Threading the needle
Photo by Immo Wegmann on Unsplash
Do either of these statements ring a bell?
“We’re spending too much money. I don’t want to end up living under a bridge one day!”
“But we can’t take it with us! And tomorrow isn’t promised to anyone.”
Two concepts at seemingly opposite ends of the money spectrum yet both valid.
There are no absolutes when it comes to managing your money and how it flows because at the end of the day, we’re all trying to thread the needle.
The best system I’ve found for threading the financial needle involves just two steps:
1) Automate, automate, automate
Repeat after me:
Money is just a vehicle, not the goal itself.
Money is meant to fund the things in our lives that individually matter to each of us and free up more time to do said things with the people that matter most to us. The more you automate your savings, investing, and bill payments on the front end, the less time and bandwidth you need to devote to it. That reclaimed time can then be spent doing things with the people that matter most.
2) Learn to let your money flow
Once you’ve automated your savings, investing, and bill payments, you can start to get more comfortable with letting your money flow. To be clear, this takes time and practice to get used to.
If you’ve watched your money like a hawk in the past, this step can feel like you’re becoming careless with your money. And if you’ve been an over-spender in the past, you might worry that you’ll find yourself right back where you started. But this is why learning to let your money flow comes only AFTER you’ve automated your savings, investing, and bill payments on the front end.
When worry starts to creep in and threatens your money flow, trying asking yourself these two questions:
Am I still saving and investing what I need to be each month?
Do I routinely have enough in my bank account to automatically pay off my credit card and bills?
As long as the answer is yes to both of those questions, then you’re free to do what you please with the rest of your money and spending! That’s because you’ve already taken care of the important things on the front end by automating your savings, investing, and bill payments.
This simple, two-step system lets you feel in control of your money while also allowing you to live your best life. And it allows you to do so without feeling that your best life is at odds with your money. Instead, your best life is now aligned with your money.
Threading the needle when it comes to your finances certainly isn’t easy — but it’s a worthwhile pursuit when the result is a life well lived both now and in the future.