to speak to their own children about money.

I am working diligently with my own kids to make sure that they are not following in my footsteps. Offering allowances in exchange for chores, is one great way to teach about money. I like to be more secretive when I am teaching my kids about values that I find important. I don’t want to appear as if I’m preaching on a regular basis. One of the ways I am doing this is to find moments throughout our day to teach to them. Some of the moments are spontaneous and authentic, while others are more planned.

At The Grocery Store

There isn’t a better opportunity to teach your children about money than when you are out shopping. Discussions about regular price and sale price as well as using coupons and budgeting are easily had while walking down the aisles.

On a recent shopping trip, I had my 9 year old be responsible for our budget. He held the cash and the calculator. As I put items in the cart, he added them up and kept track of the grand total. I sabotaged him slightly by buying more than what was on our list.

I posed him the question, “What we have in the cart cost more than the money that we have. What should we do?” I was happy to hear him choose to put back the two extra treats that ended up in the cart.

Family Game Night

We love family game night in our household. There are so many teachable moments built into the hours of fun. Not only can they improve on their academic skills but also sportsmanship, deductive reasoning and the rules of fair play.

I have made sure to include specific games into our rotation to help with my children’s financial education. I love the games Payday for my 9 year old and Monopoly Jr. is great for my 6 year old. As they get a bit older, The Game of Life and Monopoly are great choices and ones I can’t wait to play with my boys.

Story Time

Another great time to sneak some financial education into your day is at story time. Whether you are reading a story to a preschooler or one who is older, you can find plenty of books on the topic of money and finances.

A quick trip to the library will net you dozens of books in both fiction and non-fiction. One of our favorites is Alexander, Who Use to Be Rich Last Sunday by Judith Viorst. This is a great lesson about spending your money on impulsive purchases. A definite must for anyone who wants to include teachable moments into their day.

These are just a few ideas on how you can incorporate financial education into your child’s life. There are bound to be more opportunities for you and your children to discuss money.

Can you think of any other times when financial education can be incorporated?

Scrapbooking. Spa Days. Golf. Sewing. Travel. Gourmet Coffee. Smoking. Clothing. Dining Out.

Hobbies are meant to be a time to relax, release some stress and have fun. Hobbies are enjoyable because they are always something you enjoy.

Habits are formed for similar reasons. They can help you relax, help you release stress and occasionally bring fun to your life as well.

All of the activities mentioned above are either habits or hobbies. And all can be budget busters when allowed to be. Some people may feel that they have to give up the things they love in order to save money.

In the case of the habits, many of us would try to break those but if that isn’t an interest for you, it is good to know there are cost-saving alternatives.

 *If you have read my own blog, you will know which one of those hobbies got me into a lot of trouble financially and why it is important for me to mention it.

Many habits are not healthy for us but breaking yourself from it may be something that you can not do at this time. Start with the good alternative and then work your way to the better one. It doesn’t have to be all-or-nothing, sometimes it is fine to wean yourself slowly.

 (Dining out could also be considered a hobby as it is something that people do regularly for the entertainment value.)

In the case of the hobbies, it is very important to remember that they are important to your sanity. Paying off your debt and sticking to a strict budget can be very stressful, use these alternatives to take the some of the damage out of potential budget busters.

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For many of us, myself included, squeezing money out of your budget takes a lot of fancy footwork. Finding ways to save the money to build up your emergency fund or save for a new car when things are already tight requires numerous income streams.

Often times you can not make room for a second job and that is when using your imagination, your dedication and the few minutes of free time you can carve out of your day to make extra money.

This list, when separated, may not bring a lot of extra money (accept for the first one) into your savings account. But when all are added up, they can bring you hundreds (and maybe even thousands) of dollars in revenue.

1. Pay Yourself First – I’ve heard this phrase time and time again, as I’m sure you have too. It didn’t make sense to me for awhile until I automated the transfer to my savings account and then set my budget for the amount of money I brought in after that automatic transfer. It’s extremely important to think of your income in the terms of this post-transfer amount.

