In late 2013, I heard about Dave Ramsey’s online financial course. I asked around, read reviews, and finally enrolled in it. I spent 2014 getting my money matters resolved using the things I learned. By the end of 2014, I saved enough to quit, taking a part-time job as a psychologist for college students that paid about the same as teaching. I also started my practice as my side hustle around this time.
It wasn’t easy.
But today (just less than 2 years later), I quit the part-time job and work solely in my business. I’m happy again and live a great life. I sacrificed a lot of short-term luxuries that I was used to so that I could regain them in the long run.
Did you know that new year resolutions about money are the second most common ones?
Like me back in 2014, about 34% of Americans resolve to get out of debt, save more money, or start saving for retirement every January. But money management resolutions are also the most commonly broken resolutions of all.
Only 8% of these people reach their financial finish line.
That’s partly because they weren’t ready to change their money mindset or spending behaviors (which is totally okay, btw). Everyone progresses at their own pace. But for those that are ready to change, the other reason is that:
They don’t have a solid plan to reach their goals.
A quick internet search provides thousands of resources promising you financial clarity and plans that can help you get on track. It’s hard to know which ones are worth trying or just plain BS with all that information.
Ask: “What did you do to achieve your financial goals?”
My single best piece of advice if your new year resolution involves money is to find people that are financially in a place where you’d like to be. Ask them what they what they did to get there, and then shut up, listen, and take notes. They’ll probably tell you about the bar crawls in Wynwood they missed because they were working extra hours. Or hot new designer handbag they couldn’t afford to pay down their student loans. Worse yet the fancy car they gave up to pay their beater car AND rent a microscopic studio. They’re all variations on the same theme: sacrifice short-term pleasures for long-term gains. And that’s only possible to do when you have clear financial goals and a plan to help you reach them.
Most young adults and professionals in Miami aren’t willing to live frugally in the short-term.
They provide all the reasons they can’t afford to do the things that would give them the quality of life they’re after as they drive off in a $557 monthly car. Do they see the disconnect? Yes, but they rationalize the expense of the ____ (car, purse, shoes, etc.) as a way to fit in with friends or as a little luxury they ‘deserve’ because their life otherwise ‘sucks’.
Money woes are often cited as the reason for anxiety, depression, and feelings of unhappiness among young adults and professionals.
A lot of people tell me their lack of funds keeps them stressed about making the rent, affording to buy quality food, joining a gym, getting massages to relieve stress, or leaving the miserable, soul-draining job.
Is your money goal worth the sacrifice that comes along with it?
If you answered ‘yes’, congratulations. I know the feeling of readiness to get your finances handled. Doing it transformed my life. Hire a financial planner. Go find someone that you trust and whose financial habits you admire to mentor you. Find a reputable financial study program you can enroll in. It doesn’t matter if you aren’t ready to implement your plan on January 1st. Spend a few weeks (or a month) getting clear and learning new skills so you can set your plan in motion mid-January or February 1st (or whatever your timetable looks like).
If you put in the work up front, you’ll change your relationship with money long-term.
We hope you’re among the 8% that achieves their 2017 money resolutions. Be sure to reach out for help if staying motivated, fitting in with friends, or other money mindset obstacles get in your way. You can call us at (305) 501-0133 or click here to schedule a free 20-minute Clarity Consult if you need additional support with your money mindset.