TEXARKANA MAGAZINE
Build an emergency fund. Save $1,000 fast in a separate account for life’s curveballs. We need to break the habit of immediately turning to a credit card when life’s moments hit, like when your car breaks down, or your kid surprises you with an “urgent” science project that is due tomorrow. After you have built some savings, slowly build this toward at least three months’ expenses. You will need this if you lose a job or find that European travel deal you have been eyeing, and it goes on a once-in-a-lifetime sale. Pro Tip— Struggle with dipping into savings too often? So did I, and here is how I fixed it. I opened an account at a different bank across town and cut up the debit card. That small hurdle was enough for my brain to find more creative ways to solve a problem instead of attacking my stack of Benjamins. Pay small debts first. Start eliminating the smallest debts to build momentum. Seeing progress quickly boosts confidence and keeps you motivated to tackle bigger challenges. Pro Tip— Even if your only debt is a low-interest mortgage, consider paying it off early. Financial planner, Wes Moss, found in his book What The Happiest Retirees Know , the happiest retirees are debt-free. Save for retirement first, then tackle your mortgage, even if the interest rate is low.
STEP 1—DIG OUT OF DEBT Debt isn’t just a financial drain, it is a mental burden. But here is the deal—paying it down isn’t just about throwing more money at it. You need to get to the root of the problem. Start with a budget. The word “budget” gets a bad rap, but think of it as a tool to afford everything you love. Here is why people hate it: they begin by thinking of the fences around their budget and what they can’t do. Turn this around and start by funding your priorities (travel, hobbies, fun). Then, work your bills around those important goals. You will find a budget helps you achieve more of what you love, and maybe more importantly, it helps you automatically eliminate any spending that isn’t moving the needle. Pro Tip— Use apps like Monarch Money , YNAB , or TillerMoney to track spending. Prefer the envelope method? Try Qube Money for a modern twist. Hold weekly money meetings. My wife Cheryl and I used to argue about money constantly until we started short, weekly check-ins. These quick meetings reduced stress, improved communication, and kept us on track. Some of my money nerd friends LOVE longer meetings (think Camp David Summit), but I’ve found that the non-money nerd would rather do anything but attend that all-day session. Your first goal should be to make this fun for everyone. Pro Tip— Keep it simple. Review last week’s spending, plan for upcoming expenses, and give each other no-strings allowances. Make it fun! Cheryl and I often have our meetings over pancakes or wine, depending on the time of day, and that makes us look forward to our money dates.
STEP 2—INVEST LIKE A PRO Investing doesn’t have to be complicated. The key is to focus on diversification and consistent contributions, not chasing the next hot trend.
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BUSINESS & POLITICS
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