The synonym for the word intentional is conscious, deliberate, knowing, purposeful. These impactful words call for an action to be taken.
So how do you implement being intentional with finances? Let us break that down to different areas.
Being intentional to track finances, is to give your money a job to do and tell it where to go. Writing down what is your monthly income and then estimating how much you spend every month is the first step. The numbers can be adjusted later and its best to allocate more for making easy changes.
Building your budget by breaking it down to 50 percent for regular monthly expenses, 10 percent for giving, 10 percent for pay yourself first savings, 10 percent for short term expenses. 10 percent for long term and emergency expenses and the last 10 percent for fun.
We make a number of decisions everyday that will affect our budgets and ultimately our future. Its crucial to take time and think before we spend. There is room for a portion-controlled fun with spending. So, stop using the crash diet approach towards your spending and make is sustainable. What we need to realise is that, if we are wastefully spending money, then there is less for debt reduction and also less for savings.
By being intentional with spending we can very easily negate the impulsive drivers that affect spending.
Think about redirecting spending and being intentional. The question to ask yourself – what is really important to you and your family? What are the goals that you want to achieve? Is this purchase an investment towards my goals, business, self development? And so, now, its basically answering the question – are these things important to us and do they line up with what we really want.
One of the best saving strategies is to pay yourself first. What this means is that you designate a certain amount of your pay cheque to yourself. This amount can be 10% of your paycheque and automatically transferred to a separate account every month when you get paid. The important part is that you pay yourself first rather than last. Most people pay all of the bills first and then save anything that might be left over. For most people, that method of saving doesn’t really work because nothing is left over to save.
By being intentional in implementing this method, is that if your budget is a little tight, it forces you to make adjustments elsewhere and your savings continue to grow.
This really is about making a commitment to yourself to be a lifelong student. Intentionally learning from mentors, learning new skills, surrounding yourself with the people who can add value to your life, reading books on self-development and finance, equipping yourself with the tools to generate multiple income streams, so your money works for you even in your sleep.
Learn to train your body not just to loose weight with healthy eating and exercise habits but to really take care of it with a mindset that your body is a vessel to be used for a greater purpose.
Meditate on positive affirmations and scriptures. Most importantly train yourself to start and end your day with gratitude. Gratitude is the key to everything.