Get Rid of Your Money Insecurities, Once and For All

Money is a sensitive topic for most people. It’s hard to separate our personal finances from our feelings of self-worth which leads us to feeling shame about ourselves if we don’t have our financial house in order.

The good news is that there are steps you can take to regain confidence and get rid of money insecurities over time. Here are some tips to get you started.

Know your numbers. Knowledge is power.

You know how much your gross income is, but take a moment to really look at your take-home pay (net income) to see how much you’re actually bringing home after taxes, 401k, health insurance, etc. The real number you bring home each paycheck might surprise you, but it’s a good thing to fully understand so that it’s easier to manage your spending.

It’s also equally important to know how much of your income you spend. Take a hard look at how much you spend on housing, food, utilities, etc. and that will help you not only see where your income is going, but also help empower you to feel more in control of where you choose to spend your hard earned income going forward.

Create an emergency fund.

Feelings of insecurity can come up from not feeling prepared. One of the best ways to feel prepare and empowered with your money is to have an emergency fund set aside. Having at least 3 months of living expenses sitting in a high-interest savings account can provide immediate relief from anxiety.

Make a plan to get out of debt.

Debt is understandably a huge cause of money stress for many people. If you have debt, take comfort in knowing you’re not alone. Even if it will take multiple years to pay off, simply having a plan to tackle the debt can provide a great relief and help you feel more empowered and in control of your money. Even baby steps taken towards getting out of debt, can help lift a tremendous weight off your shoulder because you’ll see the progress.