Financial life can be very complicated. The endless paperwork, tracking numerous accounts, watching stocks, caring for a home. It all adds up and it all takes precious time. It does not have to be so complex though – you can simplify.
- Consolidate bank accounts and retirement accounts in one place.
- Get rid of as much paper work as you can – use electronic records and billing systems.
- Cut back to just one credit card.
- Become debt free.
- Invest in Funds rather than individual stocks.
- Pay cash whenever possible.
- Reduce services you do not need or often use.
- Cut down on your goals.
- Rent rather than buy your home.
- Do more of what brings you the most income.
- Turn off the TV and go easy on the internet.
Each of these ideas has its merits beyond simplification. You need not adopt them all however to simplify your life. You may prefer to own your own home or you may prefer to pay with a debit card and still keep things simple.
The key here is to evaluate each recommendation in the list to balance for you the advantages of doing things less simply against the advantages of doing things less simply.
You can create your own list of simplifications, using some of these, and others you develop on your own. The important thing is not to necessarily adopt Lotich’s list, but to find ways that simplify your financial life that work for you. This list is an excellent place to start.
Learn how to manage your money, eliminate debt and build wealth in my book, Your Financial Success.Wishing you well,
Daniel R. Murphy
Educating people for building wealth, adapting to a changing future and personal development.