One of the most important aspects of growing your money is creating positive cash flow. As a woman especially, I like to have nice belongings in my life; I like to wear clothes that I feel good in and that reflect my style and image. I like a home filled with things that I love that inspire me. These are not bad things to want and be inspired to have in life.
You may have seen some of the videos in my new series that focus on being savvy smart with your style and your money. I offer tips and insights that I have gained from a life time of being a savvy smart shopper, much a reflection of my upbringing with a “cash flow queen” mom who had great style. Here are a few great tips I learned from her:
Living a life with style and positive cash flow are not incongruent with one another. Living with style includes having both positive cash flow and also finances that are geared toward growing your money simply because each of these factors reflects a purposeful and focused life. Now that is style!
So much of living in a savvy smart way with your money is a product of simply paying attention to how you are spending money. Once we pay attention, we begin to notice that those late season clearance racks are pretty fun, along with consignment stores, vintage, and estate jewelry. (Don’t you love that the name for used jewelry sounds so rich?)
Living savvy smart is a mindset. Smart spending is more important than ever as our society, as a whole, recognizes that the overspending of the last decade and beyond has left us with a great lesson about both our money and our values. These lessons have led us to clarify just what is really important in our lives, and many have recognized that it is not something that comes tagged with 18% credit card interest or that keeps us awake at night worrying about reaching our financial goals.
When you need something, simply ask how you can get what you want in a way that costs less than the usual method of purchase. The designer purse is really every bit as good 6 months later on the clearance rack, or even better, “as new” or even very gently used on eBay. Besides, how much fun will it be to share your savvy smart find with your girlfriends?
Use the money that is the difference between the normal method for all your purchases and the savvy smart method of your purchases to:
>Increase your personal savings
>Fund an idea to create a new income stream
>Give to a charity you care about
>Improve your overall financial plan
Think of the amount of money you spend over a year. What if you reduced that by 10%, or even by 20%? The difference could change your financial health.
While I like to focus on increasing income due to its exponential nature, we simply can’t ignore the spending side of the cash flow calculation, if for no other reason than the fact that treasure hunts are just great fun. Always think savvy smart when you spend, because financial health is always in fashion.