2. Increase the Automatic Transfer – If you’ve set up your automatic transfer into your savings account with each paycheck but want to increase the amount, doing so gradually will be the best way for extra dollars to go unnoticed. You will want to increase the automatic transfer by a small amount each pay period until you reach the amount you are aiming for. For example, if you regularly transfer $50 each week into savings but want to transfer $75, try changing the amount in $2 increments each week. The first week, $52, the second week, $54, and so on. If you get to a point when you are running short of money, take a step back and hold at the amount you are currently transferring. Try to increase it again in a month or so.

3. Use Coupons – Yes, we all know that coupons save you money on your grocery budget. I suggest we make those coupons work twice for you. After you have completed your shopping, take the amount of money you saved and put it into your savings account.

4. Stick to Your Budget & Reward Yourself – When your budget is set, don’t just stick to it, try to come in under. Any amount you don’t spend for each category at the end of the month goes into your savings account. If you allow yourself $40 for each week of “free money,” then do your best to come in as low as you can. Any money that you do not spend goes into your savings account.

5. Keep Your Change – Whenever you buy something with cash, use whole bills. At the end of the day all coin that you have received back goes into your change jar to be deposited each month into your savings. (I suggested doing it each month. If you hang on to it for any longer, you’ll be more tempted to dig into it some day when you are tempted to splurge. Admit it, we’ve all dug into our coin jars for all the quarters we have to get dinner out.)

6. File for those Rebates – When rebates are offered for items you have purchased, be diligent and file them. When they come back, put that money directly into your savings account.

7. Sell Something – I have a tendency to donate anything I don’t want. My apartment complex is across the street from Goodwill so it’s very easy for me to drop stuff off easily. Instead of dropping off everything, I’m going to try to sell some of my gently used household items and clothing. Craigslist is one option, as is a yard sale but a consignment shop is my preferred route. I don’t have to do any of the work. In my area there is a shop called “New Uses” (not sure if they are local or a chain) and they will take household items much like Once Upon A Child does with baby and children’s clothing.

8. Make Extra Money Online – There are a number of ways to make money online with little work on your end. You can use websites like InboxDollars, Ebates or Swagbucks to bring in extra money for your savings account.

9. Bottle Returns/Aluminum Can Collecting – This old income stream is tried and true. My grandfather was obsessed with turning in aluminum can for cash. He was able to bring in hundreds of dollars a year just by letting people know he did this. They would often bring their cans to him. Tell your neighbors and ask them to put their cans in a bag by the curb on trash night. You can go for a walk and collect the cans (bonus, you get exercise too!).

10.  Find a Penny Pick It Up – I don’t know about good luck but when you see money on the ground, pick it up and add it to your savings account. Talk a walk over to the car wash or by drive thrus after closing, you might find some extra coins on the ground.

Just a few easy ways you can add extra funds to your savings account without a lot of work. They won’t bring hundreds of dollars a month but each of them can help you reach your goals.

Do you have any other easy ways to bring in some extra funds?

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Are your finances a mess and you know it? Do you know what you SHOULD be doing but haven’t made any changes? Are you avoiding logging into your accounts to see what damage you are doing?

If you are anything like I was and at times, still am, then you are setting yourself up for further failure. Something, or maybe more than one thing is holding you back, do you know what it is?

Here’s 3 potential ways you are roadblocking yourself from being in control of your finances.

Fear
Fear can be crippling. It can hold you back from everything you want to or need to do in life. Fear is an emotion we all feel from time to time whether it’s due to speaking in front of a crowd, beginning a new job or tackling your finances. If fear is stopping you from doing that, you are not alone.

But there are ways to overcome this fear:

1. Start slow. You know the phrase: baby steps. That works for your finances. Dave Ramsey’s entire program is based around baby steps. Find one thing you can do each day that will affect your finances. Maybe it’s simply checking your mail because you’ve been afraid to open the bills. Or add up your debt (you ARE going to have to do it at some point! Grab a glass of wine, a beer or a shot of Tequila and dive in. Have chocolate or another drink after you have finished.)
   
2. Change your way of thinking. As cheesy as it may sound, you are what you think you are. Even if it’s not true, what you think you are is going to be the reason behind your behaviors. You need to reprogram your mindset. Find ways to work through your fear that way. I love to post quotes through my house. They are often in the form of pink, heart shaped sticky notes. I stick them on the mirrors in my bedroom and bathroom. I have them taped to my fridge as well. Whatever you need to do to get your mindset changed, do it. Self-depricating thoughts will not help you in the process of becoming debt free.
   
