We are only two weeks away from New Year’s Resolutions. It’s hard to believe this year has flown past. But here we are. 2014 is ending. 2015 is just around the corner. 2 weeks until we get fit physically, emotionally and financially. Which means many people are binging right now in preparation for their massive life change that will begin (and likely end) in the month of January. Cookies, candies, hot cocoa on the physical side. Stress, overwhelm and anxiety are the emotional binges. It doesn’t make any sense to go from binging on sugar and fat and do a 180 and think we can eat clean and exercise a week later. But millions of American’s do it every year. It doesn’t make sense to think that we are going to go from unhappiness to happiness when the clock strikes 12 on January 1st. And yet we still hope!
What about your finances? What mistakes are you making right now that are setting you up to struggle next year? Aside from the obvious of the sheer amount of money we spend this time of year, there are some other behaviors to be cautious of.
Want
Want in itself is not a negative. Without desire, we would accomplish very little. When you have gratitude for what you have, are aware of what you want, and are willing to step outside your comfort zone to get it, you have the magic recipe for creating amazing results. So I don’t have an issue with people wanting things in any way. I am not promoting deprivation because that type of thought patterns will cause you a different set of financial challenges. The behavior I recommend being cautious of is want accompanied by lack. It’s so easy to want things this time of year. Stores are filled with things that you could buy that would be great for you to have. There is an endless amount of people you could give to. And if I were to give my children and husband everything I want them to have, I could easily spend $100,000. When you catch yourself feeling the desires for the things you want, and feeling a lack of money and resources to get it, you need to re-direct. That coupling of emotions can carry with you into the new year leaving you in SCARCITY thinking. Not a powerful way to start out reaching your financial goals. The key to staying in a healthy frame of want is gratitude. Increase your gratitude for what you have and stop looking at what you don’t.
Inflexibility in spending habits
Holiday Traditions are great. I love the memories we create through them. But sometimes they can lead to an inflexibility in how we spend. For example, I usually buy my children new pajamas and new church clothes for Christmas. But this year, my oldest got a new suit, tie and dress shirt for his birthday in August. And my baby has so many pajamas they can’t fit in his drawer. I currently have every kitchen appliance I want, and I’m happy with what’s in my closet. Yes, I could always find some pleasure in getting more of the things that I enjoy, but is the increase of pleasure equal to the cost? I’m not sure. Should I buy all of those things even if they are not needed, or even really wanted? Let’s be clear, the Christmas pj’s are more for my pleasure than the boys anyway. Anytime we get inflexible with our spending and tell ourselves we HAVE to buy something we set ourselves up for trouble. We stop looking at our options and stop making decisions based on what will bring the most return on investment. This year I decided rather than have my family give me gifts from a store, I’d rather they give me gifts of time and help clear out land. After really thinking about it, that is where I felt I would find the greatest return of joy and happiness. Make sure you think through each purchase you make.
Not Watching the Finances
Not watching the finances is another common problem in December. We think we’ll just deal with it in January. But not watching your finances is like an ostrich burying it’s head in the sand. You may not see it, but chaos is chaos and it can smack you in the butt just as well as hit you over the head. Not watching the finances in December almost always leads to a mess in January. And I know from personal mistakes, sometimes you keep your head in the sand in January because you still don’t feel ready to face it.
Feeling Depressed about Money
Feeling depressed about money creates so much negativity! It’s also one of the fastest ways to ensure you do not feel joy during the holidays! Trust me, I’ve been through my share of years where there wasn’t enough money to cover Christmas gifts. The years where I chose gratitude are happy memories anyway. They were years where miracles showed up, free bikes were given to us, the perfect gifts showed up on craigslist and we were happy! The years I was depressed, the financial strain carried WELL into the next year. Sometimes it wasn’t until late spring where I felt like I could even get out of my money funk.
Narrow Receive Channel
The last behavior to avoid is narrowing how we are willing to receive. This year my husband and I talked about not wanting to give gifts to the kids that would get broken and overlooked within a couple of weeks after Christmas. We wanted to get them things they would use and enjoy over the long haul. We decided a basketball hoop and a piano were things we would really get a lot of usage out of. This year was an expensive year for us buying a home and moving across the country and we didn’t want to dip into our savings that we are building back up. So I looked online and found a used basketball hoop for $25 and a used piano for $300. We were all set to buy and then discovered a family in need of financial help and decided give the $300 and wait on the piano. This weekend we got a phone call and some friends gave us an electric organ. So for $25 we have got both of the things we wanted. I want to share this experience so that you can see how easily I could have missed these opportunities. If I had started out by stating what I wanted, determining it was too much to spend, and then adjusted my wish list, I PROMISE I would have missed those opportunities. If I had felt like I had to buy new or it wasn’t Christmas, I would have missed those opportunities. If I had said it HAS to be a piano or I won’t be satisfied, I would have missed out on the organ. Sure it sounds like Dracula’s house when the boys go down to play, but it will allow the kids to learn to play the piano and it’s a start! When we do get a piano, we will still have the organ and good organ players are always in demand. There are MANY ways you can receive this Holiday Season that do not involve your credit card balance. Be open, be grateful, be generous and have faith. You will be amazed what comes.
We may wish that our personal finances didn’t affect our business performance. But they are connected. If you are experiencing scarcity in your personal life, your business performance goes down. Do yourself and your business a favor and don’t binge for the next two weeks in poor financial habits and expect a clean start in January. Start now to set the tone for your 2015 financial goals!