In the last post we talked about a very practical exercise you can do to clearly face your financial situation.
(If you missed it you can catch up and complete it here.)
Now that you’ve waded through the last 6 months of financial statements and your 5 columns are filled out and highlighted by different colors, what is the next step?
The next step is identifying patterns.
Look through your impulse purchases and scrutinize the date and what emotions you were feeling at the time of purchase. You may find that there is a certain time each month when you throw caution to the wind and jump feet first into purchases you later regret.
Do you notice any patterns with regard to emotions? For example when you are feeling low are you more likely to comfort-buy? Or are you more likely to go crazy shopping when you feel high and excited?
Take a look at the column “category” to see how you labelled your purchases.
Is there one or two (or three or four?) categories where you religiously overspend? Just being aware exactly where you spend your money is very revealing. It may also give you a bit of a shock and wake you up.
Sometimes an emotional shock is exactly what we need to force us into facing a new direction!
The next time you buy something (even if it is a tiny amount) write it down. By hand. And use the same 5 columns you’ve just recently used. Just bringing in that little bit of awareness can make all the difference.
After doing the practical steps inside this post you will know what your money patterns are. You will be aware if your spending habits are emotional or not.
When I did this exercise for myself I was horrified how much I spent on gifts for other people…
While on the surface I just assumed I was being generous and kind what I discovered was a deeper emotional component.
By buying extravagant gifts (with ridiculous price tags) I was unknowingly seeking validation and recognition from those closest to me. Once I understood the reason behind my over-spending I discovered I didn’t have to spend such huge amounts of money.
More importantly I found that I had to give myself the validation and recognition I sought. That seeking it from others is pointless. Everything worth going after often comes from within.
That was an eye-opening lesson for me. I hope that you too commit to going deeper and do some honest detective work to discover the emotional components that lie hidden underneath your money habits!
If you need a road map to guide you through your financial blocks Tapping for Success & Abundance is the one.
This E-book gets to the heart of your limiting beliefs so they are cleared once and for all at the root.
(Thankfully I’ve never had to refund anyone, as the content is 100% practical and thorough.)