3. Make it Fun. One of the best ways to tackle fear is to turn it into a game. If there are 10 steps you need to take, then make yourself a fun chart with rewards (inexpensive rewards) when you accomplish them. Pair up with a friend who is trying to do the same thing and see who can finish first.

Lack of Education
People often develop a preconceived notion that basic personal finance is a difficult process. I had a friend once who could not balance her checkbook. She didn’t trust herself because no one had ever shown her how easy it truly is.

Fixing this one is relatively simple:

1. Read a book. There are literally hundreds of books available about personal finance. Some of the best known authors are David Bach, Dave Ramsey, Jean Chatzky, Clark Howard and don’t forget the “for Dummies” books.
2. Read the internet. Obviously you are smart enough to find this blog and probably many others. You can certainly find the answers to your personal finance questions. Do a quick Google search with the words “How do I…” (put what you want to know about at the end, of course) and you will find plenty of articles to help you out.
3. Find a mentor. Do you know someone who is good with money or numbers? Ask around and I bet you can find someone who will be willing to help you.

Laziness
No one wants to admit that they are lazy but chances are a number of you are too lazy to pay attention to your financial situation. In his book That Makes Me Sick, Larry Winget talks about three reasons your life sucks. One of those reasons is being lazy. If you just can’t be bother to take the time, it’s laziness and it’s holding you back from a better life.

Lazy is the most difficult one to change. Mostly because you have to want to change. If you truly wanted to change, then you would start seeking out ways to do so. But I do have a couple of tips for turning your lazy behavior around.

1. Find a cheerleader. No not a real cheerleader, unless they are great with their finances and will motivate you. Rather, I suggest you find a motivational partner. Someone who will call you and ask you what you have accomplished. A friend who will encourage you when you fail or feeling less than great.
2. Set deadlines. Whether it’s small hourly deadlines, days away or even months, set a deadline and stick to it. I knew someone who gave her friend $1,000 to hold hostage. Once she accomplished a goal of her’s to lose weight, that friend gave her the money back so she could take a cruise. Until she did so, the friend kept the money. Talk about motivation.
3. Just do it. Yea, being told to “not be lazy.” Is like telling some one overweight to stop eating food. It’s hard to do but slow and steady wins the race. Take small steps each day and you will reap the benefits.

Changing your financial situation takes hard work and dedication. It also takes honesty. Be honest with yourself about why things are difficult and find a good way to fix it. You can do it and when things get tough, there’s plenty of resources out there for you to push through and succeed.

Whether it is a tax refund, a lottery win or an inheritance, a sudden increase in funds can be both a blessing and a curse. If you have been in debt but have not taken the time to evaluate your habits, an unexpected increase in your checking account could cause a number of problems.

 Surprise, you’ve won! What do you do first?

 If you have a history of impulse spending, the first thing you need to do is put that money into your bank account and step away from the cash.

Take the time to really think about the best way to spend or invest the money. Make a list of what needs to be paid and in what order. Also make an additional list of items you want. Consider this list for some time before you act.

Step away from the mall!

It is very important to ignore the desire to spend frivolously. This is not to say that a little something for yourself is bad. It is so easy to go over board when you are out shopping and nothing ruins a sudden windfall than not knowing where the money went.

Prioritize! Prioritize! Prioritize!

Once you are ready to move some money, make sure you have your priorities in place. Are you thinking clearly? Are you being honest with your needs and wants? Prioritize with a level head and a clear conscience.

If you are in debt, your priority should be an emergency fund first and then paying off debt. If you’re debt free then the money should be in an emergency fund, a retirement account or invested into your 401K. If you are anticipating a large expenditure and this money could help then the money would be best in a savings account.

Think small!

I am a firm believer in the occasional splurge. If you are still paying off debt then the splurge needs to be very small, maybe just a manicure, a new pair of shoes or a video game for your game system. The key is to keep it to a minimum if you are still working on paying off debt.

“Check yourself before you wreck yourself!”

When a sudden windfall ends up in your hands, it’s extremely important to keep your self in line. Be very cognizant of how you are thinking of your money. Use mindful spending.

Whether you have won money, made a wise investment or suffered the lost of a loved one, wasting a windfall by over-spending on impulse buys dishonors the money and those that it came from.