Millions of Americans are in debt and, unfortunately, it doesn't look like that is going to change anytime soon. Fortunately, there are many ways to get your financial house in order.
Educate Yourself About Personal Finance
These days, there are many YouTube channels, books, and movies that cover every facet of personal finance. These include money management, investing, and much, much more. Checking out Graham Stephen or Sorelle Amore on the internet could help you drastically improve your financial future.
If you have the necessary knowledge to manage your money effectively, you're far more likely to reach your monetary goals! The Financial Diet is another excellent YouTube channel that emphasizes personal finance, and there are numerous books that are simultaneously informative and entertaining pertaining to the subject.
The following ones come to mind:
- The Richest Man in Babylon by George S. Clason
- Rich Dad, Poor Dad by Robert Kiyosaki
- Think and Grow Rich by Napoleon Hill
- The Financial Diet: A Total Beginner's Guide to Getting Good with Money by Chelsea Fagan
The top three are classics in the world of personal finance. However, the last one is a unique take on money management for the complete beginner. We have found each and every one of them to be incredibly helpful.
Have Multiple Sources of Income
It's all well and good to advise people to pay off their debts, but sometimes folks simply don't have the means to. That's why it's extremely important to have multiple streams of income, whether that consists of an extra job or two, real estate investments, or stock dividends. It's best not to put all of your eggs in one basket: You never know what might happen in the future, and it's such a relief to have a lot of options to fall back on!
Pay off Debts to Better Your Financial House
If you can, it's ideal to pay off your debt as soon as possible, assuming that you have simply spent too much on your credit card like so many Americans do, or you are struggling to pay off your student loans. On the other hand, it's perfectly acceptable to have real estate debt. You'll likely want to invest the difference instead of trying to pay off the house early!
Adjust Your Mindset Towards the Green Stuff
A lot of people have an extremely tumultuous relationship with the American dollar. Although it sounds a bit woo woo, the way you talk and think about money does actually make a huge difference. We know that saying your financial situation is due to your mindset is simplistic and unfair. A lot of people inherited wealth and a lot of others didn't.
It's genuinely challenging to afford even the most basic needs in America—food on the table and a roof over one's head—so we are not in any way judging you or blaming you for your situation. That being said, there is some truth to the idea that a positive outlook can actually improve your life and attract abundance into it. While this is not the entire equation, it's certainly a part of it.
Forgive Yourself for Your Financial House
We hope you're not being too hard on yourself about your financial situation. A lot of folks struggle to manage their money, and you're certainly not alone if you're straddled with debt. Too many people are in this country! Hopefully, you've already forgiven yourself and are looking for solutions. It won't help anyone if you get down on yourself about your mistakes: We all make them, and there are plenty of resources out there to help you get out on the other side!
If you are struggling financially, you are certainly not alone, but you deserve to get your financial house in order.