How To Avoid Making Mistakes Managing Money

The way to not make mistakes like this is to have a plan for money coming in and going out, a spending plan.  And then strategies to help you follow the spending plan. 

I do not tell lots of stories on the blog, but I am going to tell a little story today.  And my reason for telling this story is that I believe it can help readers avoid mistakes managing money. 

We All Making Mistakes Managing Money 

Prior clients of mine recently made a huge, several thousand dollars mistake managing their money.  Without giving you lots of details, this husband and wife will be paying for this mistake for a little while.  As I discussed the issue with them, we eventually figured out what happened.  What it boils down to is not managing money well, because they had no clue where they were spending it.  I see this with clients often, where they are spending money and not keeping track of where they are spending it and no plan.   

As a financial coach, I believe knowing where your money is going or where you are spending your money, is critical and helps people manage money better.  That is what I teach my clients and others.  And knowing where your money is going helps you to cut and prioritize your spending when you see fit.   

The clients that I am speaking of will recover, but I tell this story to hopefully, stop others from making similar mistakes with money.   The way to not make mistakes like this is to have a plan for money coming in and going out, a spending plan.  And then strategies to help you follow the spending plan. 

A Spending Plan Will Help You Avoid Making Mistakes Managing Money

Having a spending plan to help you manage your money is of paramount importance.  With all the competing demands for your money, if you do not create a spending plan and then put that plan into practice, the competing demands will spend your money for you. 

And Now What

As I said earlier, I will work with them, and they will regroup and recover.  One thing is for sure, my clients are more convinced and fully persuaded that a spending plan is crucial.  And then following the spending plan is also very important.  What is the point in having this tool, that can start you on your path to financial freedom, and not follow it?

I am a financial coach.  Contact name here.  I can help you create and stick to your spending plan.

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