If you've made some money mishaps in your life (and who hasn't), self-forgiveness is the best first step. Finances are filled with emotions and it's important to be gentle as you course correct or set a fresh new path.
I weighed in with Marilyn Denis to discuss tips for some of the top money mistakes myself and my readers have made. Watch the episode How to get over your money mishaps (ctv.ca)
Understand that wealth is built slowly, by doing a number of very simple things well over a long period of time. Shortcuts don’t exist and if they do, they generally don’t last.
DO: Calculate out your net-worth each year (tons of free calculators online) and make a goal for incrementally increasing it.
Never use debt to buy stuff, especially high interest rate credit cards. If it takes you years or decades to pay it off, you’ll resent it.
DO: Take a 24-hour time out when buying anything over a certain amount that’s a want (say anything over $100). Do you still want it?
DO: Unlink your credit cards from your favourite sites so you actually have to get up and get it as opposed to one-click buying
Even if you have debt, start the savings habit and automate it. Even $25 a month can add up. Once the habit is firmly established, see if you can up the amount.
DO: Hop on your bank app and open up an investment account even if you don’t have a dollar to invest. That way, you have one step in the process checked off your list!
Pay attention to money in and out. What are you wasting on that could go to burning your debt or fluffing up your savings? And, only buy things you’re absolutely in love with (and saved up for). Having more stuff won’t make you happy.
DO: Track your spending for 30 days and see where you can trim back the financial fluff.
DO: Get out (or print out) your credit and debit card statements for one month. Highlight all the stuff you don’t even remember spending on, didn’t enjoy or was a waste. Now vow not to spend on those next month!