An important part of managing your personal life is to manage your

personal finances in such a way that money is not a major source of worry
and concern. At a very basic level, personal financial management simply
means gaining an understanding of your financial situation in order to make
the most of your assets in day-to-day life and in planning for your future.
The very reason most people lack financial success is because they lack
knowledge, or better yet, a desire to gain knowledge or a more appropriate
basic understanding for all that is entailed in setting up oneself for financial
success. Wouldn’t it be nice if there were a magic formula or simple trick
that allowed you to never have to worry about money or manage your
finances again? While that may not be realistic, there are some strategic
skills you need to learn and remember in order to gain financial success.
As a result of my personal re-exploration and introspection, I wanted and
wished to impart three simple things you can do right now to improve your
money situation: First, Setting financial goal. Second, Spending plan.
Third, Secure financial future.
But beforehand, what is strategy? In a military sense, ‘strategy’ is defined
by Chambers Dictionary as ‘generalship, or the art of conducting a
campaign and maneuvering an army’. Tactics is defined as ‘the art of
maneuvering in the presence of the enemy’. In personal financial
management sense, strategy has therefore come to mean the long-term
vision for the future, and how you plan to get there, with tactics being what
you do on a day-to-day basis that supports your strategy, and particularly
how you deal with problems. Strategy, in its simplest sense, is deciding
where you want to be and how you’re going to get there, and then taking
the action necessary to do so.
For my First point, centering on setting financial goal. It sounds obvious
but, as a first step, you need to know where you are now. Gather as much
information as you can about where you really are. The more detail you
can include, the more you know what you want, which is true as much at
home as at work. It’s important to aim high at this stage, but also to be as
detailed as possible. Imagine this, “If so and so jumped off a cliff, would
you?” This does not mean that you can actually jump off of a cliff, because
that would be a foolish risk, this means again to foresee the results and
consequences of your actions. Everything that you do starts from your
current position. Concentrate on ‘milestones’ rather than ‘actions’, that is,
things you will have achieved, rather than what you’re going to do in
practical terms. Setting financial goal is an important starting point in
managing your personal finances.  Don’t do what everyone else is doing
and don’t be afraid to take calculated risks. Remember, one must dream to
make a dream come true. The successful people in society are the ones
who don’t do the same thing as everyone else. Dare to be different!
Secondly, to ensure that you do not overspend at the start of term, or
indeed at any other time, you need to establish a budget or spending plan,
a vital aspect of financial management. With so much money at your
disposal, it can be tempting to spend it on going out with your new friends,
or buying things to make your room look nicer.
But it is worth stopping for a moment, and do some budgeting. It may be
dull, but it could stop you having to spend a miserable few weeks at the
end of term living on baked beans and never going out.

An effective spending plan allows room for investing.

Having a strategy is all very well. Achieving it is quite another issue. This is
what really marks good strategic thinkers out from others: everything that
they do contributes to their strategy, or at least does not actively work
against it. Before they make a decision, they consider how the possible
outcomes fit into their overall strategy. If it doesn’t fit, they don’t do it! And if
they really want to do it, and it doesn’t fit with their strategy, they review
their strategy to see if it’s still appropriate.

It is also important to be aware and beware of credit. To use credit wisely,

recognize the difference between good debt and bad debt. Don’t borrow
excessively, because it will soon become debt, which has interest and
other consequences. Instead, set a budget and stick to it firmly! Attitude is
also an issue in financial success. If a person has a poor attitude, he will
only get what he deserves! If the worst is expected, the worst will happen. It
all comes down to the power of one’s mind. Think positively! When setting
goals, focus on the positive aspects, and don’t include any negative words.
Everything can be rephrased to be positive. Successful people are
optimists! In order to be an optimist, only associate with optimists.

Money management is as universally important as good manners and – we

have to learn how to work with it.

Planning for a Secure Financial Future: It’s Never Too Early to Start
Whether you are on the verge of retirement, sailing along mid-career or just
starting a practice, it is important to think ahead and plan for your future.
For many reasons, including lengthy training, high student loan payments
and the time commitment required to build and manage a practice,
psychologists often get a late start on retirement planning.
Yet, a little preparation goes a long way. The following information will help
you begin to plan for a financially secure future.

Life has a way of throwing us an occasional wrench and this remains the
case during retirement. Build yourself a financial buffer that is quickly and
easily accessible, so you are more readily able to meet needs such as
unexpected home repairs or medical expenses if they arise.