Whether we are lying to ourselves or lying to each other, sooner or later all financial lies will come to light. Now I’m not saying you’re the liar in this equation, but well you know what I’m saying. Over and over I’ve meet with clients whom say they don’t make enough money or they can’t afford to save (this is lie #1). Upon further investigation, with a little coaching and a lot of reality checks, I’ve helped clients discover financial lies and leaks which had cost them $100’s of dollars. But wait! Before you click away and clock-out on me, please understand I realize many people are unemployed, under-employed and struggling to make the ends meet. Trust me, I’ve walked this road before. But I’m speaking of lies we tell ourselves that keep us in debt and away from the financial lifestyle we truly want.
Years ago my own “swiping indiscretions” (this is code for overspending), led me to an empty saving account, no emergency fund and a panic attack! Not a pleasant time indeed but just the wake-up call I needed to turn things around.
Here are three more lies we can’t afford to tell ourselves:
1. “I can afford it, I make good money” – This maybe true but if you're not managing your “good money” you will find yourself in money trouble. Ask any star, entertainer or lottery winner whom ended up penny-less or bankrupt. Whether you are managing $10 or $100K, if you are not intentional about making your money work for you it will eventually work against you.
2. "This is a business expense, so it saves me money” - Having the option to write off certain business expenses is not a free pass to spend money. Now I’m far from being a tax professional but I am clear there is not a dollar for dollar exchange for business write-offs with the IRS. Before you run out and lease a new vehicle or executive office suite, understand the cost of your investment and the tax benefit you will qualify for.
3.” I can save for retirement later, I need all my money now” – When it comes to investing and retirement the sooner you start the better. The days of counting on a pension or the government to take care of you in retirement are simply gone. Delaying retirement saving 5, 10 or 20 years can add up to 100’s of thousands of dollars you can never get back. Call me crazy or call me anything you want, I need my 100’s of thousands of dollars, they do call me the All Cash Queen!
Was this news to you? How could you make this work for you?
See you soon!