Attitudes can be positive even when bank balances aren't
Posted
Jun 11 2008, 01:15 AM
by
Donna Freedman
One morning, personal-finance blogger "Blunt Money" got out of bed and stepped right into a puddle of cat barf. How many of us would have let that ruin our entire day?
Not her. "I chose to just get it cleaned up and move on. After all, the day was bound to get better from there, right?" Blunt Money wrote in a blog essay called "Attitude matters."
That's one optimistic mindset. I bet that to Blunt Money, the litter box is always half empty. But she's right: Attitude matters, whether it's about unpleasant mornings or money.
Maybe you have a hard time making the leap from feline vomit to personal finance. Blunt Money provided a helpful example: Suppose she made her credit card payment late and was slapped with a late fee?
"I could bemoan the fee, get depressed and miss something else. I could figure, oh well, this month is blown, so I may as well order that pizza I’ve been wanting -- getting myself further into debt.
"Or I could call up the credit card company and ask them to reverse the fee. Maybe they would and maybe they wouldn’t, but either way I could vow to be more careful in the future and move on from there."
Note that she said "move on," not "make excuses." That implies that you plan to learn from your mistakes.
Where you are vs. where you'd like to be
A frugal mind-set should always incorporate a positive attitude. Deep in debt? It's almost always possible to pay it off.
In your 40s or 50s and haven't even thought about financing your retirement? It's not too late to play catch-up.
Haven't got a dime to your name, let alone a full-fledged emergency fund? Find small ways to cut costs and start salting away some cash -- better late than never.
First, though, you have to look clearly at your situation. Track your expenses, add up your debts, look over any retirement funds. Then report your findings to yourself and to your partner if you have one: In debt/insufficient or nonexistent retirement plan/not a nickel in savings.
Now repeat after me: If I do nothing, then nothing will change. My debt won't go away. I will continue to approach retirement age. If an emergency arises it will all go on credit cards.
Do what it takes
There's no one-size-fits-all coping strategy. Maybe it will help keep you from overspending if you write your financial goal on your credit card. It could be that debt snowflaking suits your personality. Love watching those balances fall? Try making two credit card payments per month.
If you're the competitive sort, ask a couple of friends to join with you in a debt-reduction contest. Embarrassed to admit debt to pals? Form an online group or join an existing one like the Women in Red Racers.
No matter what you do, your attitude does matter. If you're skilled at seeing only the dark cloud, try imagining its silver lining: I can change my life if I am willing to work at it.
You're an adult. Take charge. Read personal-finance books; they're available for free from the library. Post questions on "Ask a credit counselor" or one of the other MSN Money message boards; professionals and readers alike have tons of advice, support and inspiration.
Do something. If all you can spare is an extra $10 a month beyond the minimum credit card payment, then do it -- and congratulate yourself for taking the first step. Just watch where you step, if you have a cat.
