Seattle Small Business Blog

If you find yourself dealing with financial stress, it can be an exceptionally difficult time. However, you mustn’t let the stress take over your life. Even if the bills are piling up and the savings is dwindling away, there are steps you can take to reduce your stress and your debts.

The most important thing to keep in mind when you’re faced with financial troubles is to make a plan and stick to it. If you need help with this plan, it would be in your best interest to seek out help from someone removed from the situation.

Here are a few tips that can help you on your way:

1. Don’t spend money to relieve your stress. It’s often tempting to reduce stress by going out for meals, entertainment, and other activities. This is clearly counterproductive. Instead, use some free stress relievers such as a warm bath, a good book, or a social event with friends at home.
2. Accept your situation. Being unwilling to accept that you’re dealing with a hard situation can increase your stress. In many financial scenarios, you’re unable to control the situation. However, once you surrender control and accept it, you’ll feel better knowing that you can only do what you can to improve your financial outlook. It may take time, and that’s okay!
3. Don’t be risky. If you have investments that may be on the risky side, it may be time to re-evaluate and move them to more reliable returns. This security alone may ease your financial stress.
4. Discuss your problems with family. If you have a spouse, make sure you keep the lines of communication open. Many marriages suffer during times of financial stress, but with honest communication and careful planning, you can keep your marriage and family happy.
5. Stay Organized. Make lists and keep a calendar. It’s important to schedule time for relaxation, too. You’ll need some time where you can enjoy yourself without worrying about anything – especially your financial troubles.

Have a Plan

Simply having a plan to improve your financial problems can reduce your stress level. Plans and goals will help you keep things in perspective and show you that you’re making progress towards a better life.

You don’t need to do this alone. There are many professionals available to help you create a successful financial plan, even in your current situation.

Here are some items you may want to review before forming your plan:

• If you find that you’re spending more than you’re making, look for ways to cut expenses to a manageable amount. Remember, this doesn’t have to be permanent.
• See if you can pick up a part-time job or implement other ways to add to your income.
• Look into refinancing options for your current loans.
• Start using your debit card instead of a credit card.

Maintaining Your Health

People often forget how important it is to maintain your health. When your body is dealing with any kind of stress, it can take a toll if you don’t take steps to relieve it.

Next time you feel exceptionally stressed out, become aware of the state of your body. You’ll likely notice that all of your muscles are tense. Take a few moments to relax your muscles and take a few deep breaths.

While you may not have control of your financial situation, you do have control over how you feel about it. Focus on taking action to do what you can to improve your situation and know that better days are ahead.

As you build your business, it can be tempting to let tidiness and organization go out the window.  The truth is being messy & disorganized can cost you money!

Good organization is the keystone to making and saving money and if you want to do either, you’ll find that you can easily make some progress by organizing your business and your life.

Schedule Your Bills

The first expenses you have to worry about each month are your bills like the office rent or mortgage and utilities.

• Use a calendar, planner, computer program, or online banking account to schedule when your bills need to be paid. Delays can cost you substantial late fees and finance charges.

• If you set up electronic banking, make sure you understand exactly how the system works. Some programs will not allow you to make a payment on weekends or holidays while others may need a few days to process the payment.

• Pay your taxes on time or early.  Penalties as well as late charges are added if you don’t file the proper extensions. Hire a bookkeeper or an accountant to help with your preparation, especially if you work independently. Remember, you may be required to pay quarterly estimated taxes as well as year-end taxes and can be fined if you don’t file those as well.

• If you work independently, you may also want to consider paying your income taxes quarterly too so you don’t have to worry about them at the end of the year.

Organize Your Paperwork

All of your paperwork should be organized so you know exactly where your receipts, financial statements, and bills are filed.  There’s nothing worse than going in search of a needle in a haystack when a question arises.

• Minimize paper in your work area. Everyday take a look at your desk and think about what pieces of paper you can immediately get rid of.  A wastebasket by your desk is essential, as is a shredder to prevent identity theft.

• Utilize file folders or a portable file container instead of having piles of papers on your desk or countertops. This will prevent you from losing important pieces of paperwork under a landslide of unimportant junk.

Consult with a Financial Advisor

Whether you have a substantial investment portfolio or just want to get started, consult with an expert who can help you reach your financial goals. By organizing your finances, you’ll not only save money, but make it too!

• If your current investments aren’t performing well, an advisor can help you move the money around to better performing funds that earn a higher yield or give you greater dividends.

• If you don’t have any investments, an expert can listen to your financial goals and recommend an investment plan for achieving those goals. Even starting off modestly will often bring you some annual dividends. Every little bit helps!

Consolidate Your Debts

Get in control of your money by consolidating large debts with one loan. Research which banks or credit cards will give you the lowest interest rates and consolidate your payments into one. This will save you money by paying fewer interest fees, but you must also limit your spending until the debts are paid off.

• Ask a mortgage broker about refinancing your home or taking out a home equity loan to consolidate debts.

Be in control of your money and your life by evaluating your accounts regularly and staying organized. A little bit of work each day and regularly monitoring your progress will help you reach your financial goals.

Your attitude about life is one of the most important factors for success. A bad attitude gets you nowhere, while a good one can provide you with enough motivation to succeed beyond your dreams.

You may think that you already have a success-mindset, and perhaps you do. However, you can always benefit from strengthening that attitude and therefore increasing your chances for the success you deserve.

Follow these strategies for improving your attitude for success:

1. Find your inspiration. Discover what inspires you the most and use it to jumpstart your motivation whenever you go. Feeling inspired enables you to maintain the drive necessary to find success. Do anything you can within your power to find inspiration.Make a list of your ultimate dreams, and then ask yourself if you’re on the right path. If you are, you’ll know that everything you’re doing will be rewarded.

• If you don’t feel like you’re on the right path, perhaps it’s time for a change. Maybe there’s a deeper reason why you’ve felt a lack of motivation. Reflect on what this reason might be, and then decide on how you can renew your drive. When you’re on the right journey, you’ll feel inspired!

2. Surround yourself with positive people. When you’re around positive and inspiring people, you’re more likely to adopt those traits into your own personality and go for your goals with enthusiasm. Negative people, on the other hand, tend to make you negative also.

• If you must be around people that continually bring you down, do your best to avoid taking what they say to heart. You know that they don’t speak the truth. Keep the peace as best as you can to get through these situations and then move on.

3. Take a leap. The best way to improve your attitude might be to just jump right into life. Don’t be afraid to take initiative and plunge forward towards your goals. People who take action find success. If you take action and start to see the results of your efforts, your attitude will only improve.

• The increased drive and motivation you get from your actions can be the difference between success and failure.

4. Strengthen your focus. Your focus can also play a role in your attitude. When you maintain driven toward success, it’s easier to have an optimistic attitude. If you have a lack of focus and don’t know where you’re going, it leads to being unmotivated and uncaring.

5. Allow for mistakes. You’re only human and you will make mistakes from time to time. Be careful to avoid judging yourself harshly when this happens, as it negatively affects your self-confidence. If you work on more of a “go with the flow” attitude, you’ll find that you’re able to pick yourself back up and continue moving forward when you do make a mistake.

The main things to keep in mind are that the combo of inspiration, positive thoughts, and proper motivation can lead you to a healthy and positive attitude. Follow these strategies daily and you’ll notice a boost in your spirits!