Happy Friday everyone. There’s no better time to look at confronting our fears than a beautiful sunny day, when we can be sure that everything will be okay. In that spirit, here’s a look at some of the most prevalent fears we have about money, what causes the fear and what we can do about it. We’d love to hear from you about what scares you when it comes to money. Hit us up on Facebook http://www.facebook.com/savingsguide and let us know what scares you.
I Can’t Make Enough Money
Probably the most common fear of all money concerns. We worry that we can’t make enough to get through should circumstances change, or that we can’t provide the quality of life we want for our loved ones. We might get a pay rise or inherit some extra money, only to watch it disappear without a trace, leaving us anxious about where it all goes. What To Do About It: First of all, change the way you think about money. Have you got a roof over your head, food on the table and enough money to see you through the week? Then you’re doing fine. Enough is a relative term. Start looking at ways you can cut down on expenses, keep a diary to track your spending and start building money.
I’d Be Useless With A Lot Of Money
Financial experts surprisingly often talk of people’s unconscious fear of having a lot of money. The burden of countless investments, tax complexities, the stress of being asked for help by friends of family. This fear often encourages us to self-sabotage our own wealth-making. What To Do About It: Chill. Cross that bridge when you come to it. Learn all the right financial behaviours now and it won’t matter whether you earn a thousand or a million dollars a month. There are plenty of people to help you should you need it,
I’m Bad With Money
Whether you think it’s a genetic inability to stay in the black, or an inability to understand finance, this fear is common, particularly among women. The stereotypes of the shopper or spender do nothing to help a lot of women’s unease with personal finance. What To Do About It: No one is bad with money- people might be uninformed about money, but that’s an easy fix. Get interested, get informed. Take a course, head online. Set yourself goals and watch yourself ace them.
I Have Less Money Than Everyone Else… And That’s A Bad Thing
Society does its utmost to make us believe that having a smaller car, smaller house and modest bank balance says something about us. It can be a niggling fear for many people that money represents more than dollars, but something about our success in our careers, in our relationships and in our lives. What To Do About It: Don’t buy it. Successful finance has nothing to do with externals. You might have an enormous Jag and be defaulting on your mortgage. If you’re set up to save some money, prepared for your retirement and can enjoy the occasional luxury, you’re doing fine.
Something Might Happen… And Then What?
A totally understandable fear, especially if you’re providing for kids or aged parents. All of us wake up at 3am, at some time or other, and worry what we would do if we lost our job or there was an emergency. What To Do About It: There’s no way to control whether or not that happens. Here are some things you can control:
– Your emergency fund to provide for emergencies
– Your savings, for a bit of breathing space
– A solid retirement saving plan, in order to maintain your standing of living over decades.
– Your insurance, including looking at job protection and healthcare.